Rising life insurance premiums are causing customers to cancel their policies, which could be a dangerous move.Insurance experts estimate that one-third of all life insurance policies are cancelled within six years of purchase, leaving families without financial protection.
What’s worse is that the financial instability could be avoided because more affordable policies can be easy to find if you shop around. Nick, an insurance advisor for LifeInsuranceComparison.com.au, says high competition among insurers means that there’s usually a better deal on the market.
Here’s How You Do It:
Step 1: Select your current age below.
Step 2: Once you answer a few questions, you will have the opportunity to compare quotes from up to 13 of Australia’s largest insurers. You may also be entitled to a free consultation.
“Eight out of ten times we can find customers a cheaper policy,” he said. “On top of that many people can save 6-7 percent if they pay their premium annually instead of monthly.”
If you’re weighing up the value of your life cover, here are six reasons why you should keep it.
- Accidents and illnesses happen
The nature of an accident is that it’s unexpected. Although you can take precautions, you can’t prevent every accident, and the same goes for an illness. In fact, approximately one-third of women and one-fourth of men will experience cancer in their lifetime.* If you are unable to work, it doesn’t take long before the bills start piling up.
- When accidents happen bills often go up, not down
After an accident or illness, it’s not just the regular bills you have to worry about. There are often added expenses related to medical care or legal fees to deal with. Without good life cover, many families are unable to afford these payments.
- Life cover in super may not be what it seems
Life insurance through superannuation has given many Australians peace of mind without an extra premium to pay. If you have life insurance in your super, check that you truly are covered. Most super funds do not extend claim payouts to casual workers, even though they have paid a premium.
- You have insufficient savings
Statistics show that 25 percent of Australian families wouldn’t be able to scrape together $500 in an emergency.** Living paycheck-to-paycheck is a reality for many families, who could find themselves in real trouble without life insurance. Regular household expenses like food, fuel, and electricity bills can quickly drain an emergency savings account.
- More affordable coverage could be available
If you cancel your expensive life cover without shopping around, you’re doing yourself a disservice. Visit LifeInsuranceComparison.com.au for a quick quote on policies and assistance with making the switch to an insurer who offers better value.
- You have a mortgage
If you’ve got a substantial mortgage, you could benefit from life insurance. When a homeowner passes away unexpectedly, their mortgage doesn’t disappear but is often passed to a surviving spouse or children. These family members are then responsible for the payments and the costs of selling the house if they so choose. Life insurance can protect them from that extra burden.
Get Started Now:
Step 1: Select your state below.
Step 2: After answering a few questions, you will have the opportunity to compare quotes in your area and could be eligible for significant savings.