The settlement was announced on Monday on the first day of a hearing in which Suncorp was accused of paying commissions that negatively impacted customer offerings and led to higher fees.

Lawyers still have to iron out the final details of the agreement which is expected to be presented to the court on Tuesday.

The settlement will have to be approved by the court before any amounts are distributed to Suncorp's customers.

The class action, which was also filed against directors Geoffrey Summerhayes and Sean Carroll, alleges that Suncorp paid conflicted remuneration to advisers selling its superannuation products.

These commissions influenced which super brands were recommended by advisers, the lawsuit claims.

Conflicted remuneration was banned on July 1, 2013 as a result of Future of Financial Advice Reforms.

The class action sought a refund of these excess fees to each affected superannuation member's account.

Australian Associated Press