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Group Life Risks in Australasia

In addition to traditional reinsurance cessions from ceding life companies, Hannover Life Re Australasia also takes cessions of group life risks from superannuation/ retirement plans. Due to the mandatory requirement in Australia for minimum employer contributions to such funds in respect of all employees, a substantial group life risks market has developed. The sources of this business include employer sponsored superannuation funds, multi-employer master funds and industry funds. Industry funds are superannuation funds established by trade unions to receive employer contributions in respect of employee members.

Through identifying this group life opportunity very early on, HLRA has successfully developed a significant portfolio of such cessions. The business is not only specialized in terms of pricing and experience monitoring requirements, but also, where industry funds are involved, heavily transaction orientated through the large numbers of claims requiring assessment (in the case of total and permanent disablements) and processing. HLRA has developed its in-house expertise and capabilities to the point where today it is a leading carrier of group risks in Australia, highly regarded for its administrative abilities as much as price.

The development of group life cessions is a distinguishing feature of HLRA that aside from providing a diversification of its over- all business also gives it unique skills and experience valuable to ceding life companies that offer group life products.