1300 322 917
Savings from a decision to no longer offer a Bereavement Benefit to members will go towards a major upgrade of individual representation, workplace organising and services.
The $10,000 Bereavement Benefit was payable to families following the death of a member.
However, a recent review of all insurance policies entered into by the previous HSU leadership found that the Benefit cost $60,000 a year and its high cost could not be justified.
The younger age profile of members and fact that superannuation funds provide significantly more generous payments through their Death and TPD insurance policies were major factors in the decision.
“We believe there are better ways to support our members that are more cost-effective and that only the VHPA can provide,” said Andrew Hewat, VHPA Assistant Secretary.
“The Branch Committee of Management felt that the Bereavement Benefit, while worthwhile, was very expensive and duplicating other insurance that super funds provide as a safety net for all members.”
“We are currently in the process of updating all of our member services and the next step will be a mailout to all members in the coming weeks advising of the new arrangements,” said Andrew Hewat, VHPA Assistant Secretary.
The Bereavement Benefit ceased on 6 September when our previous policy expired.
-disagree with this wholeheartedly.
-$60,000 is a very small amount to pay for this great service to members.
-when your’younger age profile’gets to 65 the superannuation funds give you nothing
-as the retirement age is increasing, currently 67 for those in my age bracket perhaps you need to think of those of us who are older who have paid for this service for many years and look ahead to when you will be in that same age bracket.
-perhaps cover for the 65-67 year gap at least!
Thanks for your comment Beth.
Note that the Bereavement Benefit has not been a service that the Union has been providing for many years. In fact, our members only gained access to it during the amalgamation period with HSU East in a policy that was taken out by Michael Williamson.
Like so many other services that were inherited from that era, this was found to be a very overpriced policy.
We were also of the view that Bereavement insurance is not a core function of the VHPA and the BCOM have decided that the money could be much better spent on servicing and representing members in other ways. Regards
It would have been nice to have been informed of this change prior to the actual date of change. I feel for any members who were potentially eligible for this payment and made decisions regarding same to now find that it is not forthcoming.
Superannuation payments and TPD payments pay out to the deceased dependants or to the injured worker. Many VHPA members may be the only working member of the family and if they find themselves bereaved of a family member their TPD and Superannuation will not provide any payment.
$60000 is a small price to pay for support of members in a very difficult time when they may be required to take time off work.
Very poor decision with no consultation with members as far as I can see!!
Thanks for your feedback Kim.
Just to clarify – the Benefit was only payable when a member passed away and not for a family bereavement. So it was not payable to members who may have to take time off from work when they are bereaved of a family member. The policy was actually quite narrow in its coverage for our members. If you’d like to discuss this further please give us a call on 1300 322 917. Regards