In a move to set an industry standard, TAL-owned InsuranceLine has launched a funeral insurance policy that offers level premiums that do not increase with a customer's age.
Under the new policy, once a customer has reached the capped premium amount, funeral insurance will continue to be free.
Policyholders can also choose to cap their premiums at 100 per cent of the amount of cover provided by the policy, allowing them to decide how much they're prepared to pay over time for their cover.
TAL claims that its insurance cover provides key benefits over funeral plans and prepaid funerals, as a person can claim on their insurance long before they may have accumulated in savings the same amount as the insurance cover payout.
Under its ‘Lifetime Protection Promise', 25 per cent of a policyholder's cover will be available to beneficiaries for funeral costs once the insurance policy has been held for at least five years. This increases to 50 per cent for 10 years and 75 per cent for 15 years and over.
"Our core belief is that every Australian has the right to be protected by insurance and this should be an affordable part of everyday life," TAL chief executive Jim Minto said.
