These products offer great value, with a good score across both features and price.
7+
Great
These are competitive products, though they didn't quite get top scores.
5+
Standard
These products might offer less value or command a higher premium than others in the market.
0+
Basic
These products might only offer a basic set of features or aren't very competitive on price.
Key takeaways
You can apply for life insurance in 2 ways - directly to a provider, or through a broker.
Applying directly is faster, and mostly done online. You'll need to make a medical declaration, but not take a medical exam.
Going through a broker gives you access to more fully featured policies, but requires a medical exam and can take months.
Life insurance application: Direct vs Broker
The 2 different application types for life insurance are mostly dictated by the type of life insurance you need. You'll either apply directly with the fund, or via a broker. Honestly, they're kind of 2 totally different products, so it's important to understand them.
Directly from the insurer
If you apply directly, the life insurance application process is typically done online by you, without an adviser. The questionnaire itself is usually straightforward and requires a few details about your personal circumstances – for instance, your medical history, employment and age. You'll also need to decide how much life insurance you need and agree to certain exclusions and premium loadings.
With an broker
If you apply with an adviser, the life insurance application tends to be a lengthier and more thorough process, though the adviser will do most of the work. They can work out how much and what type of cover you'll need based on your personal circumstances, clarify anything you're unsure about and talk you through what you are and are not covered for.
What kind of information will I have to provide?
Whether you use a broker or go direct, you'll be asked to disclose the following information:
Height and weight
Date of birth
Gender
Lifestyle habits (smoking habits, if you drink or take recreational drugs)
If you go through a broker, the insurer will take the time to confirm these details through a robust assessment, which could include a formal medical exam. If you go direct, your declarations will be enough, but they could come back to bite you if you misrepresent anything.
What are the typical stages involved in a life insurance application?
Submit a policy application
Start the application process by completing the paperwork with your chosen life insurance provider. You need to answer all the questions truthfully (as best you can) and you will need to sign a declaration that the information you have provided is accurate. By deliberately providing incorrect or misleading information, you risk voiding your insurance policy and leaving your family with nothing when they claim.
Medical assessment
Some insurance companies will require you to have an actual physical examination before you're approved; others will just need you to answer questions about your medical history on your application form. If you're having difficulty remembering something about your medical history, contact your doctor for medical records.
Your overall risk is assessed
The life insurance provider will work with an underwriting team to assess your eligibility based on your application. They'll consider your medical history, lifestyle activities, sports you engage in and occupation to work out out the premium you should pay. All of the information in your insurance application will be kept confidential.
Did you know?
Over 3.8 million Australians have told a fib in order to get a discount on their life insurance policy, according to recent research by Finder. The research found men (29%) are more likely than women (11%) to be less than truthful on a life insurance application.
What happens after I've been assessed?
Once your application and details have been assessed:
The life insurance company will notify you in writing of their findings. Usually the company will accept your application and send you a policy schedule with details of the cover and policy you have applied for, as well as the premiums, which have been finalised for you. Your provider will keep your details on file until the time you or your family make a claim.
If a life insurance provider cannot accept your application they will instead offer you amended terms of insurance so that you can still obtain some form of cover. For example, if you have a serious pre-existing medical condition, or you regularly take part in high-risk activities, then your insurer will do one of two things with your application:
Apply a loading: This means that you'll have to pay a little extra but you'll still be covered.
Place exclusions on your policy: For example, if you have a history of blood disease, you won’t be able to claim for any instances related to this condition, or if you regularly participate in high-risk sports such as sky diving, then you won’t be able to claim for any illnesses or injuries resulting from sky diving.
Lifestyle changes:
Quitting smoking (keep in mind that most insurance companies will ask you if you have smoked within the last 12 months)
Find a company that specialises in covering people in your situation. You may wish to speak to an insurance specialist to help you with this.
Pay annually, rather than in monthly instalments – this is often cheaper.
How much cover do I need?
There are a few different ways to determine how much cover you need to take out, including using our online calculator. Another common method is to take your annual salary and multiply it by 10 (so if you make $50,000 a year, take out cover for $500,000).
You might also want to consider the immediate expenses that will need to be covered after your death – such as your funeral, mortgage repayments that still need to be made, other loans or debts that you still need to pay off, school fees and education costs for your children and a retirement fund for your partner. If you total these costs together, you will have a rough idea of how much cover you need.
