Do you need financial advice when buying life insurance?

Date Published 18/04/2017

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Having a world of information available at our fingertips means that many of us are more informed and self-directed than ever, in many facets of our lives. Results from our recent survey appear to confirm this, showing that 32% of consumers prefer to get their advice on Life insurance through the internet, compared to 25% who use a financial adviser and 20% who ask their family. In addition, some 56.5% said they were unwilling to pay anything for Life insurance advice.

It’s fairly safe to conclude from this that a high proportion of consumers are willing to research Life insurance online, and to buy cover directly, without going through a financial adviser.

Not all Life insurance is created equal though. In many cases, direct Life insurance (purchased online or over the phone rather than through an intermediary such as a financial adviser) is not necessarily fully underwritten. This means it may be more expensive, and there is a lot less certainty around claim time.

Fully-underwritten – what it means

Fully underwritten cover refers to undergoing a thorough health and medical review when you apply for cover, which may include health reports and blood tests.

This enables insurers to determine what they will cover you for, and gives you a clear picture of what is included in your policy.

The advantage of this to the insurer is that the risks are known from the start. The advantage to you is often lower premiums and a more streamlined process if you make a claim.

So whilst the application process might take a bit longer there are significant benefits if you take out fully underwritten cover.

Limited underwriting – how it works

With limited (or simplified) underwriting, however, a quicker assessment is done at the start as less questions are asked and no medical or blood tests are required. This can be fast and convenient, but often means higher premiums and greater uncertainty regarding outcomes in the event a claim is lodged.

The best of both worlds

NobleOak offers an alternative for people who have done some research and who know what types of cover they need and the amount of cover. With NobleOak, you can purchase Life cover that is fully underwritten, without the need to go through a financial adviser.

The advantage of this is you can get the same level of comprehensive, fully-underwritten cover you would through a financial adviser, but without the extra cost of the advice – resulting in an average saving of 20% on premiums.

Get in touch with our team to find out more about our fully-underwritten Life insurance products.

Please note that the information we provide is not advice but general information only. Please refer to our PDS for further information.

NobleOak Life Limited ABN 85 087 648 708 AFS Licence 247302 Level 2, 89 York Street, Sydney, NSW, 2000 © 2015 NobleOak Life Limited.

Readers should consider this information having regard to your objectives, financial situation and needs. People who seek to replace an existing life insurance policy should consider their circumstances including continuing the existing cover until the replacement policy is issued and cover confirmed. Readers may contact NobleOak for further general information and a premium quotation and to apply for cover. NobleOak cannot provide readers with advice but our staff may provide general information about the NobleOak life insurance product. Readers should also consider the Product Disclosure Statement (PDS) for the product they are considering. The PDS which sets out the terms and conditions for the insurance cover and consider whether this product is right for you. This is available by calling NobleOak on 1300 041 494 or from

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