To help entice customers, insurers sometimes offer discounts and other special offers on their life insurance products. The aim is generally to make their products appear more attractive relative to their competitors and to nudge potential customers towards signing up.
For consumers, getting a deal on a product you’re considering can be a good way to save money, but it’s important not to lose sight of the other important considerations for a product like life insurance.
For example, is the product you’re considering suitable for your specific needs? Is the cover on offer sufficient? Are there any important exclusions under the policy? Do the premiums represent good value, even with a discount applied?
If you’re confident the policy is right for you, and you can also get a deal such as a family discount, some money off for paying your premiums annually instead of monthly, or a loyalty bonus for keeping your policy for a certain amount of time, then you might simply see this as a nice added benefit.
Life insurance offers, deals and discounts
Here’s a roundup of some of the offers, deals and discounts available at the time of writing from a range of direct life insurers on Canstar’s database (arranged alphabetically A-Z), according to information sourced from the providers’ websites. For more information, including the terms and conditions on any of these offers, please check with the insurer directly. Where a provider is offering multiple discounts or bonuses, check whether these can be applied at the same time.
|AAMI||AAMI says it offers the following incentives to its life insurance customers:
Check with AAMI for T&Cs.
|ahm||ahm says it offers 10% off its life insurance premiums to customers who also have an ahm health insurance policy. The discount applies for as long as both policies are in place, ahm says.
Check with ahm for T&Cs.
|ANZ||The major bank says its life insurance policyholders are eligible to take out a free Qantas Frequent Flyer membership and earn 1 Qantas Point for every $1 of premiums paid on an eligible ANZ Life Insurance policy.
Check with ANZ and Qantas for T&Cs.
|GIO||GIO says it will refund 10% of the premiums you have paid every three years if you have continuously held your policy with it for those three years.
GIO also says it will give you and an immediate family member a 10% discount if they also purchase or already hold a GIO Life Protect policy.
Check with GIO for T&Cs.
|HBF||At the time of writing, HBF says it offers:
Check with HBF for T&Cs.
|Insuranceline||According to Insuranceline, the following offers apply to its life insurance product:
Check with Insuranceline for T&Cs.
|Medibank||Medibank says its health insurance members are eligible to receive a 10% premium discount on their life insurance policy for as long as both policies are in place.
By getting a Medibank life insurance quote, you can also go in the draw to win a $2,000 EFTPOS gift card, drawn fortnightly. This offer is available until 30 August 2020.
Check with Medibank for T&Cs.
|nib||nib says its life insurance policyholders are eligible to receive one month’s premiums free every year if they pay annually.
Check with nib for T&Cs.
|NRMA||According to NRMA, the following offers apply to its life insurance product:
Check with NRMA for T&Cs.
|Qantas||Qantas says new customers can earn up to 100,000 Qantas Points if they take out a policy, and 1 Qantas point per $1 spent on premiums.
Qantas says you can also get a 10% discount off your premium for life if your BMI is in the healthy range of 18.5 to 25.
Check with Qantas for T&Cs.
|RAC||The Western Australian-based insurer says it offers the following to eligible life insurance customers:
Check with RAC for T&Cs.
|RACQ||RACQ says it offers the following discounts to eligible life insurance customers.
Check with RACQ for T&Cs.
|Real Insurance||Real Insurance says it offers a 10% refund on premiums paid when you reach your first 12-month policy anniversary.
Check with Real Insurance for T&Cs.
|Suncorp||Suncorp says it offers the following to its life insurance customers:
Check with Suncorp for full T&Cs.
|Virgin Money||Virgin Money says it offers its life insurance customers:
Check with Virgin Money for T&Cs.
|Woolworths||Woolworths says it offers a 10% discount on its life insurance premiums for the life of the policy for Everyday Rewards members.
Check with Woolworths for T&Cs.
|Zurich||Zurich says it offers the following to its life insurance customers:
Check with Zurich for T&Cs.
Some of the top-rated life insurance policies on Canstar’s database
If you’re comparing life insurance policies, the comparison table below displays some of the policies currently available on Canstar’s database for a 30-39 year old non-smoking male working in a professional occupation. Please note the table is sorted by Star Rating (highest to lowest) followed by provider name (alphabetical) and features links direct to the providers’ websites. Use Canstar’s life insurance comparison selector to view a wider range of policies.
What should I look out for when considering a life insurance deal or discount?
To help you shop with confidence when you’re assessing any life insurance deals out there, below are some questions that could be worth asking yourself.
In addition, if you are thinking of switching from one insurer or policy to another to take advantage of a deal, bear in mind any potential implications of switching, such as the benefits you might lose by cancelling the existing policy, or any waiting periods you might have to serve under the new one.
Is being with the same insurer or even sharing a policy the most suitable option given your individual circumstances?
Would it be beneficial to speak to the insurer over the phone or in person before committing to the policy to check any of the policy details? (You could always clarify any questions you have and then make the actual purchase online to receive the discount, if the provider allows this).
Discounts for higher cover amounts
Do you really need that much cover? Or alternatively, are you underestimating how much your family may need should you pass away? Consider calculating your insurance requirements first so you are aware of what cover amount may be suitable.
Is staying with the same insurer for a set period of time what’s best for you and your family’s needs? Or could you still get better value for money by moving to another insurer, even when any loyalty discounts from your current provider are factored in?
Where a provider offers a discount if an individual takes out two separate cover types (life insurance and health insurance, for example), is it in your best interests to have these policies from the same provider? Or could you still get better value by splitting them up across multiple insurers?
Discounts for paying annually
Are you okay with being locked in for a full 12 months? Bear in mind that depending on the policy and insurer you choose, even if you are paying monthly you may still need to commit to a minimum coverage period that’s longer than one month.
Compare other insurance and banking deals
Main image source: Dragana Gordic (Shutterstock).