Over recent months, Super SA have made a key change to their Triple S Super product and now allow its members, as well as those with a Flexible Rollover Product and Income Stream investors, the opportunity to nominate for their death benefit to be paid to their nominated Legal Personal Representative.
The ability to make a death benefit direction opens up estate planning opportunities to some members who previously did not have that opportunity.
The Super SA website states:
“By nominating their legal personal representative, the death benefit will be paid to their estate rather than their spouse and distributed according to their Will, or if they do not have one, the Statutes. Members will need to ensure that their Will reflects their wishes as to the distribution of their death benefit from their estate. Members are strongly encouraged to obtain estate planning advice before acting.
A LPR nomination is a binding death nomination, valid for three years. Where no binding death nomination is made the death benefit will continue to be paid to the spouse (including putative spouse) and if there is no spouse, to the estate.”
This change gives members more flexibility and control over how their death benefits will be distributed. Previously, members death benefits were automatically paid to their spouse or, in cases where the deceased did not have a spouse, to the estate of the deceased member.
As stated above, a nomination only lasts for a period of 3 years. If no nomination is made, or found to be valid at the time of death, the previous provisions will apply.
It you are a Triple S member or a Flexible Rollover Product and Income Stream investor, we suggest you contact your normal advisor to discuss your options. This might also be an appropriate time to have an estate planning review.
A fact sheet is available from the Super SA website here.