Making a permanent incapacity (PI) claim

To be eligible for an early release payment of your super account balance, you’ll need to meet the definition of ‘permanent incapacity’ that applies under superannuation law.

In accordance with Superannuation Industry (Supervision) Regulations 1994, a member of a super fund is taken to be suffering permanent incapacity if the trustee of the fund is reasonably satisfied that the member’s ill-health (whether physical or mental) makes it unlikely that the member will engage in gainful employment for which the member is reasonably qualified by education, training or experience.

To receive concessional tax treatment, a benefit paid due to permanent incapacity must also meet the definition of a ‘disability superannuation benefit’ in accordance with the Income Tax Assessment Act 1997:

• the benefit is paid to an individual because he or she suffers from ill-health (whether physical or  mental); and
• two legally qualified medical practitioners have certified that, because of the ill-health, it is unlikely that the individual can ever be gainfully employed in a capacity for which he or she is reasonably qualified because of education, training, or experience.

We aim to finalise claims as quickly as possible. In most cases, PI claims are finalised within 5 business days of receiving all the required documentation. However, the timeframe may vary depending on the complexity of the claim and the availability of information required from you and your treating doctors and specialists.