Life insurance policies guarantee payments to be given to the beneficiaries of the insured upon death. The payout can be used for anything that the beneficiaries may deem necessary. Colonial Mutual Life Assurance Society Limited, or CommInsure, is one of Australia’s top ten life insurance providers. They offer competitive life insurance policies that are worth considering.
CommInsure offers life insurance packages in collaboration with AIA Australia (American International Assurance Company Australia). Some major considerations regarding their offers are the following:
• Benefits of up to $1,000,000 upon death or a terminal diagnosis
• Advance payments from the total amount to cover necessary death expenses
• Excellent repayment options
• Some causes of death are not covered. Some of these include deaths caused by war, criminal activities, suicide, and self-inflicted injuries.
They also offer other options with their life insurance packages on top of the standard coverage.
• Total and Permanent Disability Cover (TPD): TPD coverage helps pay for expenses should the insured become incapacitated and unable to work. This also applies to the insured’s inability to perform daily tasks.
• Trauma Cover: Listed trauma events make the insured eligible for a trauma cover payout.
• Business Overhead Cover: This pays a benefit to the insured should they be unable to run their business due to incapacitation.
Note that if the optional coverages pay the benefit, the total life cover amount will decrease accordingly.
Like other insurance providers, CommInsure also has both advantages and disadvantages on the part of the policyholder. Some of the pros include:
• Excellent optional covers: CommInsure life insurance policies have excellent optional covers on top of the standard policy. This makes their policies more flexible and customisable compared to others.
• Loyalty bonus: Policyholders that have their insurance intact for five years get a loyalty bonus. The 5% increase in insurance value due to the loyalty bonus is nothing to scoff at.
• Limited refund of up to one month: The policy can be fully refunded if done so within the first month. Not many companies offer this option.
• Indexation: Many life insurance policies are fixed. CommInsure’s life insurance packages, however, also appreciate depending on inflation rates.
Meanwhile, some of the cons of a CommInsure life insurance policy include:
• Additional payments: Much like many other insurers, a CommInsure policy also has additional payments on top of the premium. Examples are policy and processing fees.
• Limitations: As we have mentioned earlier, many causes of death are not covered by CommInsure life insurance. On the other hand, some of these causes may be covered by other insurance companies. Examples with specific limitations for other companies include death due to suicide, acts of war, or hazardous occupations.
• Strict eligibility requirements: CommInsure may be a tad stricter with requirements compared to other banks. These immediately make many people unable to get a life insurance policy with them.
Getting CommInsure life insurance is indeed worth it. While they have disadvantages like any other company, the benefits you get more than make up for these.
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