We are updating our website
So that we can direct you to the right page,
please select your product from the list below.
When you first applied for your insurance, you did so to protect yourself and the ones that depend on you. Not renewing your insurance policy may result in you losing the insurance protection you chose for you and your family. It’s important to know what to expect each year on your policy anniversary and understand why the cost of your cover may change. You’re in control of your insurance policy, and there may be things you can do to reduce your premiums, while keeping a level of protection.
It’s important to remember why you protected yourself and your family with insurance in the first place. It may have been to provide peace of mind for one or several of the below reasons if something were to happen to you:
Your premium payments are pooled together with the premiums of all other customers in your product. If anybody makes an eligible claim, then the pool must have the funds to pay.
In 2022 alone, we needed around $1 billion to pay the claims of our customers - that’s around $2.8 million every day.
Naturally, everyone hopes they never need to make an insurance claim. But we want all our customers to have peace of mind in knowing that the funds are there to support them and their family should the worst happen.
The reasons why the cost of your insurance cover may increase include:
Cost of paying claims - Our biggest cost, and the reason we exist, is the payment of claims to our customers. We have an obligation to make sure we’re always there when you or your loved ones need us and we are able to keep paying claims long into the future.
The insurance industry continues to see large volumes of new claims, and in relation to income protection, customers are receiving payments for longer than previously. A material contributor is Australia’s mental health crisis, with Resolution Life supporting significant numbers of Australians with conditions such as anxiety, stress and depression.
It is important that we monitor the ratio of premiums coming into the pool compared to claims payments going out, to ensure we can continue to fund claim payments. Regular reviews of our product pricing seeks to ensure we can continue to sustainably support our customers over the long term.
Industry-wide challenges - Factors such as the rising cost of living and number of claims affect all life insurers.
Wider economic challenges - What is happening in the economy can put pressure on insurance premiums, for example rises in interest rates and the impact of returns on investments held.
When you first took out your insurance cover, you chose to pay either stepped or level premiums. Unlike stepped premiums, level premiums don’t increase each year because of your age. However, the premium for any increase in the value of your cover, such as an inflation increase (also known as indexation, cost of living, and CPI increases), is the premium that applies as at the date from which that increased cover applies. So for each ‘layer’ of cover, the premium does not increase in future because of an increase in your age.
However, this doesn’t mean level premiums for each layer of cover can’t increase for other reasons, such as if you change your benefit payment period or your waiting period if underlying base premium rates change for everyone insured under your product (refer to point 3 above to understand more about underlying premium rates).
Learn more about level premiums.
It’s important that you have a chat with your financial adviser, or with us, to understand your options before making a decision to change your insurance.
You can’t change all the factors that contribute to the total cost of your insurance, but there are many elements you can control and ways of potentially reducing the cost of your insurance premiums whilst staying covered. Here are some options you could consider:
It’s human nature to forget why you took out insurance in the first place, and you may be tempted to cancel your insurance cover in response to increases in premiums – but it may be a decision that results in you losing important insurance protection.
It may also be a decision you can’t easily reverse. If you subsequently apply for a new policy, you may have to undergo medical underwriting again. Any changes in your health, income and lifestyle since your existing policy was taken out may impact your ability to be insured. The terms, conditions and exclusions applicable to your cover could also change, and any new policy may cost more, or have excluded medical conditions due to your health.
Please talk to us or your financial adviser to understand your options around affordability.
Any advice on this website is provided by Resolution Life Australasia Limited ABN 84 079 300 379, AFSL No. 233671 (Resolution Life), and is general advice and does not take into account your objectives, financial situation or needs. Before acting on this advice, you should consider the appropriateness of the advice having regard to your objectives, financial situation and needs, as well as the relevant product disclosure statement and/or policy document, available from Resolution Life at resolutionlife.com.au or by calling 133 731, before making a decision on whether to acquire, or continue to hold, the product.
The Target Market Determinations (TMDs) for our financial products (where applicable) can be found at Target Market Determinations (TMDs). The TMDs describe the key features and attributes of an applicable product that affect whether it is likely to be consistent with the objectives, financial situation and needs of consumers in the target market.
If you decide to purchase or vary a financial product, Resolution Life and/or other companies within the Resolution Life Group will receive fees and other benefits, which will be a dollar amount or a percentage of either the premium you pay or the value of your investments. You can ask us for more details.
Resolution Life is part of the Resolution Life Group and can be contacted via contact-us or by calling the phone number mentioned above.
Life Insurance Code of Practice
The Life Insurance Code of Practice is issued by the Financial Services Council (FSC) and sets out the life insurance industry’s commitment to high customer service standards, consistency and principles of conduct. You can find more information here.