Life insurance for cancer patients and survivors in Australia

How we calculate Life Insurance Finder Scores

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What different scores mean

9+

Excellent

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.

Do I have to mention my diagnosis if I haven’t taken out insurance yet?

If you have cancer and you apply for insurance cover, you must inform the insurer of your condition. Under Australian insurance law you must tell your provider anything that may be relevant to their decision to offer you cover, so you’ll need to disclose your diagnosis when you fill out an application form.

As of July 2019, some people are no longer required to do so depending on the type of policy and the amount you're covered for. If your benefit limits are below the following amounts, you are not required to disclose the results of your genetic tests:

• Death and total & permanent disability: $500,000 lump sum
• Trauma: $200,000 lump sum
• Income protection: $4,000 per month

What can the benefit payment be used for?

With this in mind, it becomes clear just how important the financial protection offered by trauma insurance can be. Not only will you and your family suffer from an emotional perspective if you receive a cancer diagnosis, but your finances will also take a hit. You may need to undergo expensive treatments, laborious rehabilitation processes and more, while at the same time you may need to take time off work and not be able to draw your regular income.

The lump sum benefit your policy offers can be used to pay your medical bills, manage ongoing expenses, help with your recovery and other expenses that may arise.

Trauma insurance is therefore about providing protection against the uncertainties that may arise in the future, safeguarding your family against the potential financial impact of a cancer diagnosis.

Learn more about the benefits of trauma insurance

Steps to increase the likelihood of finding cover

Below is a list of tips and strategies that will help to increase your odds of having your life insurance application accepted and receive the life insurance cover you need.

Collect the right paperwork.

When you are applying for life insurance cover, gather your medical records together including your complete medical records consisting of your first pathology reports, any of your doctor’s notes, and records of your treatment plan. Keep in mind that the more the insurance company knows about you, your cancer diagnoses and your treatment plan, the more likely it will be for you to be approved. You want to provide them with enough information to allow them to properly access your current medical status.

Get a note from your doctor.

Ask your doctor to write you a note stating when you had treatments for cancer, when you went into remission and what your prognosis is. This may help the insurance company get a better understanding of your specific situation.

Abide by the treatment plan.

It is important for the insurance company to see that you're in compliance with all aspects of your treatment plan. This means that you don't want to miss follow-up appointments or check-ups. The more proactive you are about your health, the more likely you are to remain healthy.

Compare options for life insurance with pre-existing medical conditions

Frequently asked questions

• What if my cancer returns after I have life insurance?

  If your life insurance policy is already in force and you receive a new cancer diagnosis or your cancer returns, it generally does not affect your existing cover. Policies are assessed based on your health at the time of application. However if you attempt to increase your level of cover or apply for a new policy after a recurrence, the new diagnosis would need to be disclosed and assessed.

• Can I get Total and Permanent Disability or Income Protection insurance with a cancer history?

  Similar to life insurance, obtaining Total and Permanent Disability (TPD) or Income Protection insurance after a cancer diagnosis can be challenging, but it is not impossible. Insurers will assess your medical history, the type of cancer, the stage it's at, your treatment, and how long you have been in remission. You may face exclusions for cancer-related claims, premium loadings, or a refusal of cover depending on your individual circumstances and the insurer's criteria.

• What if my life insurance application is declined due to my cancer history?

  If your application is declined it's important to understand the reasons. You can then explore other options, such as speaking with a financial advisor who specialises in complex medical histories, looking at different insurers, or considering a group policy often available through superannuation funds. Group policies typically have less stringent underwriting requirements.

• Does the type or stage of cancer affect my life insurance application?

  Yes, definitely. The specific type of cancer, its stage and how aggressive it is/was, are crucial factors for insurers. For example, a history of early stage non-melanoma skin cancer may be viewed less severely than a history of advanced metastatic cancer. Insurers consider the likelihood of recurrence and the potential impact on your lifespan when making their decision.

• Will I have to undergo a medical exam to get life insurance after cancer?

  It is highly likely you'll need to undergo a medical examination or provide comprehensive medical reports from your treating doctors. Insurers require a detailed understanding of your current health status, your cancer history and your prognosis. This information helps them assess the risk accurately.

• Can I get life insurance through my superannuation if I have had cancer?

  Many superannuation funds offer default life insurance, TPD and Income Protection cover to their members. This cover often comes with limited underwriting, meaning it may be easier to obtain even with a cancer history compared to a retail policy. However, the level of cover might be restricted and pre-existing condition clauses may apply. It is essential to check the specific terms and conditions of your super fund's insurance.

• What factors influence the cost of life insurance for cancer survivors?

  The cost of life insurance for cancer survivors is influenced by several factors, including the type of cancer, its stage, when it was diagnosed, the success of treatment, and how long you have been in remission. Your overall health, your age, your lifestyle, and family medical history also play a role. Insurers may apply a premium loading to account for the increased risk.

Written by

Richard Laycock

Editor

Richard Laycock is Finder’s insights editor after spending the last five years writing and editing articles about insurance. His musings can be found across the web including on MoneyMag, Yahoo Finance and Travel Weekly. Richard studied Media at Macquarie University and The Missouri School of Journalism and has a Tier 1 Certification in General Advice for Life Insurance. See full bio

Co-written by

James Martin

Journalist

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, Insurance News, 7NEWS and The Guardian. An experienced journalist, James' work has featured in publications including The Irish Times, Companies100 and In Business. 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). See full bio

James's expertise

James has written 181 Finder guides across topics including:

• Car, home, life, health, travel and pet insurance
• Managing the cost of living
• Money-saving tips