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Case study

Super Fund Legal Team Halves APRA Response Time

12 in-house lawyers
Melbourne, VIC
Superannuation
Financial Services Regulation
Member Disputes
Investments
The outcome

A 12-lawyer in-house legal team at an industry superannuation fund trustee uses Quillio for Superannuation Industry (Supervision) Act 1993 (Cth) compliance, APRA prudential standard responses, member complaint handling under the Australian Financial Complaints Authority framework, investment mandate reviews under the sole purpose test, and RSE licensee obligation monitoring. APRA regulatory response time is down roughly 50%, and the team now manages member disputes at a pace that keeps AFCA escalation rates low.

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The challenge

What they were trying to solve

The fund manages over $40 billion in member assets and the legal team covers everything from APRA prudential standard compliance to individual member death benefit disputes. The SIS Act 1993 (Cth), the SIS Regulations, APRA prudential standards (SPS 510 through SPS 530, SPS 220, SPS 250), and ASIC regulatory guides create a dense compliance matrix. Each APRA information request required weeks of research across the prudential framework. Member complaints — particularly total and permanent disability and death benefit distribution disputes — were growing in volume, and AFCA escalation rates were trending up because the internal dispute resolution process was too slow.

The solution

Why Quillio

Quillio was configured with the SIS Act 1993 (Cth) and SIS Regulations 1994, APRA prudential standards for RSE licensees, ASIC Regulatory Guide 271 (internal dispute resolution), the Corporations Act 2001 (Cth) financial services provisions, the AFCA Rules and Operational Guidelines, the Trustee Act 1958 (Vic), and the fund's governing rules and trust deed. Lawyers input APRA queries, member complaint files, or investment mandate terms and receive structured analysis referencing the applicable provisions.

Implementation

Pilot on APRA information request responses over eight weeks covering two live regulatory interactions. Member complaint and IDR workflow onboarded in month two. Investment mandate and sole purpose test reviews added in month three. Insurance claim dispute analysis (group life and TPD) added in month four.

Results

Measurable outcomes

Down 50%
APRA response time

Prudential standard information requests from 3 weeks to under 8 days

Down 40%
Member complaint resolution

IDR turnaround time reduced, meeting RG 271 timeframes consistently

Down 30%
AFCA escalation rate

Faster and more thorough IDR responses reduced member escalations to AFCA

5 days → 2 days
Investment mandate reviews

Sole purpose test and SIS covenant compliance analysis for new mandates

6 weeks → 3 weeks
Death benefit distribution

Binding and non-binding nomination analysis, s59 interdependency assessments

+35% throughput
Insurance claim disputes

Group life and TPD claim review under fund insurance policy terms

"
APRA doesn't care that we're a 12-person team — they expect the same quality response as a fund with 30 lawyers. Quillio means our first draft of a prudential response is already mapped to the right SPS and the right section of our trust deed. That used to take a week on its own.
Peter G.
Head of Legal, Trustee Office · Industry Super Fund Trustee Legal Team (anonymised)
In their day

How it works in practice

SIS Act 1993 (Cth) trustee covenant compliance, APRA prudential standard (SPS series) response and reporting, member complaint handling under ASIC RG 271, AFCA dispute preparation, death benefit distribution under s59 SIS Act and fund rules, TPD and group life insurance claim analysis, investment mandate sole purpose test reviews, and RSE licensee obligation monitoring.

What they avoided

Rising AFCA escalation rates attracting APRA trustee governance scrutiny, or outsourcing member dispute work to panel firms at a cost the fund's administration budget could not sustain.

Questions

Case study FAQs

Does Quillio cover the SIS Act and prudential standards?

Yes — the Superannuation Industry (Supervision) Act 1993 (Cth), SIS Regulations 1994, and the full suite of APRA prudential standards for RSE licensees including SPS 510 (Governance), SPS 515 (Strategic and Business Planning), SPS 220 (Risk Management), SPS 250 (Insurance), and SPS 530 (Investment Governance).

Can it handle member complaints and AFCA?

Yes — internal dispute resolution under ASIC Regulatory Guide 271, the AFCA Rules and Operational Guidelines for superannuation complaints, and death benefit, TPD, and insurance claim dispute analysis under the fund's trust deed and governing rules.

What about the sole purpose test?

Quillio analyses investment mandates and trustee decisions against the sole purpose test in s62 SIS Act 1993 (Cth), including the permitted purposes and the case law on ancillary purpose analysis.

Does it cover fund insurance arrangements?

Yes — group life and TPD insurance policy terms, s68AA SIS Act default insurance provisions, opt-in and opt-out rules for members under 25 and low balance accounts, and the interaction with the fund's insurance policy and trust deed definitions.

Can it help with successor fund transfers?

It supports analysis of SFT requirements under APRA guidance, member equivalency rights assessment, and the SIS Act provisions governing fund mergers — with the trustee's legal team making the final determination.

Run the same pilot.

Superannuation trustee legal teams should trial Quillio on an APRA information request or a batch of member complaints — compare the turnaround and the quality of the regulatory mapping. Start a free trial.

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