Do you already have life insurance?

Even if you don’t remember taking one out, you could already have a policy. Here's three places to check:

You might already have a life insurance policy through either of the following:

  • Superannuation life insurance. Life insurance inside superannuation usually includes life insurance.
  • Your employer's default fund. Employer superannuation funds are legally required to include life insurance. If you are using your employer’s default fund, you almost certainly have a life insurance policy.
  • Other types of group cover from your employer. Even if you are not enrolled in your employer’s superannuation fund, your employer may already provide you some form of group cover.

Want to compare quotes for new cover? Speak to a consultant

Please enter your full name
Please enter a valid email address
It's important to give us a valid phone number
Date of Birth
Coverage is the amount of money that you will be paid in the event of a claim. An insurance consultant can help you determine an appropriate amount. Calculator
Provides a lump sum payment if you become totally and permanently disabled and are unable to return to work.
Provides a lump sum payment if you suffer a serious medical condition. Cover can be taken out for 40-60 medical conditions depending on the policy you choose.
By submitting this form, you agree to the privacy policy
Get quotes

Why is life insurance included in my default fund?

Without cover, many children and surviving partners may struggle with an enormous financial burden if a family member is to pass away. Including life insurance is mandatory for default super funds, to help close Australia's underinsurance gap. A default super fund will typically include a basic level of life insurance cover.

You have the option

  • Increase this amount
  • Decrease it
  • Cancel or opt-out of cover

How do I check for existing life insurance policies?

Check your super fund

Go to your superannuation fund’s website, and look for the Product Disclosure Statement. It should be clearly visible, but if you’re having trouble finding it you can contact them and ask for the company to mail it to you. This will include details of any life insurance policy.

  • You may already be paying for cover. The premiums of a super life insurance policy are taken from your superannuation contributions.
  • Track down any lost super funds through the ATO. If you’re not sure whether you have more than one super fund, this is a good first step.
  • If you have more than one superannuation fund, check each of them for life insurance cover.

Check with your employer

If you do have cover, request a copy of the Product Disclosure Statement to examine your policy and see whether you have enough cover.

Is the insurance I already have enough?

The right amount of life insurance cover is dependant on individual circumstances. Cover that’s included inside a super fund is set a basic level that may be suited for some policyholders but not for others.

1. Look at the sum insured of your policy.

This is the total amount that your beneficiaries will receive in the event of your death. Ideally, it should be high enough to cover all of the following:

  • All outstanding debt. This includes outstanding taxes, the mortgage, credit card debt and anything else. The payout should leave your family completely debt-free.
  • Immediate expenses. Funeral expenses, estate settlement costs and other costs your family will be facing.
  • Ongoing living expenses. An effective policy will cover your food, shelter, clothing and transport costs for your family. You can anticipate healthcare costs by considering the annual premiums of health insurance policies. If you have children, it should be enough to last until they are able to become financially independent.
  • Other major expenses. These can include the cost of education for your children, any business succession planning that may be required and other major expenses that are likely to arise.
  • A buffer. The above is naturally not a comprehensive list of all expenses, and it can be prudent to add extra on top for unpredictable costs, such as if your partner lives well beyond the age of 100.

2. Consider these factors as well

You can then calculate the amount needed by considering the following:

  • The age of your partner and children
  • Your partner’s earning capacity
  • The value of your assets, and whether these will be sold or maintained

It’s hard to add it all up, and you might consider starting high or low, and then working forwards or backwards until you’ve found a reasonable sum that results in affordable premiums and effective cover.

3. Use a calculator

Speak to an adviser about your options

Maurice Thach

An insurance researcher and writer for who loves finding an answer to the question "Am I covered for ________?" Maurice has also completed a Tier 1 Life Insurance and a Tier 2 General Insurance Certification under ASIC's Regulatory Guide 146. This means he can confidently provide general advice for life insurance and non-life insurance products.

Was this content helpful to you? No  Yes

Related Posts

Ask an Expert

You are about to post a question on

  • Do not enter personal information (eg. surname, phone number, bank details) as your question will be made public
  • is a financial comparison and information service, not a bank or product provider
  • We cannot provide you with personal advice or recommendations
  • Your answer might already be waiting – check previous questions below to see if yours has already been asked

Finder only provides general advice and factual information, so consider your own circumstances, or seek advice before you decide to act on our content. By submitting a question, you're accepting our Terms of Use, Disclaimer & Privacy Policy and Privacy & Cookies Policy.

2 Responses

  1. Default Gravatar
    LauraOctober 15, 2018

    Is there a way of finding out if someone who has passed away took out life insurance?

    • finder Customer Care
      MauriceOctober 16, 2018Staff

      Generally, an insurer will inform the beneficiaries of those who have passed away. However, if you believe there is money that is unclaimed you can use this tool.

      I hope this helps,


Ask a question
Go to site