Are you making this costly Life Insurance mistake?
It seems that big bank life insurers charge, on average, over 20% more than the most competitive retail premium.
Australia has 10 recognized retail life insurers. Until recently, 5 were owned by large financial groups with aligned planners (Commonwealth Bank, NAB, ANZ, Westpac and AMP). And chances are your life insurance is with one of them.
If you have arranged "in-house" life insurance through these big five groups, you may be paying more than necessary. Sometimes, only a few insurance products are on the “official” list for advisers of these groups. Also, there have been big incentives to sell the branded option. As a result, you may be paying higher premiums for your level of cover.
Stop making this costly Life Insurance mistake:
- Life Insurance prices vary by 30-40% among insurance companies in Australia. Avoid being overcharged - always compare!
- And if you have your life insurance policy for 5+ years, you're most likely paying 20-30% more than you should. Insurance companies don't reward the loyalty! If their prices for a comparable policy come down, your insurance premiums don’t come down - you will pay the old higher premiums! Review your Life Insurance every 3-5 years!
See the example below:
Paid claims for death and disability increased from $9.11 billion in FY2017 to 9.79 billion in FY2018! Life insurance claims are heavily scrutinised by a regulators in Australia.
Source: APRA
That's 38.8% difference for men and 51.1% difference for women!
How much you should be paying for your Life Insurance?
Start here:
