HESTA insurance fees to fall on AIA Australia partnership renewal

HESTA

12 August 2025

HESTA today announces it will reduce fees for insured members on their current levels of cover after the re-appointment of AIA Australia as the Fund’s insurance partner.

HESTA CEO Debby Blakey said the renewed partnership demonstrated the Fund's commitment to providing members with comprehensive value-for-money insurance.

"We're pleased to continue our strong relationship with AIA Australia, which will support us in providing high-quality, long-term insurance protection at better value for our members,” Ms Blakey said.

"As a fund focused on healthcare and community services, ensuring simple access to appropriate and affordable insurance coverage is critical and can provide peace of mind to members and their families.

“It’s a great outcome for our more than one million members that we’ll be able to help cut insurance costs for them at a time when many Australians are experiencing higher prices.”

Last year, more than $186 million was paid out in insurance benefits to HESTA members.

Alongside the expected reduced cost of cover, HESTA intends to work with AIA to make improvements to terms & conditions with the aim of continuing to support better access and outcomes for members.

The decision follows a competitive tender process that began in December 2024. HESTA will finalise pricing, product design, and terms & conditions with AIA later this year and communicate with its members ahead of the new agreement commencing next year.

"We look forward to working closely with AIA to further enhance our insurance offering and deliver even better outcomes for our members in the years ahead," Ms Blakey said.

“We also want to recognise the high-quality proposals received from a range of insurers as part of our tender process, and would like to thank them for their strong interest and their time and effort in submitting very competitive proposals.”

HESTA first teamed with AIA in 2018, and the most recent renewal came into effect in 2023.

AIA’s strong emphasis on health and wellness aligns with HESTA’s culture, with the insurer offering strong rehabilitation offerings, including services such as AIA Embrace, My Psychologist, return to work and restorative support programs.

Ends.

About HESTA

HESTA is one of the largest superannuation funds dedicated to Australia’s health and community services sector. An industry fund that's run only to benefit members, HESTA now has more than one million members (around 80% of whom are women) and currently manages approximately $96 billion* in assets invested around the world.

*Information is current as at the date of issue.