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Life Insurance and Disability Insurance come in different forms and combinations. Some Life Insurance products offer more comprehensive cover than others. Some are designed to payout only if you die as a result of an accident, some are designed to pay for your funeral while others are intended to help you through critical illness or to recover from an accident.
You don't necessarily need it - but just think: if you die tomorrow, will anybody face financial problems as a result? If they depend on you today, how will they cope tomorrow?
If you find the thought alarming, then you need to think seriously about life insurance cover. It means a tax-free lump sum to help those you care about deal with the practical problems associated with your death, such as the funeral and unpaid bills. It can also help with ongoing financial pressures, such as the mortgage and general living expenses.
Many families now rely on two incomes - could your spouse/partner maintain the lifestyle you'd want for them without your income? If you have children will there be enough to pay for the daily living costs? Life insurance can ensure there will be enough.
A mortgage is a large responsibility which does not simply go away when you die. Could your spouse/partner or children pay your mortgage if you weren't here anymore? A mortgage repayment insurance payout could ensure your family can keep their home.
It's even more important you make adequate provisions for your child or children should the unthinkable happen while they're still dependent on you. An insurance payout could give them the start they deserve.
Just because you don't have an income, your family could still suffer financially if you were to die. Your spouse/partner might have to quit their job to look after your children or need to pay for childcare and a housekeeper. An insurance payout could provide the income they need to have these choices.
Would your spouse or partner have enough money to maintain their lifestyle if you died? Would you like to leave an inheritance behind for your children or grandchildren?
An insurance payout could provide enough money for you to leave something behind for those you care about.
It could be that they're not able to work and /or aren't eligible for national superannuation yet. Insuring your life would mean you don't need to worry about who will take care of your parents should you die before they do.
In most cases single people don't need full life insurance because there's nobody financially dependent on them. Though there are a few exceptions - if you have a child or children that do not live with you but are still to some degree financially dependent on you, or if you have significant debt that you wouldn't want to pass on to family members if you died. Even if you have no dependants or debt, could your family cope with the cost of your funeral? You may just need something like Funeral Cover to protect them from the funeral bill.
As your life changes, so do your life insurance needs. We understand this, so we'll contact you from time to time to make sure you're still happy with what you've got. Here are some of the likely milestones in your life that would make it worth reviewing your life insurance needs:
| Benefit | Life Cover | Guaranteed Life | Accident Recovery | Accidental Death | Funeral Cover |
| Age eligibility (years) | 16 - 59 | 50 - 79 | 16 - 70 | 16 - 74 | 16 - 79 |
| Cover levels | Up to $1 million |
Dependent on premium | Standard, Standard Plus, Superior or Superior Plus | $75,000-$500,000 | $5,000-$15,000 |
| Guaranteed acceptance | |||||
| Immediate cover | For accidental death only | For accidental death only | |||
| Payout for death - accident | |||||
| Payout for death - natural causes | After two years | After two years | |||
| Early payout - terminal illness | After two years | ||||
| Payout - injury or disability | |||||
| Cash for hospitalisation | |||||
| Overseas cover | |||||
| Fixed premiums | |||||
| Fixed cover levels |
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