What is life insurance?
Life insurance is just a broad term for several types of insurance bundled under the term life insurance. This includes:
- death cover
- total and permanent disability
- income protection insurance
- trauma insurance.
The purpose of these products is to make sure you’re protected in the event of illness or injury. This may be through a lump sum payment or through monthly payments while you can’t work.
Why do I need it when I’m young?
Illness and injury can happen at any time regardless of your age and whether you’re healthy or unwell. If something happens and you need a few months off work, this could cause serious financial strain.
If you’re under 25 you might not have huge amounts of debt, but you’ll still have ongoing expenses if you can’t work. If you have no income and extra medical expenses, you’ll need to be able to cover them – unless you have large amounts of savings sitting there and you are willing to spend it.
Do I have life insurance through my super?
Maybe. Did you contact your super fund recently and notify them you want to keep your insurance? There have been a lot of changes to superannuation legislation that mean if you have a balance of less than $6,000, are under 25, and you haven’t contributed to your super recently, you may not have insurance.
Go online or call your superannuation fund to make sure you still have that insurance. If you receive something in the mail from your fund, read it, because if your insurance has been cancelled you might need to opt in to keep your cover.
If I don’t have it now, when should I get it?
It’s a great idea to start thinking about it now. You don’t know when something might happen and you might need that cover. Getting it sooner rather than later means you have that peace of mind.
Can I apply for life insurance online?
Many super funds will enable you to add it quickly and easily online. It depends on your fund. You may need to call them. It can be a good idea to see a financial adviser for tailored advice that is best for your needs.
What’s the quickest way to get it?
Talk to your super fund. Ask what cover you already have in place as a default. If you have additional insurance needs, you can always add extra cover.
Find out more about life insurance with MetLife.
While care has been taken in preparing this content, MetLife Insurance Limited (ABN 75 004 274 882, AFSL 238096) (MetLife) does not warrant or represent that the information, opinions or conclusions contained in this information are accurate. The information provided is general information only and is current as at the time of production. It has been prepared without taking into account your personal objectives, financial situation or needs and you should consider whether it is appropriate for you. It is not intended to be a substitute for professional advice and should not be relied upon as such. MetLife recommends that you obtain independent and specific advice from appropriate professionals before implementing a financial strategy, including reading any relevant product disclosure statements and/or terms and conditions.
Before deciding whether to acquire, or continuing to hold, any of our products, please read the Product Disclosure Statement and Target Market Determination available at metlife.com.au. MetLife Protect is issued by MetLife and MetLife Protect Super is issued by Equity Trustees Superannuation Limited
(ABN 50 055 641 757, AFSL 229757) (ETSL).