What is the state of Australia’s life underinsurance gap? Rice Warner pioneered the measurement of underinsurance in Australia for the main life insurance coverages – namely life, total and permanent disability (TPD) and income protection benefits. In 2015 we see some closing of the gap, thanks to mandatory superannuation and improved group life insurance policies.
But the problem of underinsured member lives persists, presenting continued opportunities for technological innovation, enhanced member engagement, some new thinking and further investment by funds.
The bottom line is that Australia still has a large underinsurance problem.
Source: Rice Warner
