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Tips to Get Affordable Insurance Without Compromising on Value

Find the best cheap life insurance quotes online and save big on premiums.


You can find cheap life insurance and provide your family with financial security without breaking the bank. To get the cheapest term life insurance in Australia you must first know your personal needs, then compare multiple quotes from leading insurers, and finally review your product disclosure statement (PDS) and make sure you understand the policy definitions, so you know what’s covered and what’s not.


This article aims to help you understand what factors influence your premium price and provide you with tips on how you can keep your premiums affordable without compromising on value.



11 Ways you can keep your premiums affordable:

  • Ask your insurer to remove the Consumer Price Index (CPI) increase, which is generally automatically applied to insurance policies. Take note; your policy will no longer keep up with inflation.

  • Choose level premiums, or ask your insurer whether you can switch a level premium structure and whether they offer hybrid premiums.

  • Lower you cover amount. If you have reached retirement age and no longer have dependents or a mortgage to pay off, decreasing the amount of cover you have might be an option.

  • Make lifestyle changes, like aiming for a healthy BMI range and quitting smoking. After you’ve stopped smoking for 12 months, life insurance companies will generally rate you as a non-smoker.

  • Remove optional extras. Review your policies annually to make sure you’re cover is still relevant to your current circumstances and remove unnecessary paid for options.

  • Compare quotes from Australia’s top 10 life insurance companies to find the one that best fits your budget and requirements.

  • Look for insurers that have removed policy fees from their premiums, like ClearView Life Solutions and MLC Insurance.

  • Bundle policies if your insurer allows it and it makes financial sense. Bundled policies generally cost less than taking out separate stand-alone policies.

  • Purchase cover when you’re young because you might pay lower premiums due to your good health.

  • Pay your premiums annually and save between 5-8%.

  • Ask whether an insurer offers discounts when purchasing multiple policies (for you and your spouse) or multiple types of cover (for example life cover and income protection) from the same insurer. Also, query whether they have a rewards program you can benefit from.

Cheap life insurance isn’t always better.

The cheapest life insurance policy isn’t necessarily the better option and price should never be your primary decision for purchasing a policy. Yes, you do need to ensure that your cover is affordable, especially in the long-run, but you also need to remember that the cheapest policy may prove insufficient, leaving your family financially vulnerable.


5 things to consider before choosing the best cheap life insurance company:

  1. Review your insurance needs and decide how much cover you require so as not to be underinsured or overinsured.

  2. Inquire about the company's financial strength, stability, and reputation for paying out claims.

  3. Read customer reviews could tell you a lot about a company’s trustworthiness and how your loved ones are likely to be treated at claim time.

  4. Consider the whole family, not just the policyholder and insured person.

  5. Ask questions as soon as you’ve found a broker or life insurer you are comfortable with. The more clarity you have on what is and what isn’t covered the easier it will be to agree on a policy that suits your requirements.

How to get cheap life insurance quotes online

This best way to find affordable life insurance quotes online is to visit an insurance comparison website and request quotes from the leading life insurance companies, then comparing their benefits, features and price side-by-side.Keep in mind that you’re more likely to find the right cover at the lowest price when comparing apples with apples, i.e. similar policy types offering more or less the same level of cover.

So, before you choose the cheapest life insurance policy available, make an informed decision by comparing your options first.


[Source: How To Get Cheap Life Insurance In Australia Without Compromising on Value.]

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