Tony Sheldon NSW, Australian Labor Party
2:42 pm
My question is to the Minister representing the Treasurer, Senator Cormann: I refer to the government's proposed changes to superannuation default insurance. From 2003 to 2016 more than 3,400 workers lost their lives on the job. Of those, 335 were under the age of 25. Why does the government want to deny young workers and their families the benefits of cost-effective default insurance?
Mathias Cormann WA, Liberal Party, Vice-President of the Executive Council
I completely reject the premise of that question. The government doesn't want to do anything of the sort. The government supports choice, though, and the government supports measures which help ensure that, in particular, small superannuation balances aren't inappropriately eroded by fees going into the pockets of insurance providers in relation to insurance that might not be appropriate to their needs. This is obviously a matter that has been discussed for some time in this chamber, and this chamber has, indeed, already passed some important reform in this space designed to protect the retirement savings of working families around Australia. The government stands by the measures that it's put forward.
Tony Sheldon NSW, Australian Labor Party
2:43 pm
The Police Federation of Australia argues that it is extremely difficult to find individual total and permanent disability—TPD—coverage and income protection outside the existing public sector funds due to the dangerous nature of police work. Why does the government want to deny young police officers and their families the benefits of cost-effective default insurance?
Mathias Cormann WA, Liberal Party, Vice-President of the Executive Council
Again, I don't accept the premise of the question. We support people choosing the insurance they need according to their needs.
Unidentified interjection - Hansard doesn't record who said this
Opposition Senators:
Opposition senators interjecting—
Mathias Cormann WA, Liberal Party, Vice-President of the Executive Council
I know, of course, that those opposite are standing up for particular vested interests. We've got a history with all of this.
Opposition senators interjecting—
Scott Ryan President
Order! Senator Cormann, I have Senator Wong on her feet on a point of order.
Penny Wong SA, Australian Labor Party, Leader of the Opposition in the Senate
The question goes to young police officers. Is the minister suggesting they are a vested interest?
Scott Ryan President
With all due respect, Senator Wong, that's not a point of order. There was a great deal of noise, and I could barely hear the minister, who does have a very strong voice. Can I ask senators to be silent.
Mathias Cormann WA, Liberal Party, Vice-President of the Executive Council
We stand on the side young police officers, young nurses, young workers in the retail sector, and indeed, young Australians all around Australia, and we don't want their small superannuation balances eroded by excessive fees in relation to services they often don't even know have been contracted on their behalf. So that is entirely appropriate and that is a very transparent position that the government's adopted for some time.
Tony Sheldon NSW, Australian Labor Party
2:45 pm
In March 2012, a 22-year-old fourth-year carpentry apprentice suffered a prolapsed vertebrae and a severe neck strain while on a site in New South Wales. Why does the government want to deny young apprentices the benefits of cost-effective default insurance?
Mathias Cormann WA, Liberal Party, Vice-President of the Executive Council
We don't want to deny anyone the access to insurance that they—
Unidentified interjection - Hansard doesn't record who said this
Opposition Senators:
Opposition senators interjecting—
Mathias Cormann WA, Liberal Party, Vice-President of the Executive Council
We don't want to deny anyone access to insurance, but we actually respect individual Australians to make their own choices.
Opposition senators interjecting—
Scott Ryan President
Order! Senators Keneally, Wong, McAllister.
Senator Wong interjecting—
I'll assume that was an observation.