SMSF Life Insurance SIS Regulations:
Are your SMSF clients compliant? Based on SIS Regulations 4.09 (2) (c), (d) and (e), for most SMSF Trustees,
The answer is No! SMSF Trustees want access to quick, reliable and easy to understand solutions. The SMSF Life Insurance Reviews online tool, provides the solution for your clients - in 3 simple steps.
One area that many accounting firms are unsure of and the Federal Government is starting to focus on, is Life Insurance held outside and within Self Managed Superannuation Funds As we all know, it is a mandatory requirement that SMSF Trustees comply with the Government’s Investment Strategy Operating Standard.
Failure to comply will result in possible ATO enforceable undertakings, or recently set up administrative penalties, which can include fines of up to $17,000. Investment Strategy Operating Standard SIS Reg. 4.09 (2) (e) requires SMSF Trustee’s to document that life insurance has been considered for all fund members. To determine if there is a need for insurance, the SMSF Trustee must address the liquidity, cash flow requirements and the ability of the SMSF to discharge existing and prospective liabilities, as per SIS Regs. 4.09 (2) (c) and (d).
A dot point in the annual meeting minutes is not enough for SMSF Trustees to comply. SMSF Life Insurance Reviews works with your existing processes, to provide the documented evidence and an audit certificate in 3 simple steps. More importantly, it gives your client a clear understanding and allows accountancy practices to provide a risk free, profitable service in what has been up until now, a confusing area that many firms have struggled with. Understanding the “Why?” of SMSF life insurance compliance In 2010 the government’s Cooper Review into superannuation found that only 13% of self-managed super funds held any form of life insurance. Due to the financial implications of very few SMSF’s holding life insurance, in 2012 the government introduced SIS Regulation 4.09 (2) (e) as part of the Investment Strategy Operating Standard. Apart from potential fines, Trustees and their SMSF Advisers are exposed and face the risk of litigation, as insurance is a minefield that Lawyers are starting to exploit with free appraisals and no win, no fee arrangements for financial dependents; and with the current gaps in most trustee documentation, this is a very real threat to Trustees and their Advisers.
SMSF Life Insurance Reviews Make it Easy SMSF Life Insurance Reviews provide an online tool, which in a matter of seconds, makes it easy for your SMSF clients to document that they have considered life insurance for their fund members: removing the risk of non-compliance – all in 3 simple steps. SMSF Life Insurance Reviews: created with accountants, for accountants. SMSF Life Insurance Reviews are not just another SMSF website. We have worked alongside accountants for over 28 years and understand what you want. We have created this online tool to help ensure compliance for your SMSF trustee clients is quick and simple. What’s more, we’re completely independent. The SMSF Life Insurance Review simply provides your clients with an objective approach to considering life insurance, so that they can make an informed decision. No hard sell or product promotion: just quick, simple compliance. SMSF Life Insurance Reviews Quick & Easy To Use SMSF Life Insurance Reviews provide a quick, easy, online tool for you to proactively help your clients document their compliance – in a few clicks. Review In Seconds Import all SMSF clients and complete an interim life insurance review in less time than it takes to power up your laptop. Comply & Avoid Fines SMSF clients can avoid fines by complying with this important area of the SIS Act Investment Strategy Operating Standard. Certificate Of Insurance Provides a certificate of insurance consideration for your clients annual audit. Reduce Litigation Risk Protect your clients and your firm from aggressive insurance litigation lawyers.
What’s Next?
FREE TRIAL
Our online tool has been designed to make it easy for you to use and your SMSF Trustee clients to comply. The steps are: Step 1 – Register. Step 2 – Complete your Free Trial. Step 3 – If you love how our service can help you and your SMSF clients, upload your clients and get them started in two clicks. If you’re not 100% satisfied, you can un-register at any time. You keep 100% control with no risk to you or your clients. Register today for your free trial of SMSF Life Insurance Reviews at:
www.smsflifeinsurancereviews.com.au