Insure to cover debt repayment – Tower
David Callander
A new survey revealing that the average mortgage in both Western Australia and NSW is now over $330,000 has prompted major insurer TowerAustralia to urge a lifting in the level of life insurance cover.
The head of retail life insurance at Tower, David Callander, said the growing size of mortgages had highlighted the risk existing in Australia’s underinsurance gap, where the level of individual debt greatly exceeds the ability of many individuals and families to meet day-to-day living expenses if one income is taken out of the equation.
He said life insurance was one of the only ways to protect a family home and lifestyle in such circumstances.
“Private health insurance, government social security payments and the drawing down of personal savings may help delay the financial crunch, but life insurance could largely remove any financial risk,” Callander said.
AUTHOR
Mike Taylor
Recommended for you
The profession is up by almost 200 advisers for the new financial year, with August continuing the consistent weekly positive gains.
WT Financial has announced its second “Hubco” with a combined valuation of $7.8 million, while its first one has successfully incorporated and is now making its own acquisitions.
The Australian Wealth Advisors Group has entered into a joint venture with a Melbourne financial services firm to launch a wealth manager.
Remediation and litigation costs have led AMP to announce a reduced statutory net profit after tax of $98 million for the first half of 2025.
