General Life Insurance Q&A
The following questions are to be used as a reference guide only and do not substitute or replace your insurance contract, the PDS or Certificate of Insurance.
- What is life insurance?
- Can I buy a life insurance policy for a family member?
- Can I get life insurance if I have cancer?
- Can the owner of a life insurance policy be the beneficiary?
- Can you cash in a life insurance policy?
- Do I need life insurance if I am single?
- How long do life insurance policies last?
- Does life insurance cover funeral costs?
- What is the maximum age for life insurance?
- How much does life insurance cost per month?
- Is it necessary to have life insurance?
- What is a good life insurance amount?
- Can my family collect my life insurance benefit?
What is life insurance?
Life insurance provides a lump-sum cash payment (the benefit amount) to the person you wish to receive your benefit (normally referred to as a nominated beneficiary or paid into the estate) in the event of your death, or to you in the event you suffer a terminal illness.
Can I buy a life insurance policy for a family member?
Yes, you can take out a policy on your own or choose a joint plan to cover your spouse, partner, or de facto. You can also include your children under the policy with optional Children’s Insurance.
Can I get life insurance if I have cancer?
You can apply for life insurance if you have been diagnosed with cancer, however there are exclusions and in certain instances you may not be approved. Please review the PDS or speak to a Real Insurance team member for more information.
Can the owner of a life insurance policy be the beneficiary?
In the event you are diagnosed with a terminal illness, your life insurance benefit will be paid to you as a lump sum. If you pass away, the benefit will be paid to your nominated beneficiary.
Can you cash in a life insurance policy?
Term life insurance policies cannot be cashed in and will not contain a savings or investment component.
Do I need life insurance if I am single?
You may think you can put off life insurance until later in life, but financial security is important for everyone – it can help loved ones keep your assets after your passing or help you maintain quality of life if diagnosed with a terminal illness.
How long do life insurance policies last?
With Real Life Insurance, your policy is guaranteed renewable. If the benefit amount is paid out, your policy will end.
Does life insurance cover funeral costs?
Life Insurance is intended to be used for ongoing expenses your family may incur such as mortgage payments, school fees and bills, however your beneficiary can use the payout however they wish.
What is the maximum age for life insurance?
You can apply for Real Life Insurance up to the age of 64 and once you are covered, your policy is guaranteed renewable. For optional Serious Illness and Total & Permanent Disability cover, you can apply up to the age of 59 and cover can remain in place until the policy anniversary following your 65th birthday.
How much does life insurance cost per month?
Factors including your age, gender, current health and medical history, lifestyle, cover amount and optional extras all contribute to the cost of cover. Call the Real Insurance team on 1300 377 325 for a quote based on your circumstances.
Is it necessary to have life insurance?
While not compulsory, if you have any dependants who rely on you to provide for them financially, then you should consider the need for life insurance. If you have any assets with debts you want kept in the family, like a house and mortgage, it’s even more important.
What is a good life insurance amount?
Every person and family is different, but you may want to consider who relies on you financially, outstanding debts (including mortgage), as well as any ongoing expenses when determining the right level of cover for your needs. Use our life insurance calculator to find out how much cover you may want to consider.
Can my family collect my life insurance benefit?
When you set up a life insurance policy with us, you can nominate up to five beneficiaries to receive a percentage of your chosen benefit amount. The beneficiaries are paid their percentage when you pass away. If you wish, they can be family members.