Most Australians have default life, total and permanent disability (TPD), and income protection (IP) insurance inside their super fund. See if your cover is adequate for your situation.
| Cover type | Current | Recommended | Gap |
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Under the Protecting Your Super (PYS) reforms, super funds provide default insurance for eligible members. However, default cover is often insufficient for people with mortgages or dependants.
Life insurance (death cover): Pays a lump sum to beneficiaries on death. Recommended: 10-12× annual income + debts.
TPD: Pays if you become totally and permanently disabled. Recommended: 5-8× annual income.
Income protection: Replaces up to 70% of income for a set period (usually to age 65 in super).
Super insurance premiums are deducted from your super balance, reducing your retirement savings. Compare costs across funds at YourSuper Comparison Tool on ATO.gov.au.