CommBank Life Insurance Review

CommBank life insurance could be good if you don’t need more than $1 million in death cover but it's only open to its bank customers.

$1,000,000

Maximum Cover

65

Maximum Entry Age

$1,000,000

Terminal Illness Benefit

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Details

Product NameCommBank Life insurance
Maximum Cover $1,000,000
Terminal Illness Benefit$1,000,000
Funeral Benefit $15,000
Guaranteed Renewability
Cooling-off (days)30
Online Quote

CommBank life insurance: Our verdict

  • This provider has a claims acceptance rate of 91.4% for death cover, which is higher than average (90%).
  • It's policies are provided by AIA Australia so you can get access to AIA Vitality.

  • CommBank's $15,000 funeral advancement is probably enough for most but brands such as Qantas and TAL offer $10,000 more.
  • With CommBank, you get death benefit cover up to $1,000,000. This is a fairly standard amount, but insurers such as ahm, Suncorp and NobleOak all offer between $500,000 and $14,000,000 more.

Read a more detailed review on:

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Life Insurance

Key points of CommBank Life Insurance

  • Death Benefit: A lump sum benefit will be paid to policyholders/their beneficiaries in the event of the policyholders death.
  • Terminal Illness Benefit: An advance payment of the Life Insurance benefit will be paid if the policyholder is diagnosed with a terminal illness.
  • Indexation Benefit: Cover amount will increase each year in line with inflation.

Note: Be sure to check the Product Disclosure Statement (PDS) for terms and conditions.

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Optional cover

Key points of CommBank optional cover

When you take out a Life insurance policy, you also have the option to add on the following:

  • TPD Benefit Payment: Pays a lump sum to the policyholder if they are to become totally disabled as a result of serious illness or injury.
  • Trauma Benefit: Lump sum benefit paid if policyholder suffers a specified medical condition.
  • Income Protection: Protects your income in the event that you're unable to work due to an accident or illness.
  • Benefit Indexation: Cover is increased each year in line with movements in inflation.

    Note: Be sure to check the Product Disclosure Statement (PDS) for terms and conditions.

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Applying for cover

Applying for CommBank cover

  • Be an Australian citizen, permanent resident or New Zealand citizen.
  • Must be between 18 and 65 to apply for Life Insurance
  • Be 18 to 59 for Income Protection, TPD and Trauma Insurance
  • Must work at least 20 hours per week (excludes heavy manual occupations) for Income Protection cover.
  • Be a Commonwealth Bank customer living permanently in Australia. You can get a quote online through NetBank.

Still wondering if CommBank is right for you? Here are the main pros and cons summarised:

Pros

  • It gives you access to AIA vitality.
  • It has a higher than average claims acceptance rate.
  • It's convenient if you're a CommBank customer.

Cons

  • It's only available to CommBank customers.
  • It's possible to get a higher life insurance benefit elsewhere.

How do I make a CommBank life insurance claim?

If you need to make a claim on your CommBank life insurance policy, it's vital that you or your representative contact CommBank by phone as soon as possible following the claim event. If you happen to be overseas, you may need to return home to Australia at your own expense in order for the claim to be properly assessed.

To make a claim contact CommBank by phone on 1800 491 588 or email: claims@lifeinsurancebyaia.com. You can mail your completed claim form to: Claims Team, AIA Australia Customer Service PO Box 6143, Melbourne VIC 3004

What are some of the key exclusions of CommBank life insurance?

Just as with any other type of life insurance, there are certain situations and circumstances where your CommBank claim won't be paid, such as if:

  • Death resulting from suicide or a deliberately self-inflicted injury or sickness in the first 13 months of taking out the policy
  • Disability caused or worsened by any deliberately self-inflicted injury or sickness, including attempted suicide.
  • Any criminal activity or any unlawful act or whilst imprisoned.
  • War, riots or civil commotion.
  • A trauma event suffered within the first 90 days of taking out or reinstating your policy.
  • Any death, injury or sickness due to duties of your occupation:

Read the PDS for more information on the general exclusions that apply to your policy.

