Life insurance for cancer patients and survivors in Australia

How we calculate Life Insurance Finder Scores

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What different scores mean

9+

Excellent

These products offer great value, with a good score across both features and price.

7+

Great

These are competitive products, though they didn't quite get top scores.

5+

Standard

These products might offer less value or command a higher premium than others in the market.

0+

Basic

These products might only offer a basic set of features or aren't very competitive on price.

Do I have to mention my diagnosis if I haven’t taken out insurance yet?

If you have cancer and you apply for insurance cover, you must inform the insurer of your condition. Under Australian insurance law you must tell your provider anything that may be relevant to their decision to offer you cover, so you’ll need to disclose your diagnosis when you fill out an application form.

Currently, you must also inform your insurer of genetic test results when you apply for life insurance. However, as of 1 July 2019, some people will no longer be required to do so depending on the type of policy and the amount you're covered for. If your benefit limits are below the following amounts, you will not be required to disclose the results of your genetic tests:

• Death and total & permanent disability: $500,000 lump sum
• Trauma: $200,000 lump sum
• Income protection: $4,000 per month

Positive results (which mean you’re more likely to get cancer) will typically lead to increased income protection and life insurance premiums, while negative results will usually help an insurer decide that you are no more likely to get cancer than anyone else.

What can the benefit payment be used for?

With this in mind, it becomes clear just how important the financial protection offered by trauma insurance can be. Not only will you and your family suffer from an emotional perspective if you receive a cancer diagnosis, but your finances will also take a hit. You may need to undergo expensive treatments, laborious rehabilitation processes and more, while at the same time you may need to take time off work and not be able to draw your regular income.

The lump sum benefit your policy offers can be used to pay your medical bills, manage ongoing expenses, help with your recovery and other expenses that may arise.

Trauma insurance is therefore about providing protection against the uncertainties that may arise in the future, safeguarding your family against the potential financial impact of a cancer diagnosis.

Learn more about the benefits of trauma insurance

Steps to increase the likelihood of finding cover

Below is a list of tips and strategies that will help to increase your odds of having your life insurance application accepted and receive the life insurance cover you need.

Collect the right paperwork.

When you are applying for life insurance cover, gather your medical records together including your complete medical records consisting of your first pathology reports, any of your doctor’s notes, and records of your treatment plan. Keep in mind that the more the insurance company knows about you, your cancer diagnoses and your treatment plan, the more likely it will be for you to be approved. You want to provide them with enough information to allow them to properly access your current medical status.

Get a note from your doctor.

Ask your doctor to write you a note stating when you had treatments for cancer, when you went into remission and what your prognosis is. This may help the insurance company get a better understanding of your specific situation.

Abide by the treatment plan.

It is important for the insurance company to see that you're in compliance with all aspects of your treatment plan. This means that you don't want to miss follow-up appointments or check-ups. The more proactive you are about your health, the more likely you are to remain healthy.

Compare options for life insurance with pre-existing medical conditions

Frequently asked questions

• How does a cancer diagnosis affect life insurance?

  Cancer is considered a pre-existing medical condition and these are usually handled in a few ways. Cover may be refused altogether, it may be approved with a premium loading applied or it may be approved with cover excluded for claims related to your diagnosis.

• How long after a cancer diagnosis can you get life insurance?

  It really depends on the provider but generally, the longer you've been in remission, the higher your chances are for approval. Life insurance providers may want to wait two to five years (or longer) after your treatment ends to provide you with cover.

• When is a cancer patient considered a survivor?

  A cancer survivor is typically a person who has successfully undergone some type of cancer treatment and has been in remission for at least five years. The definition of a cancer survivor can vary greatly amongst insurance providers, however, and each provider will review each case on an individual basis.

• Do you have to tell insurance about cancer?

  If you've been diagnosed with cancer before applying, you will need to tell your insurer. If you receive a diagnosis once your life insurance policy is already up and running, you generally won't need to advise your insurer unless you're changing your level of cover or renewing your policy.

Written by

Richard Laycock

Editor

Richard Laycock is Finder’s insights editor after spending the last five years writing and editing articles about insurance. His musings can be found across the web including on MoneyMag, Yahoo Finance and Travel Weekly. Richard studied Media at Macquarie University and The Missouri School of Journalism and has a Tier 1 Certification in General Advice for Life Insurance. See full bio

Co-written by

James Martin

Editor

James Martin was the insurance editor at Finder. He has written on a range of insurance and finance topics for over 7 years. James often shares his insurance expertise as a media spokesperson and has appeared on Prime 7 News, WIN News, Insurance News, 7NEWS and The Guardian. He holds a Tier 1 General Insurance (General Advice) certification and a Tier 1 Generic Knowledge certification, both of which meet the requirements of ASIC Regulatory Guide 146 (RG146). See full bio

James's expertise

James has written 204 Finder guides across topics including:

• Car, home, life, health, travel and pet insurance
• Managing the cost of living
• Money-saving tips