What is Life Insurance?

Life Insurance is the umbrella term that refers to insuring your family’s current quality of life in the unfortunate event of injury, illness or death. It provides you with peace of mind by mitigating potential risk and easing financial burden, should one of these scenarios ever occur.

There are four primary types of Life Insurance:

• Life Cover (also known as Term Life Insurance) protects your family against unforeseeable financial burden if you were to pass away unexpectedly, by providing them with a lump sum payment
• Total and Permanent Disability (TPD) Insurance provides a lump sum benefit should you become permanently disabled as a result of illness or injury
• Trauma Insurance (also known as Recovery Insurance) provides cover if you are diagnosed with a specified illness or injury, such as a stroke. If this was to occur, Trauma Cover provides a financial safety net for you and your family, allowing you to focus on recovery
• Income Protection Insurance is specifically designed to cover your income if you are unable to return to work due to illness or injury. Instead of a lump sum like the other life insurance categories, Income Protection is a monthly benefit that covers up to 75% of your income

Policies, terms and conditions vary between Insurance Providers, so it’s always advised to read the Product Disclosure Statement (PDS) and compare covers before you apply for Life Insurance.

For more information about what insurance products are right for you check out our Life Insurance FAQs or speak one of our Life Insurance Specialists on 1300 041 494.

How much does Life Insurance cost?

The cost of Life Insurance depends on a variety of factors, like your age, gender and whether you smoke or not. It also depends on your occupation and lifestyle, your medical history and the level of cover you choose.

Generally speaking, Life Cover costs less than most people think. For example, if you are a 35-year-old non-smoking male, you would pay approximately $30/month for cover worth $500,000. If you are a 35-year-old non-smoking female, you would pay approximately $25/month for the same cover. Females have a lower mortality risk.

Premiums can usually be paid monthly, quarterly, half yearly or yearly to suit your budget. At NobleOak we let you choose the types and amounts of cover you want, and you only pay for what you are covered for.

Because we’ve been winning industry awards for our insurance products and providing them directly to the consumer without the middleman, NobleOak® Life Insurance delivers 5-star cover with lower premiums compared with other major insurers.

 

Does low-cost Life Insurance provide quality cover?

NobleOak is very proud to be able to offer Australians award-winning Life Insurance, without the hefty price tag. Our ongoing goal is to keep costs down while delivering premium Insurance products for your peace of mind.

When you’re shopping around for Life Insurance, what are the most important criteria on your shopping list? If you’re like most, then cost and quality are up there. By cost, we mean the price of premiums; and by quality, we mean the features of the product, ease of making claims, and how likely you are to get paid at claim time.

Some people believe that cost and quality are directly correlated – that is, if one goes up, the other goes up too. NobleOak proves otherwise. Here’s how we keep our premiums low, and our service high.

Life Cover Direct to You

NobleOak is a direct insurer. Our products are not sold through financial advisers; instead, they are made available directly to you. Other insurers who distribute through financial advisors pay upfront commissions which can be up to 120% of your first year’s premiums, adding significant cost to the distribution of their products which must then be built into their premiums.

By dealing with you directly, NobleOak is able to provide you with cover without any upfront advisor fees. In fact, our competitive Life Insurance premiums are on average 20%* lower when compared to other major insurers.

Complete Peace of Mind

Unlike some other direct insurers, our products are of the same caliber as those you’d purchase through a financial adviser. For example, you can access up to $15 million in Life Cover with Noble Oak – this level of comprehensive cover is usually only available through an adviser led product.

All cover offered by NobleOak is fully underwritten. This means that we assess your risk upfront when you submit your application, by asking you a range of medical, health and lifestyle questions and undertaking a free blood or medical assessment if required. We then use this risk assessment to tailor the cost of cover to you as an individual.

With fully underwritten insurance cover, there are no nasty surprises if you ever needed to make a claim (as long as you were completely honest with us when you submitted your application). You know exactly what you are covered for and all terms are agreed with you upfront.

Best of the best

NobleOak is proud of the 5-star awards it has won from Canstar, one of the leading independent rating services in Australia. In both 2016 and 2017, NobleOak won the awards for Outstanding Direct Life Insurance in Australia and Outstaning Direct Income Protection Insurance in Australia.

We also received the Strategic Insight Overall Excellence award in 2016 for Life Insurance – their independent review ranked NobleOak’s Life Cover as a market leader with respect to price and features.

These awards are testimony to NobleOak’s commitment to delivering premium Life Insurance and Income Protection Insurance products to our clients. We are proud of our reputation for excellent claims servicing, and our reliability in paying claims quickly and efficiently.

With NobleOak® Life Insurance, you can be assured of blue ribbon service – which, ultimately, translates into more security come claim time – at a much more affordable price point. To get started, get a Life Insurance quote online or speak with one of our Insurance Specialists today on 1300 041 494.

 

How can I reduce the cost of Life Insurance?

You can reduce the cost of Life Insurance by making sure you are fit, a healthy weight, and a non-smoker. And perhaps exclude risky activities like hang-gliding and quad-bike riding from your cover. Access our Life Insurance cost calculator to find out how much cover you may need.

It is important that you have the right level of cover for your needs and we don’t advise economising by reducing your cover unless your circumstances allow. If your financial obligations have decreased, for example your mortgage is paid off and your children are financially independent, then decreasing your cover is a way of reducing your premiums.

There may be times in your life when you feel the pinch and would like to keep your outgoings steady, including your insurance premiums. With NobleOak® Life Cover, you may choose to fix the cost of your premiums at any time by writing to us with a request to freeze your premium amount.

Premium Freeze Benefit means that your future premiums will be fixed at the amount you were paying on the date you notified us. Instead of the premium increasing with age and inflation, each year your cover amount will be adjusted to the amount of cover that can be purchased for the frozen premium using the premium rates applicable for your age. Then, when you are ready to resume insurance cover which keeps up with the rising cost of living, you simply need to write to NobleOak and we will end the premium freeze on the next anniversary of your cover.

Is Life Insurance Tax Deductible?

Life Insurance, TPD Insurance and Trauma Insurance are generally not tax deductible for most taxpayers when insuring themselves. Income Protection Insurance premiums, however, are generally tax deductible, whether you are insured with NobleOak or any other insurer.

If you are purchasing Life Cover and TPD Insurance for business purposes, then your tax situation may differ. In this case, and for all queries about taxation, we recommend you seek advice from your accountant or financial adviser.

Can I add TPD, Trauma or Income Protection to my Life Insurance?

Yes, you can!  NobleOak’s comprehensive Life Insurance lets you choose the types and amounts of cover you want – you only pay for what you are covered for.

If you add NobleOak® Total & Permanent Disability Cover to your Life Insurance, then any approved claim for TPD will reduce your Life Insurance cover by the amount of the TPD payment.

Similarly, if you add NobleOak® Trauma Cover to your Life Insurance, then any approved claim for Trauma will reduce the Life Insurance cover by the amount of the Trauma payment. However, if you take stand-alone Trauma Insurance, then any subsequent claim will not affect your Life Insurance cover.

Any claim on your NobleOak® Income Protection Cover has no effect on your Life Insurance cover, TPD cover or Trauma cover.

Simply call us on 1300 041 494 for a quote for any additional cover, and a member of our team will be happy to help you get the cover that fits your needs.