Grieving widow who thought her husband had left her $200K when he died aged 39 left ‘dumbfounded’

A widow is still demanding answers from one of Australia’s biggest insurers, 10 years after her husband’s super fund and $200,000 death benefit were bled dry by fees and charges.

Kim Garbutt expected to receive more than $208,000 in death benefits associated with her estranged husband Craig Mollison’s superannuation fund with AMP when he died from alcoholism in 2008, aged 39.

The mother-of-two got a rude shock when she received the cheque less than a fortnight after her husband’s death.

Craig Mollison (pictured) died from alcoholism in 2008 aged 39, leaving behind an estranged wife and two young sons

‘When the cheque arrived, I was dumbfounded that it was $25.09, so some time after that I spoke to them and they were saying that the account had run dry, she told ABC’s 7.30.

She launched an investigation and eventually learned her husband had rolled over $1,621.93 into the account from his former fund in 2003.

He had been slugged more than $188.16 in fees and insurance premiums within five weeks of the account being opened.

Mr Mollison didn’t contribute another cent to the account following his initial contribution but continued to pay monthly death benefit premiums for six years. 

AMP continued to deduct fees and charges from Mr Mollison’s account until it was cancelled five months prior to his death because the account was more than $200 in arrears.

By then, Mr Mollison was unwell with alcohol addiction, didn’t open mail and had no fixed address.

'I'm angry that I'm now living off my own super because Craig's super fund didn't morally, ethically or even just in good faith relook at the case,' Kim Garbutt (pictured) said

‘I’m angry that I’m now living off my own super because Craig’s super fund didn’t morally, ethically or even just in good faith relook at the case,’ Kim Garbutt (pictured) said

For the last 10 years, Ms Garbutt has ‘begged and pleaded’ with AMP to find out what happened to the account with little success.

‘We have never been able to get a full understanding of what he agreed to and they took no due diligence in looking at why the fees had been taken out,’ she said.

‘I’m angry that I’m now living off my own super because Craig’s super fund didn’t morally, ethically or even just in good faith relook at the case and go maybe we could have done better.’

Kim Garbutt was shocked to receive a cheque (pictured)  for $25.09 from her husband's super fund just 13 days after his death

Kim Garbutt was shocked to receive a cheque (pictured)  for $25.09 from her husband’s super fund just 13 days after his death

Kim Garbutt has 'begged and pleaded' with AMP to find out what happened to with husband's account with little success

Kim Garbutt has ‘begged and pleaded’ with AMP to find out what happened to with husband’s account with little success

AMP ‘strongly rejected’ claims Ms Garbutt had not been kept informed.

‘At no time were we informed that [Craig] was unwell, and we corresponded with him as early as seven months before his death that he was at risk of losing his valuable insurance,’ a spokeswoman said.

She told the ABC program that AMP paid ’95 per cent of all claims’ and paying claims on lapsed policies could lead to ‘all customers having to pay increased premiums’.



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