Following last week’s Sunrise Exchange News’ tip that the Investment and Financial Services Association (IFSA) was planning to re-commit its efforts to improving life insurance for Australians with mental health problems, the association has done just that.

Agreeing to another two years of abiding to the principles of the world first memorandum of understanding with the Mental Health Service Stakeholders (MHSS), IFSA says the move signals a step towards implementing standards for life insurers with policyholders suffering mental illnesses. 

Assistant Treasurer Helen Coonan says the move aims to provide mental health sufferers with fair and equitable treatment in dealing with insurance companies.

“The principles commit to better co-operation between sectors, improved complaints resolution, better communication and education,” she said.

Grace Groom, CEO of the Mental Health Council of Australia, says the agreement between insurers and the mental health community is an international first which will give those suffering from mental illness a better chance of obtaining life insurance. 

“The renewed agreement demonstrates a further commitment by the insurance industry to improving outcomes for people with common mental health problems,” she said.

“The memorandum of understanding provides a solid foundation for initiatives aimed at ensuring people with mental health problems have the same access to insurance products as people with physical problems.”