Should life insurance be part of my retirement plan?

Life insurance isn’t just for young families and those with significant mortgage and other debt. As you get older, whether you are still working or approaching retirement, many Australians consider life insurance as an important consideration in their overall financial plan.

If you’re looking to protect your loved ones, leave a legacy for your children, or manage end-of-life expenses, securing life insurance can give you and those you care about real financial peace of mind if life took a turn for the worse.

Financial Protection for Dependents and Partners

• Would a large lump sum cash payment provide financial peace of mind for those closest to you if you were no longer around? You may have a spouse, partner, or adult children who rely on your finances.

• The proceeds of a life cover claim may help pay off a mortgage or other loans, or provide a lump sum for your loved ones to use for years to come.

Covering End-of-Life Expenses

• Funeral and cremation costs in Australia can easily exceed $15,000¹, depending on the type of service, location and provider. Through our partnership with NobleOak Life, their life cover offers a funeral advance benefit of $30,000, payable from the life sum insured amount that is selected.

• You may also wish to consider the impact that medical or home care bills may have if you become terminally ill – without life cover they may fall to your estate or family. NobleOak’s life cover offers a Terminal Illness benefit, where your life cover sum insured will be advanced if you are diagnosed with a terminal illness and have 24 months or less to live². The policy also includes a unique Family Carer benefit with a maximum payment of $25,000, helping support you and your family with care requirements if you are terminally ill.

Estate Planning and Legacy Goals

• Life insurance proceeds generally bypass probate, delivering funds quickly in the event of a claim. With most policies, you can designate beneficiaries directly, ensuring your wishes are met. You may also wish to speak to your accountant and discuss how life insurance policies can be structured to leave a tax-efficient inheritance or support charitable causes.

• NobleOak’s My Protection Plan offers a Financial Advice Benefit, payable up to $5,000³ to assist in preparing a financial plan for benefit payouts over $200,000.

Choosing the Right Policy

• When considering your options, it’s important to do your research to ensure you find a policy to meet your personal situation and budget. You may wish to talk to a financial adviser, or you can deal directly with an insurer, such as NobleOak Life.

• NobleOak’s My Protection Plan, available for National Seniors community offers fully underwritten cover that can be tailored by you, with a 17% lifetime discount on life cover⁴. You can apply up to 74 years of age, and if you wish, you can renew your policy through to the policy anniversary after your 99th birthday.

Next Steps

1. List your financial obligations and goals: debts, dependents and legacy you wish to leave to help determine how much life cover you may need.
2. Do your research. You can jump online and request quick quotes and compare costs vs. benefits with a number of direct insurers, such as NobleOak Life. If you wish, you may also choose to discuss your personal situation with a financial adviser who can assist in finding a policy that suits your needs.

Life insurance isn’t one-size-fits-all, but with the right approach you can tailor coverage that addresses your unique needs and budget to help ensure you can attain the valuable peace of mind that you deserve.

¹https://funeralsmart.com.au/how-much-does-a-funeral-cost-in-australia/

²To be eligible for this payment: You must be diagnosed as being terminally ill by two Medical Practitioners, one of whom is a specialist practising in an area related to the illness or injury suffered by you; and their joint or separate diagnoses certify that you are suffering from an illness, or have incurred an injury, that is likely to result in death within 24 months of their certification.

³To assist in preparing a financial plan if a benefit of $200,000 or more is payable under Life cover.

⁴National Seniors members are entitled to a 17% discount (which remains for the life of the cover) on NobleOak’s My Protection Plan standard premium rates on term Life Insurance cover (not in conjunction with a discount from any other program). The offer(s) are available for new customers only and can be used only once. Not able to be used in conjunction with another advertised offer.

Disclaimer: Any financial product advice is general in nature only and does not take into account your individual circumstances, objectives, financial situation, or needs. Before acting on it, please consider the appropriateness of the information, having regard to those factors. Any third-party websites or tools referred to are subject to their own terms and conditions and NobleOak Life Limited makes no representation or warranty as to any information on those websites. Persons deciding whether to acquire or continue to hold life insurance issued by NobleOak Life Limited should consider the relevant Product Disclosure Statement and Target Market Determination for the product. Please also consider NobleOak Life Limited’s Financial Services Guide. NobleOak Life Limited ABN 85 087 648 708 AFSL 247302