Compare policies on offer from one of Australia's leading general insurance providers, AAMI
Life insurance is an important financial decision, one made with your family's needs and future plans in mind. Choosing the right insurer is a big decision because you need someone you can trust, someone you can rely on and someone who understands your needs and takes the time to tailor its products to your needs.
Who is AAMI Life Insurance Australia?
AAMI is a direct insurance provider offering a broad range of insurance solutions including car, CTP, home, motorcycle, caravan, travel, business, income protection and life insurance. Since AAMI's inception in 1969, AAMI has expanded from solely providing car insurance to be a market leader across a range of other insurance products. AAMI now boasts over 2.5 million policyholders and is backed by an award winning team of consultants, who provide superior customer service and help customers find and manage their insurance needs 24 hours a day, seven days a week.
As the Money Magazine insurer of the year for 2011, 2012 and 2013, AAMI has solidified its position as one of Australia’s most popular insurers.
AAMI Life Insurance Policy Features
You can apply for any of the AAMI life insurance policies without the need for a blood or medical test. Your application is assessed based on your health, age and occupation, which determines your level of risk and how much you pay for your premiums. When you apply for life insurance with AAMI, you're entitled to the following features:
- Limited accidental death cover. When you make the decision to take out life insurance, you need to make sure you're covered right away. Therefore, AAMI provides you with limited accidental death coverage while your application is being processed.
- Death benefit. The death benefit of an AAMI life insurance policy pays your family a benefit amount if you die.
- Terminal illness benefit. If you are diagnosed with a terminal illness, you can make a claim with AAMI and receive a lump sum benefit amount to help you finalise your financial affairs and estate.
- Funeral advancement benefit. As part of your death benefit coverage, your family is able to receive an advance of $10,000 of the benefit amount when you die, to help pay for funeral costs and other final expenses. When the claim has been fully processed, your family receives the remainder of the death benefit amount, less the advance.
- Lifestyle increase benefit. As you move through life, your commitments and obligations depending which life stage you are in. These life stages range from getting married to having a child, from buying a new home to paying for your children's education. Your AAMI life insurance can take this journey with you. If you are under the age of 60, AAMI allows you to increase your benefit amount by $100,000 each year and without requiring any new medical information.
- Automatic indexation of your benefit amount. AAMI automatically increases your benefit amount by the CPI or 5%, whichever is greater. This keeps your benefit amount relevant to current costs at the time of the payout.
- Premium freeze. If you want to keep your budget under control, you can have AAMI freeze your premiums, which means you pay the same amount for your life insurance year after year, and instead your benefit amount decreases. You can impose or lift a premium freeze at any time.
- The 13th month free. After you have kept your AAMI life insurance policy for 12 months and kept your premiums up to date, AAMI will waive the premium payable for your 13th month.
- Financial planning benefit up to $2,000. Once you have held your policy for three years, the financial planning benefit is automatically be added, where AAMI will reimburse you for up to $2,000 worth of financial planning advice received from a licensed financial planner, within 12 months of making a claim on the death benefit or terminal illness benefit of the life insurance policy.
AAMI Income Protection Insurance
AAMI’s income protection insurance product pays a benefit of up to $10,000 per month to help you maintain your household cash-flow if you are unable to work because of illness or injury. You can choose a benefit period that suits your needs and budget, or you can simply sign up to receive income protection benefits until your retirement. You don't have to have any medical tests, and you can pay your premiums monthly or annually.
Features of AAMI Income Protection Insurance
- Benefit of up to $10,000. In the event that you are forced to take time out of work as a result of injury or illness, AAMI will provide up to 75% of your income to a maximum of $10,000.
- Range of benefit periods. AAMI offers applicants either a one-year or two-year benefit periods, giving you the peace of mind that, in the event of a serious illness or injury, you will receive your monthly benefit for up to two years. One year benefit periods can also bring significant premium discounts.
- Waiver of premiums during waiting period. Benefit payments will commence after just 30 days and AAMI will waive your premium payments during this period.
