Insights
Can You Get Life Insurance With a Pre-Existing Condition?
Written by Safety Nest
The short answer
Yes, in many cases you can still get life insurance with a pre-existing condition in Australia. A health history does not automatically make you uninsurable. What it usually affects is the terms, so the outcome might be standard cover, cover with a higher premium (a loading), cover with a specific exclusion, or in some cases cover for some products but not others. Outcomes vary a lot between insurers, which is why one knockback is rarely the end of the story. Below is how this generally works and what your options are.
Can I get cover with diabetes, a heart condition, past cancer, anxiety or depression, or a high BMI?
Often, yes. Insurers assess each condition on its own facts rather than applying a blanket "no." With type 2 diabetes, for example, they generally look at how well it is managed and your recent test results. With a heart condition or past cancer, they often look at the type, how long ago it was, your treatment and whether you have been clear since. With anxiety or depression, they tend to look at severity, time since the last episode and whether you have needed time off work. A higher BMI is also assessed in context rather than as an automatic decline.
The point is that the same condition can produce very different offers from different insurers across life cover, TPD and income protection. Some may decline a particular product while another offers it with a loading or an exclusion. Because the products are assessed separately, it is also common to be approved for one and not another.
How underwriting works
A health history rarely closes the door
A pre-existing condition usually affects your terms rather than ruling you out, and outcomes vary a lot between insurers.
Often still possible
- Type 2 diabetes, assessed on management and recent results
- A heart condition, weighed on type, treatment and time since
- Past cancer, often assessed once you have been clear
- Anxiety or depression, judged on severity and time since
- A higher BMI, assessed in context not as an auto-decline
- Approval for one product even if another is declined
–What affects your terms
- A premium loading to reflect the assessed risk
- A specific exclusion on the policy
- Cover for some products but not others
- A possible medical, blood test or doctor report
- A duty to disclose what the insurer asks, even if resolved
I was declined by a direct insurer or my super fund. Does that mean no one will cover me?
No. A decline from one direct insurer or a super fund's default cover is not a verdict from the whole market. Direct and default cover often use simpler, stricter eligibility filters that are not built to weigh the detail of an individual health history, so a "no" there can simply mean their automated rules could not place you, not that you are uninsurable.
This is the core reframe we share with clients. If a direct insurer said no, the wider market may still say yes. A broker can take your full picture to several insurers, position the medical detail properly, and seek the best available terms rather than relying on a single automated decision.
Common misconception: "one decline means I am uninsurable"
This is the false belief that does the most damage, because people stop looking after a single knockback. In reality, insurers price and assess risk differently, and underwriting is not standardised across the market. One insurer's decline can be another insurer's standard or loaded acceptance. The honest position is that nobody can promise an outcome up front, but a single decline tells you very little about what the rest of the market would do.
Do I have to disclose a condition that has resolved or a past injury that healed?
As a general rule, you disclose what the insurer asks about, even if the condition has resolved or the injury healed. Australian life insurance runs on a duty to take reasonable care not to make a misrepresentation, which means answering the application questions honestly and completely. A past issue that has fully resolved often has little or no effect on the terms, but the safe approach is to disclose it and let the insurer assess it rather than deciding yourself that it does not matter.
This matters most at claim time. Honest, complete disclosure up front is what protects the policy. Non-disclosure, even if it feels minor, can give the insurer grounds to reduce or decline a claim later, which is the worst possible time to find out.
Can a health-related exclusion be reviewed or removed later?
Sometimes, yes. An exclusion or a loading is not always permanent. If your health improves or enough time passes without a recurrence, some insurers will review the terms, and a broker can request that review on your behalf. There is no guarantee a review will succeed, and it depends on the insurer and the condition, but it is worth revisiting rather than assuming the original terms are locked in forever.
Will I need a medical or blood test, and could a bad result mean I am refused?
You might. Depending on the cover amount and what you disclose, an insurer may ask for a medical, blood tests or reports from your doctor. A result outside the normal range does not automatically mean refusal. It becomes part of the overall assessment, and the same finding can be treated differently from one insurer to the next. If results do affect an offer, that is exactly the situation where shopping the case across multiple insurers tends to matter most.
FAQs
Frequently asked questions
Can I get life insurance with a pre-existing condition in Australia?
Often, yes. A pre-existing condition does not automatically make you uninsurable. It usually affects the terms, so the outcome might be standard cover, a higher premium, a specific exclusion, or cover for some products but not others. Outcomes vary by insurer, so it is worth assessing the wider market.
I was declined by a direct insurer or my super fund. Can I still get covered?
Possibly. A single decline from one direct insurer or a super fund is not a decision from the whole market. Direct and default cover often use simpler, stricter filters, and a broker can take your full picture to multiple insurers to seek better terms.
Do I have to disclose a condition that has resolved or a past injury that healed?
Generally yes. You should answer the insurer's questions honestly and completely, even about resolved conditions or healed injuries. A fully resolved issue often has little effect on terms, but disclosing it protects your policy, because non-disclosure can jeopardise a future claim.
Can a health-related exclusion or loading be reviewed or removed later?
Sometimes. Exclusions and loadings are not always permanent. If your health improves or enough time passes, some insurers will review the terms on request. There is no guarantee, but it is worth revisiting rather than assuming it is locked in.
Will a bad medical or blood test result mean I am refused cover?
Not automatically. A result outside the normal range becomes part of the overall assessment rather than an automatic decline, and the same finding can be treated differently by different insurers. This is often where assessing several insurers matters most.
Protect your future
Protect your family's financial future
Talk to our advisers about your insurance options. We offer flexible times, so book your no-obligation online consultation today and start planning for tomorrow.