Are you underinsured in life insurance?

Using your age, gender and lifestyle you can get an idea on the level and type of cover that’s best for you.

The day you’ve been waiting for has arrived; your brand-new car is ready to take home. What’s the first thing you do before you get into the driver’s seat? Get car insurance, right? There’s no way you’ll risk anything happening to your set of wheels! We know you want to help protect what matters most. That’s why it’s important to get the right level of life insurance. So, are you underinsuring yourself? 

Do you have the right level of life insurance?

Life Insurance is all about helping your family if you get terminally ill or pass away. If you want to protect your income, Income Protection Insurance can pay a monthly premium to you and your family if you get sick or injured and can’t work. By looking at your lifestyle you can get an idea at how much life insurance cover you need. Remember, as your life changes your cover needs may too. Keep evaluating your assets and debts to ensure you’re properly protected.

What does it mean to be underinsured?

Life insurance is all about managing risks so you can help protect yourself, your loved ones and your lifestyle. Being underinsured means you don’t have the right level of cover to support you and your family if you pass away or you need to be absent from work.

Are you at risk of underinsurance?

Statistics show that 95% of Australians may not have adequate levels of life insurance¹.

Being underinsured means that if something unexpected happened to you, your family could become financially vulnerable.

Want to know if you’re are risk? Answer our questions to see if you could be underinsured;

 In the last year:  Yes  No
 Has your income changed?    
 Do you have new financial obligations, like starting a new business?    
 Do you have a mortgage, car loan or other debts?    
 Do you have children or are you expecting a child?    
 Did you get married or divorced?    
 If you answered yes to any of these questions you may be at risk of being underinsured

Not sure which cover’s right for you? It could be worth having a chat to a financial specialist or life insurance provider.


1 Lifewise/NATSEM Underinsurance Report – Understanding the social and economic cost of underinsurance, February 2010. The Life and Income Protection Insurance suite of products described is distributed by RACQ Operations Pty Ltd ABN 80 009 663 414, Authorised Representative Number 234978 (RACQO), an authorised representative of AIA Financial Services Limited ABN 68 008 540 252, AFSL 231109 (AIAFS) and is issued by AIA Australia Limited ABN 79 004 837 861, AFSL 230043 (AIAA). RACQO is a distributor only; it does not sell, issue or guarantee these products. AIAFS and other authorised representatives of AIAFS are also involved in distributing these products. Descriptions of product benefits and features are a summary only. You should consider factors like your objectives, financial situation and needs and read the relevant Product Disclosure Statement (PDS) available at racq.com/lifeinsurance before deciding to acquire or continuing to hold any of these products. The information on this website is general and does not take such factors into account so you should consider its appropriateness in the context of such factors. Cover is subject to terms, conditions, limitations and exclusions.

Insurance products issued by RACQ Insurance Limited ABN 50 009 704 152. Conditions, limits and exclusions apply. Read the PDS before making a purchase decision. Ask us for a copy.