Seniors Life Insurance Explained

Although we don’t like to think about it, unexpected events and circumstances can occur in our lives. For that reason, it’s always best to be prepared. If you’re an Australian senior, that may mean taking out a life insurance policy.
Mature couple looking at bills in their home kitchen

*iSelect’s partnered with Lifebroker to help you compare a range of Life Insurance policies. Not all policies are available at all times or in all areas. Any advice provided on this website is general in nature and does not consider your situation or needs. Please consider if any advice is appropriate for you before acting on it. Learn more.

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Updated 16/03/2023
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Updated 16/03/2023

What changed?

Updated sources and references
Our aim is to help you make better informed decisions. That’s why iSelect’s content is produced in accordance with our fact-checking and editorial guidelines.

Find out more about how we make money.

View our Privacy Policy.

Easily compare life insurance quotes

Save time and effort by comparing life insurance with iSelect’s trusted partner Lifebroker*

Why take out life insurance when you’re over 65?

There are many specific reasons why you might want life insurance at this age. Even though you’re at a later stage of life, you may still have unpaid debts or mortgages that need paying after your passing. 

These  expenses can be covered under life insurance. You may still be providing for your spouse, elderly parents, or grandchildren, and you want them to avoid the worry of settling your affairs after your death. Plus, you may want to leave them a legacy to secure their financial future. 

You can also use life insurance to fairly distribute the assets in your estate. For example, you could distribute a business, holiday home, and life insurance payout amongst your various beneficiaries. 

The benefits of having life insurance

The biggest benefit of life insurance is that it could provide your family with much needed financial support in the event of your passing, or permanent disability. 

This financial support could assist in paying rent, medical bills and other household bills, and other payments needed to carry on with life. On top of this tangible benefit, is the emotional benefit of knowing that your death won’t necessarily pass on an overwhelming amount of financial stress to your loved ones.


seniors life insurance

Life insurance for seniors over 65 in Australia

If you’re over 65, you’ve no doubt considered your future. Travelling, pursuing new hobbies, and spending more time with your family may be on your bucket list of things to do. Many people say it’s a golden time of life. But sadly, it won’t last forever, and it’s important to be prepared for the future in all respects. 

Life insurance may protect you and your family if unforeseen events occur. There are only a few life insurance products on the market designed for those aged 65 or over. 

Life cover provides a lump sum payment following your death1: you can set the amount you’d like the beneficiaries to receive. The payment is made on your death or diagnosis of a terminal illness. The maximum entry ranges typically from 50 to 75, with limited options over 65 and a general expiry age of 99, depending on your insurer.  

You may also choose to have additional features in your life insurance policy, such as: 

  • TPD cover: a lump sum payment if you suffer a total and permanent disability
  • Trauma protection: a lump sum payment to assist with medical, rehabilitation and other living expenses if you are diagnosed with a specific illness
  • Accidental death benefit: payment if you die from an accident
  • Terminal illness accommodation: help with accommodation following a terminal diagnosis
  • Severe trauma benefit: additional payments following severe injury or trauma
  • Counselling benefit: cover for the cost of grief counselling services
  • Loyalty benefits: discounts if you maintain your policy for a set period
  • Funeral insurance: a lump sum payment to cover the cost of your funeral expenses (most insurers accept applications if you’re aged below 80)
  • Living expenses cover: payments of monthly benefits to cover living expenses if you become significantly disabled and require ongoing care

seniors life insurance for over 70s

Life insurance rates when you’re over 65

As a senior, there are specific factors that affect your life insurance premium. The older you are, the higher your insurance premiums. Because you’re over 65 your likelihood of developing health problems increases, so your insurance premium reflects that risk. Your premiums will be determined by:

  • Your age
  • Your current health status
  • Your smoking status
  • Your gender
  • Your previous medical history

Finding suitable senior’s life insurance in Australia

A suitable life insurance for you is the policy that suits your unique needs. Look for a policy that has all of the features that suit you and sits in line with your budget. 

If you’re not familiar with life insurance, it can be difficult to know what features are appropriate for you and your family. 

How to compare life insurance quotes for seniors

Lifebroker makes it easy to compare life insurance* policies from a range of policies and providers side by side. Instead of gathering separate quotes from individual insurers, you can compare a range of policies with Lifebroker, and then purchase the one that suits you.  

You can compare online, or feel free to call on 13 19 20. Lifebroker's qualified risk advisers are on hand and ready to try help you find a suitable policy, and answer any of your questions. 

1. MoneySmart - Life Cover