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Welcome

Congratulations on taking an important step towards understanding how you can safeguard you or your family's livelihood should you or your partner fall sick, have and accident or pass away.

The whole process should take no more than five minutes. Along the way you will be asked about your income, assets and debts (such as mortgages and credit cards), as well as how much insurance you already have. This will help us form a picture about your ongoing financial needs with most of this information being used to calculate your term life needs.

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Your details

Current Age

[MyAge]

Current Income

[MyIncome]

Gender

[MyGender]

Smoking Status

[MySmoking]

Occupation cat.

[MyOccupation]

State You live in

[MyState]

Partner's details

Current Age

[PartnerAge]

Current Income

[PartnerIncome]

Gender

[PartnerGender]

Smoking Status

[PartnerSmoking]

Occupation cat.

[PartnerOccupation]

State You live in

[PartnerState]

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Financial Position

   
Debts: [MyDebts] Assets: [YourAssets]  

Current Cover

What you hold

Cover Outside Super    
Term Life Cover

[MyLifeCover]

TDP Cover

[MyTDPCover]

Income Protection

[MyIncomeProtection]

You (with Life Cover)

 

Suggested Amount

Selected Amount

Amount of
Term Life Cover

Debt Repayment [s1Debt] [DebtRepayment]

[DebtCover]

Super Contributions [s1Super] [SuperContributions]

[ContributionsCover]

Expenses on Death [s1Death] [ExpensesOnDeath]

[DeathCover]

  • Selected Term Life Cover
  • [SelectedTermLifeCover]
  • Your Existing Cover
  • [ExistingCover]
  • Your Insurance gap is
  • [InsuranceGap]

    Your Insurance Assessment

    [GoogleGraph1]

    You (with TPD)

     

    Suggested Amount

    Selected Amount

    Amount of
    Term Life Cover

    Income for [WHO?] [t2You] [t2IncomeForPartner]

    [t2PartnerLifeCover]

    Debt Repayment [t2Debt] [t2DebtRepayment]

    [t2DebtCover]

    Super Contributions [t2Super] [t2SuperContributions]

    [t2ContributionsCover]

    Expenses on Death [t2Death] [t2ExpensesOnDeath]

    [t2DeathCover]

  • Selected Term Life Cover
  • [t2SelectedTermLifeCover]
  • Your Existing Cover
  • [t2ExistingCover]
  • Your Insurance gap is
  • [t2InsuranceGap]

    Your Insurance Assessment

    [GoogleGraph2]

    Partner (with Life Cover)

     

    Suggested Amount

    Selected Amount

    Amount of
    Term Life Cover

    Income for Partner [t3You] [t3IncomeForPartner]

    [t3PartnerLifeCover]

    Debt Repayment [t3Debt] [t3DebtRepayment]

    [t3DebtCover]

    Super Contributions [t3Super] [t3SuperContributions]

    [t3ContributionsCover]

    Expenses on Death [t3Death] [t3ExpensesOnDeath]

    [t3DeathCover]

  • Selected Term Life Cover
  • [t3SelectedTermLifeCover]
  • Partner’s Existing Cover
  • [t3ExistingCover]
  • Partner’s Insurance gap
  • [t3InsuranceGap]

    Your Insurance Assessment

    [GoogleGraph3]

    Partner (with TPD)

     

    Suggested Amount

    Selected Amount

    Amount of
    Term Life Cover

    Income for Partner [t4You] [t4IncomeForPartner]

    [t4PartnerLifeCover]

    Debt Repayment [t4Debt] [t4DebtRepayment]

    [t4DebtCover]

    Super Contributions [t4Super] [t4SuperContributions]

    [t4ContributionsCover]

    Expenses on Death [t4Death] [t4ExpensesOnDeath]

    [t4DeathCover]

  • Selected Term Life Cover
  • [t4SelectedTermLifeCover]
  • Partner’s Existing TPD Cover
  • [t4ExistingCover]
  • Partner’s Insurance gap
  • [t4InsuranceGap]

    Your Insurance Assessment

    [GoogleGraph4]

    Next Steps

       

    Type of Cover

    What's it for?

