How past federal governments legitimised now-collapsed funeral insurer – report
Aboriginal people advocates have claimed that previous federal governments legitimised the collapsed funeral insurer ACBF-Youpla by authorising millions in automatic policy payments from welfare income – further exploiting Aboriginal people.
Advocates from The Save Sorry Business coalition told The Guardian that the collapsed funeral insurer continued to reap benefits even after getting kicked off the government system. In 2017, for example, the funeral insurer kept more than $3.4 million from cancelled policies, the group claims.
As a result, the coalition is now calling for a $300 million federal compensation scheme for those affected by the funeral insurer’s “predatory practices and financial collapse.”
Read more: Youpla collapse: Affected Aboriginal families to receive compensation
“For 16 years, Youpla had the federal government’s stamp of approval,” said Wangkumara-Barkandji woman Lynda Edwards from the Save Sorry Business coalition, as reported by The Guardian. “First Nations families were paying for their funeral insurance policies before they paid for food, clothing, or school expenses. The current federal government has a responsibility to right that historical wrong and make amends to those who suffered and are still suffering today.”
Youpla went into liquidation early this year, leaving its members in limbo. The communities most affected by the funeral insurer’s collapse are Yarrabah, Palm Island, Moree in New South Wales (NSW), Dubbo, and Walgett.
In September, Minister for Indigenous Australians Linda Burney and Financial Services Minister Stephen Jones announced an emergency scheme designed to provide urgent relief for affected members who need to pay for funerals quickly.