Compare other direct life insurance policies below

Name Product Maximum cover Maximum Entry Age Fully Underwritten? Terminal Illness Benefit Optional Extras
NobleOak Life Insurance
$15,000,000
69
$3,000,000
TPD cover, Trauma cover
Cover up to $15,000,000 with NobleOak Life Insurance.
Real Family Life Cover
$1,000,000
64
$1,000,000
TPD cover, Trauma cover
Get a refund of 10% of the premiums you've paid (in the first 12 months) with The Real Reward™ .
Medibank Life Insurance
$2,500,000
70
$2,500,000
TPD cover, Trauma cover
Medibank health members save 10% on premiums every year. T&Cs apply.
Zurich Ezicover Life Insurance
$1,500,000
69
$1,500,000
No optional
Get your first month free and a 10% discount by taking out a second life insurance policy (discount applies to the second policy). T&C’s apply.
ahm Life Insurance
$1,500,000
65
$1,500,000
TPD cover, Trauma cover
ahm Health members can save 10% off premiums.
RAC Life Insurance (Only available in Western Australia)
$25,000,000
69
$25,000,000
TPD cover, Trauma cover
When you purchase RAC Life Insurance, WA residents receive complimentary RAC membership which includes access to discounts on fuel, savings on shopping, entertainment and more. T&Cs at rac.com.au.
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8 Comments

    Default Gravatar
    Stelio
    May 17, 2019

    Can I cash out the loyalty bonus benefit (5 years) in life insurance?

      Avatarfinder Customer Care
      Jeni
      May 18, 2019

      Hi Stelio,

      Thank you for getting in touch with Finder.

      Kindly contact CommInsure Life Insurance directly on this matter for a more accurate info.

      I hope this helps.

      Thank you and have a wonderful day!

      Cheers,
      Jeni

    Default Gravatar
    Troy
    March 3, 2019

    Hi! I’m looking for life insurance for my mother. she is 68. She does not smoke and she does take medications for hypertension, non insulin dependent diabetes, and high cholesterol. Are these conditions, considered “pre-existing conditions? Is she able to get insurance with you?

      Avatarfinder Customer Care
      Joshua
      March 6, 2019

      Hi Troy,

      Thanks for getting in touch with Finder. I hope all is well with you. 😃

      Yes, it is most likely that your mother would be considered as a client with pre-existing conditions. CommInsure would still be able to consider your mother, but you would need to pay extra fees or a higher premium.

      You may want to speak to a life insurance adviser to learn how a reputable financial adviser can help you with setting life insurance arrangements.

      I hope this helps. Should you have further questions, please don’t hesitate to reach out again.

      Have a wonderful day!

      Cheers,
      Joshua

    Default Gravatar
    Nikolai
    January 7, 2018

    I am looking for life insurance for $400. Unfortunately i cannot find a real comparison. I mean how much should I pay monthly.

    Nick
    P.S. Hundreds times somebody called me offering a life insurance. I always ignore them. I do not discuss that with unknown person who had done unauthorized call to me. without my request.

      Default Gravatar
      Arnold
      January 9, 2018

      Hi Nikolai,

      Thanks for your inquiry.

      If you are looking for life insurance covers, you can compare all the life insurance policies we have in our panel. On the page is a comparison table you can use to see which insurer suits you. When you are ready, you may then click on the “Go to site” button and you will be redirected to the insurer’s website where you can proceed with the application or get in touch with their representatives for further inquiries you may have.

      Before purchasing, please ensure that you read through the relevant Product Disclosure Statements/Terms and Conditions when comparing your options before making a decision on whether it is right for you. You can also contact the provider if you have specific questions.

      Hope this information helps

      Cheers,
      Arnold

    Default Gravatar
    Thony
    July 11, 2017

    Is CommInsure part of Colonial Mutual Life Assurance Society?

      Avatarfinder Customer Care
      Jhez
      July 12, 2017

      Hi Thony,

      Thanks for your comment.

      As per checking, CommInsure is a registered business name of the Colonial Mutual Life Assurance Society Limited and Commonwealth Insurance Limited.

      Regards,
      Jhezelyn

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