    How much cover should I Consider?

    Term Life

    Pays a lump sum on your death or the diagnosis of a terminal illness, allowing your family to focus on supporting each other, not worrying about paying about the bills.

    Suggested Cover:
    [SuggestedCover_1]

    Suggested Cover:
    [SuggestedCover_2]

    Total & Permanent Disability

    This is to provide cover for expenses such as modifications to your house or car, specialised medical equipment etc.

    Suggested Cover:
    [SuggestedCover_3]

    Income Protection

    Provides a replacement income of upto 75% of your current income if you are unable to work due to illness or injury, ensuring that your everyday expenses and even your debt repayments are taken care of.

    Suggested Cover:
    [SuggestedCover_4]

    Notes and Assumptions

       

    Type of Cover

     

    Description

    Term Life Cover Expenses

    [LifeCoverExpenses]

    This is to provide cover for expenses such as funeral, legal expenses, etc.

    TPD expenses

    [TDPExpenses]

    This is to provide cover for expenses such as modifications to your house or car, specialised medical equipment, etc.

    Future rate of growth in income, per year

    [RateOfGrowth]

    This is the rate at which your salary is assumed to increase each year. The default is 3.5% which allows for 2.5% price inflation (Consistent with Reserve Bank range).

    Future rate of investment earnings, per year

    [RateOfEarnings]

    This is the rate of return that you and your family will need to earn on any insurance payout in order to achieve the desired level of income. The default is 6.50% per year. A lower rate will be easier to attain, but will result in the higher suggested cover and hence a higher cost of insurance. You should be realistic when setting these values. Information about risk and rates of return can be found on the FIDO website http://www.fido.asic.gov.au/ in the Money tips section.

    Provide for future superannuation contribution up to age

    [FutureSuperannuation]

    This is the age to which you wish to continue contributing to your superannuation fund. Age 65 has typically been used as the normal retirement date for Australian superannuation funds and is the default for this assumption.

    Provide for future income for partner up to age

    [FutureIncomePart]

    Where applicable, this is the page to which you wish to provide future income for your partner. If the other assumptions hold then the income will cease when you would have turned this age, irrespective of your's partner age. The default age is 65. This has typically been used as the normal retirement date for Australian superannuation funds.

    Provide for future income for children up to age

    [FutureIncomeChild]

    Where applicable, this is the age to which you wish to provide future income for your children. If the other assumptions hold then the income for each children cease when they turn this age. The Australian Tax office uses age 21 to determine dependents but increase this where the child is continuing to study. 21 has been used as a default for this assumption.

    Assumed age gap between children

    [AgeGap]

    The age gap between children is used to estimate the age of each of your children, based on the age of youngest child that you have provided. The default is two years as this is a typical age gap.

    Provide for income protection monthly benefit of

    [IPMonthly]

    This is the proportion of your income that you wish to insure through income protection. The default is 75% as this is the maximum that you can insure (excluding any allowance for replacement of superannuation contributions) with most insurers in Australia.

    Does your existing income protection benefit increase with inflation each year?

    [InflationRate]

    Depending on your insurance policy, once you have made a claim, your income protection benefit can either remain the same in each year or increase over time.Select "Yes" if your income protection benefit increases in line with inflation in each year under your existing policy.

    Would your existing income protection cover cease if you make a TPD claim?

    [IPCease]

    Select "Yes" if your income protection cover would cease if you made a TPD claim under the terms of your existing income protection policy.

    Some final words for me. The insurance needs presented above are based on the information you have supplied but don't take account of any other information that might affect your or your family's personal financial position. You might want to contact a financial adviser who can assess your specific needs in more detail.

    Thanks for taking the time to understand your insurance needs better. If you want to find out more, there's a wealth of simple, straight talking information on this website and I encourage you to explore it further. Please check out the links above or click here to return to the homepage.

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    www.lifewise.org.au