Compare direct life insurance
The following table features brands that sell direct life insurance. These brands will generally let you apply online, and then offer you cover without having to go through a long, formal process.
1 - 7 of 26
Compare other products
We currently don't have that product, but here are others to consider:
How we picked these
Finder Score - Life Insurance
Life Insurance is a little complicated and a lot overwhelming. That's why we made the Finder Score, to make it easier to compare Life Insurance products against each other. Our experts analysed over 30 products and gave each one a score between 1 and 10.
But a higher score doesn't always mean a product is better for you. Your situation is unique, so your policy choice will be too. Don't think of Finder Score as the final word, but as a good place to start your life insurance comparison.
Have more specific needs, or want to make sure you get the best possible cover that will definitely pay out when you need it to? Then it might be worth speaking to a broker. The process will be longer and more work on your part, but you could have a more robust policy at the end of the day.
Frequently asked questions
Depending on your insurance provider, a medical examination, blood test and/or urine sample may be required. Some companies allow you to apply online without a physical exam, but they will ask you about your lifestyle and medical history, and will most likely check your medical records and history in the event of a claim. Other life insurers may only require a medical examination if they are concerned that something about your lifestyle, family history or medical history may make you a high-risk customer.
In this case, the insurance company is required to notify you of any unusual test results and provide you with details of how this will affect your coverage and application. From that point the test results will be sent to your current doctor and you can then organise a consult to discuss the details of the findings.
Start by requesting information on why you have been denied – sometimes the underwriter simply needs more information on something in your application. If it is because of your health or lifestyle, don't give up; different insurance companies have different standards to adhere to when accepting and denying life insurance applications. Just because one refuses you, doesn't mean they all will.
Finally, get an updated check-up from your doctor. This may show the insurance company that the medical condition they are concerned about has stabilised or is being adequately treated, which may change their decision.
Yes, your life insurance premiums should be unaffected by the fact that you are pregnant. Some life insurance companies may not accept an application from you until after you have given birth, but many others will, so keep trying. Pregnancy can sometimes cause high cholesterol in women, but insurance companies will either waive any extra premium amounts caused by this (because there is a justified cause), or you can just have your blood taken again after you give birth.
The time it takes for your application to be approved can vary vastly. Some companies will claim to accept your application within minutes when you apply online (though in reality it may take around 24 hours for the policy to officially be in place); others can take several weeks to approve you, especially if you need to have a medical examination and blood test as part of the application process. If the insurance company requires medical records to be sent from your doctor, this can further delay the approval process.
If you already know which life insurance policy you need, purchasing directly without advice is often simpler (you can do it within minutes online or over the phone) and cheaper. However, sometimes the amount of cover you're offered is less than what you'd get if you went through an adviser, and there tend to be more exclusions placed on your policy. If you decide to purchase life insurance directly, make sure you read through the PDS thoroughly so that you are well informed about what you are and are not getting.
Was this content helpful to you?
Thank you for your feedback!
To make sure you get accurate and helpful information, this guide has been edited by Tim Bennett as part of our fact-checking process.
Gary Ross Hunter has over 6 years of expertise writing about insurance, including life, health, home, and car insurance. Having reviewed hundreds of product disclosure statements and published over 800 articles, he loves simplifying complex insurance topics for everyday readers. Gary has contributed to major outlets like Yahoo Finance, The Sydney Morning Herald, and news.com.au, and holds a Bachelor of Arts (Honours) in English Literature from the University of Glasgow, along with a Tier 2 General Advice certification, ensuring his work adheres to ASIC’s RG146 standards. See full bio
Gary Ross's expertise
Gary Ross has written 618 Finder guides across topics including:
Was your life insurance application denied? This article looks at the top reasons why your application might have been denied and what you can do to get the right cover.
finder's guide to choosing between stepped and level insurance premiums.
Important information about this website
Finder makes money from featured partners, but editorial opinions are our own.
Finder is one of Australia's leading comparison websites. We are committed to our readers and stand 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.
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.
We update our data regularly, but information can change between updates. Confirm details with the provider you're interested in before making a decision.
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.
