Medicare will permanently take over responsibility from APRA for the administration of early release of superannuation on compassionate grounds if the Superannuation Legislation Amendment (Early Release of Superannuation) Bill 2011 is passed.

Medicare Australia has been managing these claims for almost six months, under delegation from the Australian Prudential Regulation Authority (APRA) and will continue to do so.

While the purpose of superannuation is to provide benefits for members on retirement on reaching preservation age, a member’s preserved superannuation benefits may be released before preservation age in some strictly limited circumstances.

These circumstances include compassionate grounds release, which covers expenses in respect of medical treatment, medical transport, modifications necessary for the family home or motor vehicle due to severe disability, palliative care and funeral expenses. Funds may also be released to prevent the foreclosure of a mortgage or exercise of a power of sale over the member’s principal place of residence.

The criteria for early release of superannuation on compassionate grounds will remain the same.

To apply for early release, applicants can call 1300 13 10 60 or visit APRA’s website.