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Life insurance for women

There are 4 main types of life insurance for women to consider: death cover, TPD, trauma cover and income protection insurance.

Your options for life insurance Compare policies
Average cost of life insurance for women See the cost breakdown

What you need to know

  • Life insurance can protect your financial future, regardless of what life stage you are at.
  • It can help pay off the mortgage and other debts, cover funeral costs and provide your family with enough money to continue enjoying the standard of life you have created for them.
  • Women pay less than men for death cover, on average. But, women may face higher costs for trauma cover and income protection insurance.

What types of insurance should women look at getting?

Because there is more than one life-changing thing that can happen to you, there's more than one life insurance type out there. These include:

Shield with tick life insurance icon

Life Insurance

Life insurance (or, death cover) pays your beneficiaries – often your family – a lump sum when you die or become terminally ill. It's usually used to pay off the big things: your mortgage, car loan, and school fees. It also acts like an income you can no longer provide to pay for household bills such as utilities, food and petrol.

tpd

TPD (Total and Permanent Disability)

This pays you a lump sum if you become totally and permanently disabled and can't work again. It's essentially like getting your retirement payment early so you can continue to pay off debts, loans and daily expenses.

trauma

Trauma Insurance

This pays you a lump sum if you're diagnosed with a critical illness or injury. It's helpful to pay for immediate medical expenses, home modifications, rehab and more.

income protection

Income Protection Insurance

If you become sick or injured and need to take some time off work, this pays you a monthly income, usually up to 70%-75% of your current salary for a period of up to 2 or 5 years.

Compare life insurance from Australian providers

1 - 7 of 13
Name Product Maximum Cover Maximum Entry Age Terminal Illness Benefit Claims Acceptance Rate Average Claim Time Sum Insured
NobleOak Life Insurance
$25,000,000
74
$25,000,000
96.90%
1.1 months
$24,483 million
Our verdict: Finder Life Insurance Award winner for the last 5 years in a row. Good value for money, simple application process and a high claims acceptance rate.
Medibank Life Insurance
$2,500,000
70
$2,500,000
Data not available
Data not available
Data not available
Our verdict: Medibank offers a higher payout limit ($2.5 million) than 15 other providers. Get a 10% discount if you're already a Medibank Health Insurance member.

⭐ Current offer: Save 10% on your first year of Medibank Life Insurance when you apply by 31 July 2024. T&Cs apply.
TAL Accelerated Protection Life Insurance
No set limit
74
Not stated
Data not available
1 months
$249,285 million
Our verdict: One of Australia's leading life insurers. Automatically includes child critical illness cover. Plus, it comes with a level premium option (e.g. costs remain similar as you get older).

⭐ Current offer: Get up to 15% off your TAL Life, Trauma or TPD insurance policy for life - if you have a Body Mass Index (BMI) between 19 and 28 at the time of your application. Offer T&Cs on insurer website apply.
ahm Life Insurance
$1,500,000
55
$1,500,000
Data not available
Data not available
Data not available
Our verdict: ahm offers a simple application process. You can be approved online or over the phone. There are no medical or blood tests needed.

⭐ Current offer: Get 10% off your first year of ahm Life Insurance when you apply by 31 July 2024. T&Cs apply.
AAMI Life Insurance
$1,500,000
65
$1,500,000
Data not available
3.1 months
$37,768 million
Our verdict: There’s flexibility with AAMI as you can add another adult to your cover, with a competitive limit of $1.5 million. Easy application process with no medical exams.

⭐ Current offer: Save up to 10% on premiums every year for the life of the policy on AAMI Life Insurance. Offer ends 30 Sept 2024. T&Cs apply.
Suncorp Life Insurance
$1,500,000
65
$1,500,000
Data not available
3.1 months
$37,768 million
Our verdict: Competitive maximum cover limit of $1.5 million. Suncorp lets you change your cover amount by up to $100,000 after a big life event, such as having a baby.

⭐ Current offer: Save up to 10% on premiums every year for the life of the policy on Suncorp Life Insurance. Offer ends 30 Sept 2024. T&Cs apply.
Real Family Life Cover
$1,000,000
64
$1,000,000
88.90%
2.4 months
$53,238 million
Our verdict: The application is simple; it can be done with 1 phone call and there are no medical exams. But households with larger debts may need more than a $1 million payout.

⭐ Current offer: Get back 10% of the premiums you’ve paid after 1 year.
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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.

