Life insurance can be an overwhelming topic – not least with the number of options available, from term life insurance to trauma insurance, to total and permanent disablement (TPD) insurance and lots more. This page can help you learn about life insurance news, to help you make more informed choices.
The cost of insurance premiums in Australia has been on the rise in recent years. Undoubtedly, natural disasters and the COVID-19 pandemic are 2 factors that are contributing to higher costs. According to Munich Re, 2021 was the second most costly year for insured losses from natural catastrophes. The resulting claims from such events are directly linked to premium rises, as insurance companies are forced to cover their substantial reinsurance costs.
Life insurance has certainly felt the squeeze recently. For example, the cost of insurance purchased through superannuation funds rose 7.4% last year. Despite insurance through super often being a cheaper option due to each super fund’s group buying power, it’s becoming more and more expensive to take out cover via this route.
Elsewhere, new APRA rules have tightened the way income protection insurance benefits work. Benefits were capped at 90% of earnings at the time of claim for 6 months, then at 70% after the 6-month period. Generally, these and other market developments have led to a greater impetus for consumers to shop around for better terms and more competitive pricing.
Compare Life insurance quotes from these direct brands
Why compare life insurance with Finder?
You pay the same price as buying directly from the life insurer.
We're not owned by an insurer (unlike other comparison sites).
We've done 100+ hours of policy research to help you understand what you're comparing.
Why you can trust Finder's life insurance experts
We're free
You pay the same as buying directly from the life insurer. Better still, we regularly run exclusive deals that you won't find on any other site – plus, our tables make it easy to compare policies.
We're experts
Our team of life insurance experts have researched and rated dozens of policies as part of our Finder Awards and published 250+ guides to make it easier for you to compare.
We're independent
Unlike other comparison sites, we're not owned by an insurer. That means our opinions are our own and we work with lots of life insurance brands, making it easier for you to find a good deal.
We're here to help
Since 2016, we've helped 270,000+ people find life insurance by explaining your cover options, simply and clearly. We'll never ask for your number or email. We're here to help you make a decision.
Frequently asked questions
Essentially, yes. Life insurance policies have covered infectious diseases (of which COVID-19 is one) for many years.
Read more on what life insurance covers you for when it comes to COVID-19. Or, you can find out the key points of income protection and COVID-19.
Yes. Even though more than 4 in 5 policyholders with TPD cover hold their policy through their superannuation fund, it's definitely an option to buy standalone TPD. In fact, buying this way typically leads to more comprehensive coverage.
TPD insurance pays out a lump-sum if you suffer a permanent injury or illness and are no longer able to work during the term of your policy. Usually, you have to be off work for a minimum of 3 or 6 months before your claim is considered.
Direct insurance is generally viewed as a quicker and simpler way to take out cover. Rather than being a time-consuming and stressful process, applying for a life insurance policy can be quick and straightforward. There are often no medical tests to undergo and it's quick and easy to compare multiple quotes online.
Just keep in mind, there are some downsides to the rise of direct cover. Although savvy consumers research their cover before signing on the dotted line, there is still a risk of customers not knowing the right type and level of cover for their needs. This presents the risk of Australians either ending up underinsured or paying money for extra cover that they don't need.
Home and contents insurance. Your home is likely the most valuable asset you have, so it makes sense to protect it against loss and damage. Many home insurance policies can also be paired with contents insurance, allowing you to also cover your treasured possessions against a range of risks.
Motor vehicle insurance. Compulsory Third Party (CTP) car insurance is mandatory across Australia. It provides compensation when the use of your vehicle causes a bodily injury to a third party. There are three other motor vehicle insurance options to choose from: Comprehensive, Fire and Theft Only, and Third Party Property only.
Business insurance. Each business faces its own unique share of risks, so it makes sense to find a business insurance policy tailored to your specific needs. Examples of cover offered include protection against fire and other defined events, public liability cover, professional indemnity, cover for damage to stock and equipment, and business interruption. Every business owner should have adequate cover in place for their operation.
Lender's mortgage insurance. Home loan borrowers who do not have at least a 20% deposit towards their home are required to take out lender's mortgage insurance. This protects the lender against the risk of a borrower defaulting on their loan repayments.
Workers' compensation insurance. This form of insurance is compulsory across Australia. If people suffer a work-related injury or illness, workers' compensation type of cover offers financial protection.
Travel insurance. Travel insurance provides financial protection against a wide range of travel risks including COVID-19, overseas medical emergencies and hospital costs, medical repatriation, cancellation fees and lost deposits, travel delay, lost or stolen luggage, rental vehicle excess, and personal liability.
Life insurance. This sector of the market covers a wide range of insurance policies. In addition to term life insurance, which ps out a lump sum benefit in the event of your death, it also includes trauma cover, total and permanent disablement cover, income protection, and funeral insurance.
James Martin was the insurance editor at Finder. He has written on a range of insurance and finance topics for over 7 years. James often shares his insurance expertise as a media spokesperson and has appeared on Prime 7 News, WIN News, Insurance News, 7NEWS and The Guardian. He holds a Tier 1 General Insurance (General Advice) certification and a Tier 1 Generic Knowledge certification, both of which meet the requirements of ASIC Regulatory Guide 146 (RG146).
Are you thinking of cancelling your life insurance policy? There are a few things that you need to be aware of before surrendering an important protection cover for you and your loved ones.
Whether it is possible to take out life insurance if you have cancer will depend on the nature of your condition and the insurance company's terms for providing cover.
Looking for a direct insurance company that offers affordable, straightforward cover options? Discover the benefits of NobleOak life insurance.
Feedback
How likely would you be to recommend finder to a friend or colleague?
0
1
2
3
4
5
6
7
8
9
10
Very UnlikelyExtremely Likely
Required
Thank you for your feedback.
Our goal is to create the best possible product, and your thoughts, ideas and suggestions play a major role in helping us identify opportunities to improve.
Important information about this website
finder.com.au is one of Australia's leading comparison websites. We are committed to our readers and stands by our editorial principles
We try to take an open and transparent approach and provide a broad-based comparison service. However, you should be aware that while we are an independently owned service, our comparison service does not include all providers or all products available in the market.
Some product issuers may provide products or offer services through multiple brands, associated companies or different labeling arrangements. This can make it difficult for consumers to compare alternatives or identify the companies behind the products. However, we aim to provide information to enable consumers to understand these issues.
We make money by featuring products on our site. Compensation received from the providers featured on our site can influence which products we write about as well as where and how products appear on our page, but the order or placement of these products does not influence our assessment or opinions of them, nor is it an endorsement or recommendation for them.
Products marked as 'Top Pick', 'Promoted' or 'Advertisement' are prominently displayed either as a result of a commercial advertising arrangement or to highlight a particular product, provider or feature. Finder may receive remuneration from the Provider if you click on the related link, purchase or enquire about the product. Finder's decision to show a 'promoted' product is neither a recommendation that the product is appropriate for you nor an indication that the product is the best in its category. We encourage you to use the tools and information we provide to compare your options.
Where our site links to particular products or displays 'Go to site' buttons, we may receive a commission, referral fee or payment when you click on those buttons or apply for a product. You can learn more about how we make money.
When products are grouped in a table or list, the order in which they are initially sorted may be influenced by a range of factors including price, fees and discounts; commercial partnerships; product features; and brand popularity. We provide tools so you can sort and filter these lists to highlight features that matter to you.
Please read our website terms of use and privacy policy for more information about our services and our approach to privacy.
