Frequently Asked Questions

Do I have to be an Australian resident to apply?

Yes. You need to be a citizen or an Australian permanent resident to apply.

Why should I have life insurance?

Death is part of life and we will all eventually end up there. The important point is to make sure that the ones you love are taken care when you are gone. Life insurance allows you to maintain the financial life for those who will still be living and have a future. It’s a way of protecting your spouse and/or your children just like you would protect them from dangers and difficulties in life. At EZInsurance.com.au, our advisors are here to help you gain more understanding of this subject and help you select the right life insurance policy.

How do I choose the right company?

Buying life insurance is a little more complex than purchasing a car or a television. When you purchase a policy you are buying a promise, a contract to pay something in the future vs. buying a commodity or something tangible. It's very important for you to examine the company that's backing your policy as well as considering the cost of the policy. One of the important items to consider when looking at a life insurance company is the financial strength rating of the company. Insurance company financial ratings are described further on this site.

How do I know if I'm getting the best rates?

You can find out if you're getting the best life insurance rates here online at EZInsurance.com.au. It's to your advantage to have EZInsurance.com.au working for you because we're not affiliated with the companies we provide for you. Therefore, we can look after your best interest without a conflict of interest.

What are the steps that I would go through?

First, choose the coverage amount you desire and then get quotes right here on the site. You will receive a quote and related advice.

The next steps are application to the insurance company which we’ll help you with, a short medical exam provided by the life insurance company you choose, a review of your information by the life insurance company, then approval and premium paid and you’re on your way.

What if I smoke cigarettes or use tobacco, does that affect my insurance rates?

The answer is yes it will but you still can get competitive rates. Some companies charge less for tobacco use than others. Also, if you get a life insurance policy that includes a rate for tobacco use, it’s possible to lower it in future years if you quit tobacco for a number of years and remain healthy. We just go back and work with the insurance company to try to lower your rate and in most cases we can do that for you.

Does my weight affect my life insurance rate?

There are different rate classes for life insurance. When calculating the exact rate for you, the company does take your weight into consideration. There is a height/weight chart on this site that can give you an idea how weight affects the way insurance companies might judge your rating class. Our quoting engine takes your height and weight into consideration when calculating your rate class and premium.

What if I travel overseas?

You are covered 24 hours a day, 7 days a week and anywhere in the world. Some insurers may require that you return to Australia within a specified period (eg three months) after making a claim in order to continue to receive payments.

However if at the time of application for insurance you intend travelling or living overseas you will need to declare this and depending on the destination and the length of stay the insurance company may decline or restrict cover.

What type of financial evidence may be required?

Depending on your sum insured, occupation and whether you are employed or self employed you may be required to complete a Financial questionnaire or provide copies of tax returns or business accounts.

Am I locked into the cover for a certain period?

No. The policy that you establish can be cancelled at any time without any penalties.

Can the Insurance Company cancel my policy due to my health?

No, the insurance company cannot cancel your policy due to a change in your health.

What’s the difference between stepped and level premiums?

Stepped premiums increase each year as you get older, the amount they increase each year will depend on age.

• From age 20-30 little if any increase each year
• From age 30-40 average 6% increase each year
• From age 40-50 average 8% increase each year
• From age 50-60 average 10% increase each year
• Above age 60 average 15% increase each year

Please note that this is a guide only in regard to annual increase.

This means that as you get older the insurance premiums can get quite high, but there is one way of avoiding this, level premiums. Level premiums are where the premium will remain constant up to age 65 so long as the cover remains constant. Level premiums may be higher now, but over the long term they are significantly cheaper. Where appropriate we will always provide quotes on stepped and level premiums. Note that if you take level premiums, after age 65 they will revert to a stepped premium basis.

How do I pay my premiums?

Most companies offer the choice of 3 methods of payment:

• Cheque or money orders
• Credit card
• Direct debit authority from your bank account

Do I need to have a Medical examination before taking out a policy?

Most people do not require a medical for establishment of cover, whether you will need any blood tests or medical requirements will be determined by your age and the amount of cover that you apply for. The life company will pay for any medical requirements and we arrange these for you. In most cases we send a nurse out to see you to complete the tests if the company requires you to have them. That way the process is as quick and simple as possible.

Are there any tax implications?

If a Term Life policy is written through a superannuation fund, the premiums are tax deductible. Taxation of death benefits depends on whether the benefits are paid to a dependant, non-dependant or to the Trustee of the deceased’s estate, and the total amount in superannuation.

If a Term Life policy is not written through a superannuation fund, the premiums are not tax deductible and any proceeds recovered are not considered to be assessable income.

As everyone’s circumstances are different, we recommend you seek taxation advice from an independent tax adviser.

What are your fees? Do you get paid commission?

We does not charge a fee for the advice or for finding you an appropriate insurance cover. We are paid a commission by the recommended insurance company (via Charter) which allows us to deliver this service free to you.