Life insurance isn’t explicitly easy to acquire and can be quite the hassle. Cheap life insurance is even harder to find. Finding the right prices and the right policies for your particular case might prove to be a little bit too difficult on your own, especially if you’re doing it for the first time. Don’t worry though, for we are here to help you with that.
First though, remember that life insurance is something you probably will need to consider eventually, so even if you’re not interested right now, you might still want to keep reading for future reference when you do end up in need of one for you and your family.
Now, with that said, first we’re going to give you some basic tips that’ll help you on your journey to find the best insurance at the best price. Then we will show you the cheapest offers available so that you can check on your own time if they’re actually good for you. Let’s go then.
Finding the Best Life Insurance
It’s imperative to remember first and foremost that there are three ways in Australia to purchase life insurance. It can be retail, direct, or super. For those who don’t know, retail is when you get it through a broker or adviser, direct is when you buy it from an insurance company, online or otherwise, you get it through you bank, or from a big brand in general, and finally super is the insurance cover that comes with your superannuation. [1]
With that out of the way, here are some tips on how to get a good life insurance for the best price:
The younger you apply for one, the better. Since your age will indeed directly affect your chances of getting a life-threatening illness and/or an untimely death, and these companies base their prices on that, it’s often recommended that you get one as young as you realistically can.
Stop smoking. On the topic of personal health affecting the cost of life insurance, not smoking is perhaps the one thing that reduces the rate of your insurance the most, including the premium-type ones. Not to mention, life insurance or otherwise, smoking just isn’t good for you.
Level and stepped premiums. If you are looking for longer-term insurance for when you’re older, getting a level premium might be the best choice, as you’ll likely end up paying a bit more initially but way less as the years go by. Stepped premium’s the opposite, for it is calculated based on your age. In this case then, younger is going to equal cheaper. [2]
Getting combined benefits and multiple policies can get you some discounts. Chances are that you will get some type of additional discount if you go and get multiple cover types on the same policy from the same company. Also, getting more than one policy (say, for you and your significant other) oftentimes will net you some overall discount as well. So, if you’re thinking of going all out, it might be worth asking for their current offers on that, as it will end up being more affordable than just buying them on their own.
Cheapest Life Insurance Offers
So then, if you are currently wondering about getting some life insurance, be it for yourself or in some cases for someone else who’s close to you, but you are not exactly willing to spend a fortune on it over time, here we show you the cheapest, best-bang-for-your-buck life insurances in Australia:
BT Life Insurance – Term Life: around $29.75 [3]
One of the larger and more well-known insurance companies in the country, BT Life Insurance offers many services, but the one to focus on right now is term life insurance. It pays when you die or are diagnosed a terminal illness. This payment may be used for funeral expenses, mortgage and big debts you may possess. Entry ages are between 15 and 69 years old, and the expiry age is 99.
TAL Life Insurance – Accelerated Protection: around $37.68 [4]
Another one of the big names when it comes to life insurance in Australia, and perhaps the oldest one to boot, having the around since the late 19th century. Much like BT, they offer the run-of-the-mill services like life cover, TDP and trauma insurance, as well as income protection.
ClearView – Life Cover: around $39.07 [5]
ClearView offers the Life Cover service, which will pay you a lump sum to your stated beneficiaries in the event of your untimely death or in the event you are diagnosed with a terminal illness or disease. You can enter this program between ages 18 and 75 for stepped premiums and 18 and 60 for level or hybrids, and it expires on your death or when you turn 99.
NEOS – Life Cover: around $39.85 [6]
NEOS is a new player in the life insurance world, having started in 2018. Nonetheless, that doesn’t mean its services should be disregarded in favor of others just for that. It’s program, like most others, will pay when you die or get a terminal illness. The entry ages are similar as well: 18 to 75 for stepped, and 18 to 60 for level premiums, and it expires at age 99. The sum insured varies between a minimum of $50,000 and a max of $3 million.
Zurich – Death Cover: around $41.99 [7]
Your beneficiaries will be paid at the time of your death or, again, if you suffer a terminal illness (as per Zurich’s specifications). Zurich has the lowest entry age at 10, and a max entry age of 70. The expiry age for the service is 99 years old.
As a final note, it is worth noting that these prices are not set in stone and will more than likely vary depending on your personal background as well as the time of your inquiry. We advise, should you be interested in getting life insurance, that you thoroughly research the specificities of each of the many services offered by not only the companies we presented, but the many more that are out there.
In the end, this article is meant to serve as just a basis. You should always make the final decision with your own, personal and specific needs in mind.
[1] https://www.finder.com.au/buy-life-insurance
[2] https://www.ratedetective.com.au/guides/insurance/stepped-vs-level-insurance-premiums/
[3] https://www.bt.com.au/personal/insurance.html
[4] https://www.tal.com.au/
[5] https://www.clearview.com.au/life-insurance
[6] https://neoslife.com.au/about-life-insurance/