How much does life insurance cost for women?

Women tend to pay less than men for life insurance, as they have a longer life expectancy. This means they are seen as less of a risk to insurers. However, the cost of life insurance varies a lot depending on personal factors including your age, health and smoking status.

These quotes show the average monthly cost of cover, based on 4 age groups we researched for the 2023 Finder Awards:

Brand30 years old40 years old50 years old60 years oldApply
Nobleoak$15$22$67$236Get quote
RAC$19$28$82$293More info
TAL logo$19$24$51$165Get quote
Allianz logo$29$42$103$307More info
AAMI life insurance$29$57$126361Get quote
Insuranceline logo$29$57$126361More info
Suncorp life insurance logo$29$57$126361Get quote
ahm logo$35$49$116$205Get quote
Bendigo bank$36$56$128$406More info
Medibank logo$37$52$122$357Get quote

The quotes above were based on a white-collar worker, non-smoker, living in NSW, with an income of $80,000 per annum and a $500,000 policy.

What are the advantages of life insurance for women?

Some of the pros of life insurance for women include:

  • Financial security for your family. Whether you're the primary breadwinner or a stay at home mum, life insurance can safeguard you and your family's future if you're no longer there to look after them.
  • Terminal illness benefit. Many policies will pay out the full benefit amount if you are diagnosed with a terminal or critical illness, helping you pay for medical bills and living expenses.
  • It's generally cheaper for women. Women tend to pay less than men. For example, a policy with HBF for a non-smoking 25-year-old male was $40.50 compared to $27.69 for a female.
  • Life insurance is usually tax-free. Life insurance payouts to your beneficiaries are usually tax-free, meaning if you take out a $1 million dollar policy, that's exactly how much your family will get.

Are there disadvantages of life insurance for women?

Here are some of the cons of a life insurance policy for women.

  • It's an added expense. You probably already have lots of bills to worry about and a monthly life insurance payment is simply adding to the pile. The question really comes down to whether you're willing to risk it.
  • You need to take some time to look for a policy. It's not the most fun task, but it is necessary to shop around if you do plan to buy.

Finder survey: What type of life insurance do people have?

ResponseFemaleMale
I don't have any of the above insurance64.85%56.22%
Life insurance29%35.99%
Income protection insurance15.47%21.34%
TPD insurance12.3%16.51%
Source: Finder survey by Pure Profile of 1110 Australians, December 2023

Why is there a price difference between women and men for life cover?

On average, women pay less for death cover due to the difference in life expectancy – which is 85.4 years for females and 81.3 for males. This means that men are seen as an added risk of making a claim, and this is passed on in the form of higher premiums.

However, women tend to pay more for both income protection insurance and trauma cover due to their higher likelihood of making a claim for these insurances. Women are on the whole more susceptible to some working-age based illnesses, such as breast cancer, that can lead to more claims.

Phil Thompson, Director of Skye Wealth, told Finder: "There are no anti-discrimination laws for insurance companies. That's what insurance is all about: pricing based on risk. It's a discrimination."

Pascale Helyar-Moray, a financial literacy expert, told Finder the inequality in pricing is also due to cultural factors – with women being generally more inclined to go to a doctor when they suspect they're ill.

Insurers know that women are more likely to take action. Therefore, there's going to be a higher degree of medical treatment and a cost outlay required. And that's why women are charged more.

Pascale Helyar-Moray

Pascale Helyar-Moray
Founder and CEO of Super Rewards

Still unsure what cover you need? Take this quick quiz

Bottom line

Life insurance can provide financial security and peace of mind in case the worst happens. You can begin comparing policies here.

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Frequently asked questions

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Editor, Insurance & Innovations

Gary Ross Hunter was an editor at Finder, specialising in insurance. He’s been writing about life, travel, home, car, pet and health insurance for over 6 years and regularly appears as an insurance expert in publications including The Sydney Morning Herald, The Guardian and news.com.au. Gary holds a Kaplan Tier 2 General Advice General Insurance certification which meets the requirements of ASIC Regulatory Guide 146 (RG146). See full bio

Gary Ross's expertise
Gary Ross has written 730 Finder guides across topics including:
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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). See full bio

James's expertise
James has written 258 Finder guides across topics including:
  • Car, home, life, health, travel and pet insurance
  • Managing the cost of living
  • Money-saving tips

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