Most Australians hold some form of life insurance, but many haven't looked at it in years. The latest data shows insurers pay the vast majority of claims. The bigger risk is having the wrong amount of cover, or cover you think you have but don't.
How Underinsured Are Australians? The Gap Nobody Talks About
Around 44% of Australians have no life insurance outside of what sits inside their super fund. Of those who do have some cover, a significant portion are underinsured to a degree that would leave their families in serious financial difficulty. Research from Rice Warner, cited by the Financial Services Council, has estimated that the average Australian family has life insurance cover equal to only about 61% of what they actually need. That gap does not feel abstract when you start putting real numbers to it.