Set up beneficiaries - make your intentions clear - BUSSQ

Set up beneficiaries - make your intentions clear

A beneficiary is the person (or persons) you elect to receive a benefit in the event of your death. Electing beneficiaries (and keeping your choice up to date) can assist you to have your assets distributed to your loved ones the way you want.

Beneficiaries of Death Insurance Benefits

Non-binding & binding nominations

If you die while you are a member of BUSSQ, the Death Insurance benefit may provide valuable financial assistance to your dependents. The Trustee has the discretion to pay your insurance benefits to your dependents and/or your legal personal representative.

The Trustee allows you to specify how you wish your Death insurance benefit to be paid by making a nomination, which can be either non-binding or binding. You should nominate your preferred beneficiaries when you join BUSSQ and you are encouraged to review your nominations as your circumstances change.

Non-binding nominations

When you make a non-binding nomination, your wishes about who should receive your Death Insurance benefits when you die are a guide only and are not binding on the Trustee. The Trustee will take your death insurance benefit nomination into consideration but it is the Trustee who makes the final decision. The Death insurance benefit can be paid to your dependents or your legal personal representative of your estate.

Binding nominations

A binding nomination instructs the Trustee to be bound by the nomination(s) you make on your form when paying your Death insurance benefit. For your binding nomination to be valid, certain conditions must be met, including:

  • Nominations can only be made on a Binding Death Benefit Nomination form.
  • The only beneficiaries that can be nominated are your dependents or your legal personal representative (that is, the executor or administrator of your estate).
  • Your Binding Death Benefit Nomination form must be signed by you and two witnesses, both of whom must be at least 18 years old and not nominated as beneficiaries of your Death Insurance benefit.

If you nominate on your form someone other than those people listed as a dependent, your nomination will be invalid. 

Your binding nomination will only remain valid for three years. After three years, you will need to re-confirm the nomination or provide a new one. In the event that your nomination becomes invalid, the conditions applying to non-binding nominations apply. 

Definition of dependents

Your dependents are:

  • Your spouse (legal or de-facto, including same sex)
  • Your children (including step, adopted or ex-nuptial)
  • Anyone who is in an interdependent relationship with you at the time of your death, and
  • Any other person who, in the opinion of the Trustee, is or was at the date of your death wholly or partly dependent on you.

The main requirements to establish an interdependent relationship are:

  • To live together
  • To have a close personal relationship, and
  • For one or each person to be committed to the financial and domestic support of the other.
Please note: In the event of a dispute, the insurance policy document will override the relevant Product Disclosure Statement and the information contained within this website.