Life Insurance in Uncertain Times

To paraphrase an old Chinese saying we are ‘living in uncertain times’. Right now, we are all having to deal with the uncertainty that the COVID-19 pandemic brings and there is no clear end in sight as to when life will return to normal.

In the meantime, “life goes on” as the American poet Robert Frost, so famously said with major life events happening at different stages of our lives from getting married, having a baby, and buying a house to unexpected illness and losing a loved one.

And for each of these significant milestones you can be certain of one thing – taking the precautions to help with financial security for you and your family makes good sense.

Getting Started in Life

If you are young and starting out in life you may not think you need life insurance. But consider if you are a young professional and had to stop work due to an unexpected illness or injury, how would you cope financially? The loss of your income could be difficult to deal with for a protracted period of time.

Income protection insurance can provide you with an income if you have to stop working for a while due to serious illness or injury. The regular income provided during your policy’s benefit period can be used to pay for essential living expenses such medical care and rent.

Getting Married or in a Relationship

You’ve finally decided to take the plunge! Getting married or deciding to move in together is a joyous occasion for everyone involved. But did you know that when you marry or commence a relationship, you may also be taking on shared financial obligations?

ASIC’s Moneysmart offers some great pointers on several of the main financial things you need to consider if you are getting married or living as a couple including life insurance, and getting your will and superannuation in order.

Life insurance products can be a great way to provide peace of mind – covers are available to help in the event that you become sick or injured so that you don’t have to rely on your savings or credit to manage (for example, TPD cover which pays a lump sum if you’re unable to work again; and trauma cover which pays a lump sum if you are diagnosed with one of the serious medical conditions listed in the PDS).

Later in life, if divorce occurs, you may be left with a depleted income. Life cover can be an effective way of protecting your dependents against an uncertain financial future in the event of your death.

Taking out a Mortgage

Taking out a mortgage is generally a big financial commitment for anyone. When buying a house, accessing your first home loan or increasing your mortgage, you can’t afford to leave yourself unprotected.

Who will pay the mortgage if something happens to you or your partner and you were to unexpectedly pass away? Can your family cover funeral expenses as well as making up for the sudden loss of income?  This is often a time to reassess your need for life cover needs.

Raising a Family

When you start or grow your family, you should ensure you have adequate Life cover in place. You may have Life cover in your super, but is it enough to cover the additional cost of bringing up a family if you’re not there?

Taking out financial protection measures such as life cover is  often a smart thing to do

Income Protection can also be an important addition to your financial cover, providing a continued income stream for your benefit period in the event of a life-changing accident or illness leaving you unable to work for a while.

Retiring

Did you know that the average life expectancy in Australia is 83.64 years in 2021 compared to 70 in the 1950s? And whilst the need for life cover may not be as obvious once the mortgage has been paid and the children grown up with their own families, there are still several good reasons to hold on to it or even take it out.

Having life insurance cover can offer that additional financial security and peace of mind in the event you are diagnosed with a terminal illness (NobleOak’s life cover has a terminal illness benefit, which means the sum insured is paid upon diagnosis by 2 doctors instead of being paid upon death) or sadly pass away  (NobleOak’s life cover has a Funeral Advance Benefit which means $15,000 of your sum insured is promptly advanced upon provision of your death certificate, to assist with funeral expenses).

Obtaining Life insurance

If you are looking to reduce some of the financial uncertainty in your life, it only takes a few minutes to get a quote for life insurance online or over the phone by calling 1300 041 494.

The easy to use NobleOak Life insurance calculator can be useful to help you think about what level of cover you might need.

Important information – The Target Market Determinations for NobleOak’s life insurance products are available on our website at https://www.nobleoak.com.au/target-market-determination/ . Cover is issued by NobleOak Life Limited ABN 85 087 648 708 AFSL No. 247302. Address: 66 Clarence Street, Sydney NSW 2000. Phone: 1300 108 490. Email: [email protected]

Cover is available to Australian residents and is subject to acceptance of the application and the terms and conditions set out in the PDS for the product. This information is of a general nature only and does not take into consideration your individual circumstances, objectives, financial situation or needs. Before you purchase an insurance product, you should carefully consider the PDS to decide if it is right for you. The PDS is available by calling NobleOak on 1300 108 490 or from www.nobleoak.com.au. Clients should not cancel any existing Life Insurance policy until they have been informed in writing that their replacement cover is in place. NobleOak cannot provide you with personal advice, but our staff may provide general information about NobleOak Life insurance. By supplying your contact details, you are consenting to be contacted by NobleOak, in accordance with NobleOak’s Privacy Policy.

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