How to Compare Life Insurance Quotes in Australia (Step-by-Step Guide)
Comparing life insurance quotes can feel overwhelming. Every insurer claims to have the best product, but not all policies are created equal.
With so many options — different benefit amounts, exclusions, and prices — knowing what to look for is key.
At Covered Life, we believe comparing life insurance should be simple, transparent, and stress-free. Here’s how to do it the right way, step-by-step.
Step 1: Understand What You’re Comparing
Before looking at prices, make sure you understand what each type of cover provides.
Life Insurance: Pays a lump sum if you die or are diagnosed with a terminal illness.
TPD Insurance: Pays a lump sum if you become permanently disabled and unable to work.
Trauma Insurance: Provides a lump sum if diagnosed with a serious medical condition.
Income Protection: Replaces part of your income if you can’t work temporarily due to illness or injury.
Knowing which types of cover you need helps you compare policies that are actually relevant to your life.
Step 2: Decide How Much Cover You Need
The right amount of cover depends on your financial commitments, family situation, and lifestyle.
While there’s no set rule, most Australians consider factors like mortgages, debts, living expenses, and education costs when deciding how much protection they want.
If you’re unsure, Covered Life can help you review your current situation and identify coverage that suits your general needs — without giving specific financial advice.
Step 3: Compare More Than Just Price
It’s tempting to focus on premiums, but cheap cover can sometimes cost more in the long run.
When comparing policies, also look at:
Benefit inclusions and exclusions
Claim definitions (how “disability” or “terminal illness” is defined)
Built-in features like indexation or premium waivers
Customer service and claims reputation
A good life insurance policy isn’t the cheapest — it’s the one that will actually pay when your family needs it most.
Step 4: Choose How You Hold Your Cover
You can hold life insurance inside superannuation or as a standalone retail policy.
Inside Super: Convenient and cost-effective, but often limited.
Outside Super: Broader options, faster claims, and customisable cover.
Many Australians combine both to balance affordability and flexibility.
Step 5: Review Premium Structures
Life insurance premiums come in two main types:
Stepped premiums: Start lower and increase each year as you age.
Level premiums: Start higher but stay more consistent over time.
The right choice depends on your age, budget, and how long you plan to hold the policy.
Step 6: Check the Fine Print
Not all life insurance policies cover the same conditions. Carefully check for:
Waiting periods
Exclusions (e.g., pre-existing conditions)
Limits on cover amounts
If anything is unclear, ask your insurer or a broker like Covered Life to explain in plain language.
Step 7: Get Expert Help
Comparing policies online is a great start, but it doesn’t replace expert, unbiased guidance.
A life insurance broker can help you understand your options, access better policy features, and avoid common mistakes — all at no extra cost.
At Covered Life, we do the research, explain the details, and help you make confident, informed decisions.
Why Comparing Life Insurance Matters
A well-chosen policy can protect your family’s home, lifestyle, and future. Yet, thousands of Australians remain underinsured because they:
Don’t understand their options
Choose based on price alone
Never review their existing policies
Taking the time to compare your cover now can make a lifetime of difference later.
General advice disclaimer: This information is general and does not take into account your individual circumstances. You should consider seeking professional advice before acting on any information provided.
