With our free life insurance calculator, you’ll be asked a few basic questions about your life insurance needs. With this information, we’ll be able to tell you roughly how much life insurance cover you may want to consider for term life insurance, trauma cover and total and permanent disability cover.
From there, you can compare life insurance quotes for that level of cover from our panel of trusted insurers. If you already have an idea of how much cover you want, you can skip straight to our free-to-use life insurance comparison tool.
How much life insurance do I need?
To determine how much life insurance you need, our calculator will ask you:
- How old you are
- If you’re married
- If you have dependent children
- If you own your home, and if so, whether you have a home loan and how much your home loan costs
- If you have any other debts, such as credit cards, car loans or personal loans.
On top of the factors that our life insurance calculator considers, there are a few other things that could affect the life insurance cover amount you want, including:
- Superannuation. If you have a lot of money saved in your super account, this may affect the amount of cover that’s appropriate for your circumstances. Alternatively, if you haven’t saved much or you’ve had to withdraw your super due to financial hardship, you might want to consider a more comprehensive life insurance policy.
- Living expenses. Your lifestyle and where you and your loved ones live may affect the level of cover that’s appropriate for you to maintain living expenses.
- Education. If your children are in private education, you might want a higher level of cover to make sure they don’t have to transfer schools if you’re no longer there to provide for them.
What influences the cost of my life insurance?
Naturally, the higher your level of cover, the higher your premiums. However, there are also several factors taken into account during the underwriting process that influence life insurance premiums in Australia:
- Occupation. Dangerous occupations pay a premium for their trade.
- Hobbies. For example, if you’re a cave diver in your free time, it doesn’t matter how safe your occupation is, this will affect your premium.
- Health condition. Do you have a pre-existing condition? This could affect your cover.
- Smoking status. Non-smokers may get cheaper life insurance premiums than their smoking counterparts.
Disclaimer: The information provided here is general only and does not consider your personal objectives, financial situation or needs, and is not a substitute for financial advice. Before you decide to purchase a product, it’s important to read the relevant Product Disclosure Statement (PDS) and Target Market Determination (TMD).
