Since the coronavirus crisis, insurers have generally stopped offering redundancy cover options for new policies. If you have an existing policy with this type of cover, your insurance should still be honoured; but you may want to double check this directly with your provider.
Although brands no longer offer this cover, we have kept the information on this page in case you have existing cover.
| Provider | Redundancy cover conditions and features | Is this option currently available to new policies? | Maximum monthly benefit | Maximum payout period |
|---|---|---|---|---|
 |
| No | 50% of the Income Cover amount up to $3,000 per month | 3 months |
* Information correct as of July 2023. Please keep in mind insurers are changing their offerings and some information may have changed.
An adviser can help you find cover from trusted life insurance brands.
Redundancy insurance is made to provide you with short-term financial support if you unexpectedly lose your job. It will usually pay you up to between $3,000 - $4,000 a month to help you keep up with bills and everyday living expenses while you look for a new job.
In Australia, most insurers only offered redundancy cover as an optional extra with their income protection policies.
Income protection insurance does not automatically cover you for redundancy. Redundancy insurance is usually an optional extra that is offered by insurers as part of income protection and not all providers who offer income protection have this option.
Redundancy insurance covers you financially if you are sacked, fired or involuntarily unemployed. You need to hold the policy for about 6 months before you are made redundant. If your claim is successful, it will usually come with the following:
Keep in mind that like most policies, there will be a no claim period. In a nutshell, you need to have held the policy for a certain period of time before you are eligible to make a claim. With redundancy cover, this is usually around 6 months. This is different from a waiting period. After you are made redundant, you will usually need to serve a 28 or 30 waiting period before you are allowed to make a claim.
There's a few sneaky exclusions associated with redundancy insurance. Make sure you're aware of them before you sign up for a policy, otherwise you could be in for a nasty shock.
Typically, you won't be covered if the redundancy occurs:
You'll also need to work for a set amount of hours per week (usually 20-30 hours), and there is usually a waiting period of about 30 days you'll have to wait out before you're able to claim.
Black Friday is now over, but you can still pick up stacks of Cyber Monday deals that are every bit as good.
Sharesies boasts 500,000 Kiwi customers - or one-tenth of the New Zealand population.
Is it worth spending more with Everyday Extra or Coles Plus?
Aussies are predicted to spend $30 billion this festive season. Here's 7 key tips on how you can save on gift-buying.
Access deals and discounts of up to 65% off laptops from Dell, Microsoft, HP and more in the 2023 Cyber Monday sale event.
Upgrade your home office this Cyber Monday with 35% off ergonomic standing desks from Omnidesk.
If you're looking for iPhone deals in this year's Cyber Monday sales, check out our roundup of the very best discounts around.
Can you get a red-hot deal for the red centre?
11% of us are putting our holiday shopping on plastic.
From cutting-edge gadgets to deluxe mattresses, these are the best Black Friday deals you can get over the weekend.
