Superannuation and Life Insurance

Despite the fact that almost every working Australian has a level of life insurance cover within their superannuation, Australia has proved to be one of the most underinsured nations in the developed world.

Life Insurance within your Super

A 2008 survey by the Australian Institute of Superannuation Trustees (AIST) and Industry Funds Forum (IFF) revealed that "one in two industry fund members were underinsured by $100,000 or more".

Specifically results of the survey showed that:

1. 50% are underinsured by $100,000 for life insurance.
2. 74% are underinsured by $100,000 for TPD.
3. 45% are underinsured by $1000 a month for income protection.

Rice Warner Actuaries estimate that life insurance cover within super is on average only 20% of what is needed.

Evaluate your situation

Want to find out if you are underinsured? Want more information or free quotes from 15 major insurance companies in Australia? Feel free to call us at 1300 793 143 or submit an Enquiry form on the right and one of our advisers will call you at a time convenient for you.

Range of factors that stop Australians from insuring themselves

• Low levels of awareness - 40% of industry super fund members never really think about insurance.
• A perception that life insurance is too expensive is a major barrier - 81% say life insurance is too expensive, yet 61% over estimate cost.
• 37% of industry super fund members believe life insurance is a low priority given other financial commitments.
• A lack of understanding stops 1 in 3 Australians without life insurance outside their super from taking adequate cover.
• 41% say life insurance is too complicated. 1 in 4 don't know where to start, 1 in 5 say it's too hard to select a product that meets their need.
• 63% of those with a partner say they have not discussed life insurance with their partner. 29% say life insurance is too unpleasant or difficult to discuss.

Life insurance is more affordable than people think

• The monthly premium for a 35 year old male, non-smoker applying for $500,000 of Life Cover would be approximately $30. A 35 year old female, non-smoker applying for $500,000 of Life Cover the monthly premium would be $25.
• If you have some existing cover through your super, increasing this to adequate levels may cost even less.

20% discount on Life Insurance

Currently we have special promotion offer and give 20% off on your first years insurance premiums when you apply for life insurance, so you save even more. Enquire now!