Advocates have called for the government to provide a long-term, concrete solution for former customers of bust funeral insurance company Youpla (formerly known as the Aboriginal Community Benefit Fund), with the current scheme that pays for funerals of its ex-policyholders set to expire in November.
In a dire situation that unfolded three years ago, Donald Craigie had to make a difficult choice. With $6,000 that was initially intended to fix his car, he purchased burial plots beside his late daughter. Craigie was one among thousands of individuals covered by the now-collapsed funeral insurance company, Youpla, ABC reported.
As the government-established scheme covering funerals of former Youpla policyholders approaches its expiration date in November, concerns about the future loom large.
With hopes of finding solace in the recent federal budget, Craigie, like many others, sought reassurance that the government would continue to provide support for their funeral expenses.
Disappointment settled in when no allocation for a long-term solution was found in this year's budget. Advocates for former Youpla customers have been tirelessly campaigning for the government to address this issue since the company's collapse in 2021.
Bettina Cooper from the Save Sorry Business Coalition expressed their demands to ABC: "We've asked for people as far back as 2001 to receive their money back, or the option of a culturally appropriate funeral bond."
The coalition has been actively engaging with government officials, and although there was no explicit funding commitment in this week's budget, they claim to have received assurances behind closed doors.
Cooper said, "I am confident that a scheme that will be an enduring resolution will be available this year. I'm not confident at this point who will be included as part of that scheme."
Indigenous affairs minister Linda Burney acknowledged her meeting with the advocacy group, but details of the discussion were not disclosed. In a statement to ABC, she emphasized the government's commitment to finding a longer-term resolution for those impacted by Youpla's collapse.
Minister Burney said: "The government is carefully considering further actions – we are deeply aware of the need to develop a solution that brings a longer-term resolution to those people impacted by Youpla's collapse."
The Australian Securities and Investments Commission (ASIC) has previously taken legal action against ACBF, exposing false claims of Aboriginal ownership and predatory sales tactics.
The banking royal commission further criticized the company's business model in its 2018 interim report.
Advocates argue that successive governments allowed ACBF to exploit Aboriginal individuals by using Centrepay, a government-run system deducting payments from Centrelink before reaching bank accounts. The Youpla collapse threatened to leave 13,000 low-income Aboriginal people without funeral insurance cover.
Craigie and other former policyholders believe that they are entitled to more than just a return of their premiums. Seeking redress for the pain caused, they told ABC that they want compensation and interest.
"Give us our money back and for the pain that they caused us, give us interest — in other words, compensation," Mr. Craigie said.
As the November deadline approaches, the government faces mounting pressure to deliver a comprehensive and enduring solution to support former Youpla policyholders.