- Limited medical underwriting. In comparison to many other insurance policies, AAMI does not require applicants to undertake any medical or blood tests to purchase cover.
- Cooling off period. All AAMI policies offer a 30 day cooling off period, giving you the opportunity to cancel your policy and receive a full premium refund if you are not satisfied with the cover provided.
- Guaranteed cover to retirements. AAMI Income protection is guaranteed to remain in force until your 65th birthday, regardless of whether or not your health deteriorates.
- Benefit indexation. Your AAMI income protection policy increases automatically each year to ensure it remains in line with inflation.
- Range of premium payment options. AAMI offers a range of different premium payment options, letting you tailor how you fund your policy closer to your situation and budget. Less frequent premium schedules attracts discounts.
- Fast and simple claims process. In the event that you need to make a claim, you can fill out a claim form entirely online.
Other AAMI Insurance Products
In addition to life insurance and income protection, AAMI also offers:
- Business insurance. Business insurance protects your business against the loss, damage or theft of stock, the business' premises, and covers certain equipment breakdown. This means that if your business operations are interrupted because of damage to or loss of your property, you can continue to pay business expenses, and keep your employee wages paid too.
Who is eligible for AAMI Life Insurance?
You will need to satisfy the following criteria to be eligible for AAMI Life Insurance:
- You must be between 18 and 60 years of age (inclusive)
- You must be an Australian or New Zealand citizen or permanent resident and residing in Australia at the time of application
- You must receive the PDS in Australia
Provided all the policy conditions continue to be met, your cover is guaranteed renewable until your 99th birthday. The maximum amount of cover you can take out with AAMI Life Insurance is $1 million.
How do I Make a Claim for AAMI Life Insurance?
To make a claim under an AAMI Life Insurance policy:
- You, your nominated beneficiary or your legal representative will need to contact the insurer as soon as possible after the event that causes the claim
- AAMI will then send out a claims pack detailing what information and documentation you will need to provide in order for your claim to be processed
- For example, you will need to provide a completed claim form and a death certificate for your claim to be processed, while in some cases a report from your medical practitioner may also be required
- If you fail to provide any requested information within a suitable timeframe, your claim could be reduced or refused altogether
Some questions you might have about your AAMI Life Insurance
Q. I’m 65 years old - can I apply for cover?
- A. No. You will need to be between 18 and 60 years of age (inclusive) to apply for AAMI Life Insurance.
Q. How long does cover last?
- A. Your AAMI Life Insurance policy is guaranteed renewable every year until your 99th birthday.
Q. Will I receive any cover while my AAMI Life Insurance application is being processed?
- A. Yes. You will be provided with Accidental Death Cover up to the sum insured you have applied for while your application is being processed.
Q. Is there a cooling-off period?
- A. Yes. You have 30 days after taking out a policy to decide whether it is right for your needs. You will receive a full premium refund if you cancel your policy during this period.
Q. How much life cover can I apply for?
- A. You can choose a sum insured of between $100,000 and $1 million, in increments of $100,000.
Q. How quickly will my loved ones receive the Funeral Advancement Benefit after I die?
- A. The Funeral Advancement Benefit is typically paid to your primary nominated beneficiary within 24 hours of your death certificate and completed claim form being received by AAMI.
Q. Can I increase my level of cover without providing any additional medical information?
- A. Yes. The Lifestyle Increase Benefit allows you to increase your sum insured by $100,000 each year without supplying any additional medical information. You can apply for this benefit if you are under 60 years of age and you:
- Get married
- Give birth to or adopt a child
- Have a child starting high school for the first time
- Purchase a home
- Your partner dies
Interested in Applying for Life Insurance From AAMI?
With AAMI life insurance protecting you and your family from unknown, you can feel free to get on with your life knowing that you're mis safe should something to happen to you. You can receive a preliminary quote and purchase cover entirely online through their user friendly online application portal.Back to top