Are you an Australian Doctor looking for the cheapest life insurance policy ?
Take care, as the cheapest policy may not be the best option for you.
What influences the price you would pay for life insurance ?
Each life insurer will have their own factors that they will allow for in determining the price they will offer you. Some factors they will consider include, but are not limited to :
- Your age
- Your gender
- Whether or not you smoke
- Your occupation
- Your medical history
- The amount of cover you want
- The type of cover you want
Types of life insurance
There are many types of cover offered by life insurers, these include, but are not limited to :
- Death Cover
- Total and Permanent Disability Cover
- Trauma Cover
- Income Protection Insurance Cover
- Business Expenses (Disability) Cover
Within each type of cover, there are further sub-types. For example, Total and Permanent Disability (TPD) Cover gives you an option of choosing one of 2 types of definitions that govern how serious your illness or injury must be to qualify for a claim. One definition will, in theory, be easier to claim on then the other. And that coverage option will attract a higher price. So, the cheapest policy may not necessarily be the best coverage.
The number of life insurers
There are many life insurers competing for your business in Australia. And the prices charged by each insurer generally can and does change over time. This means the relative competitiveness of each policy may change over time. So a policy that starts off relatively cheapest, may not enjoy that position with changes over time.
The underwriting process
You may be able to get an illustrative quotation upfront from an insurer. But that quotation is not binding and is subject to you needing to supply additional medical evidence if you then apply for cover. And based on that evidence, the insurer could load your premium or restrict your coverage. And how each insurer will respond to various aspects of less than perfect health, will differ from insurer to insurer, and hence impact the competitiveness of the eventual price you may pay.
Many factors to consider
There are many complex dynamics that mean it is not possible to generalise as to which is the cheapest life insurance policy for you. And the cheapest policy may not be suitable for your personal needs, objectives and circumstances.
Personal advice from a life insurance broker
The information above is general in nature. Experien Insurance Services offers potential clients a complimentary no obligation review for their life insurance. This can take into account your personal situation and provide a recommendation that is suitable for you. And this can then be matched to the best policy and price considerations across several insurers.
Contact us for a complimentary review with no obligations.
The information provided contains general information and examples and does not take into account your personal objectives, financial situation or needs. Note that the policy wording will differ from insurer to insure and loadings, exclusions and other limitations may apply by the insurer to each applicant on a case by case basis.
Life insurance and Financial Advice services are provided by Experien Insurance Services Pty Ltd (EIS) ABN 99 128 678 937 and Experien Financial Services Pty Ltd (EFS) ABN 32 631 346 757. EIS and EFS are a Corporate Authorised Representative (No. 320626 and No. 1274354) of Affinia Financial Advisers Limited ABN 13 085 335 397 AFSL No. 237857. See our website for our Financial Services Guide. Always read the Product Disclosure Statement issued by an Insurer before considering insurance
