SMSF Life Insurance
Group Life Insurance through your Superannuation Fund
Our SMSF Life Insurance offers trustees a simple, tax-effective way to protect their loved ones while maximising the benefits of their super fund. Designed exclusively for the Self-Managed Super Fund (SMSF) market, our group life insurance policy gives members affordable, flexible cover that fits seamlessly within your fund’s structure.
Every SMSF is different, and so are the needs of every member. Protecting your family and your retirement savings go hand in hand when you run your own self-managed super fund (SMSF). Our SMSF Life Insurance is designed specifically for Australian SMSF trustees and members who want straightforward, flexible death cover inside their fund – with the convenience of an online application and the backing of a major life insurer.
When you set up your policy, each member completes a simple, individual application and chooses from a range of cover options. The process is fast and transparent, with only the relevant information required for the level of insurance selected.
- Eligible ages: 15 to 64 years
- Cover expires at age 80 or upon leaving the SMSF
- Application and underwriting are quick and paper-light
- Designed for complete compliance with ATO and APRA SMSF guidelines
Why Choose Life Insurance Through Your SMSF?
Holding life insurance inside your SMSF provides powerful financial advantages:
- Tax-effective structure – Premiums are generally paid from your SMSF, not your take-home income, helping improve cash flow.
- Lower group rates – Enjoy the cost efficiency of a group policy while keeping the flexibility of individual member options.
- Personalised protection – Each member selects their own level of life cover and optional TPD or income protection benefits.
How Our SMSF Life Insurance Works
Our SMSF Master Plan Life Insurance is designed for simplicity and flexibility.
Each member of your SMSF:
- Submits a quick, individual application online.
- Chooses their preferred level of death cover (minimum of $50,000).
- May apply for additional TPD or income protection cover as part of the same policy.
- Provides only the medical information relevant to their chosen cover amount.
What’s Covered — Death & Terminal Illness
Our death cover gives your family financial security when you’re not there, ensuring that your plans for them continue uninterrupted. It provides a lump-sum payment to your nominated beneficiaries if you pass away or are diagnosed with a terminal illness (with less than 12 months to live).
It’s the most essential form of protection, designed to:
- Pay off outstanding debts or your home loan
- Provide for ongoing household expenses or children’s education
- Create an investment or income stream for your dependants
Death cover is a mandatory component of our SMSF insurance plan. Each participating member must hold at least $50,000 in death cover. There’s no upper limit—you can apply for higher amounts depending on your needs.
If you’re diagnosed with a terminal illness, you can access an advance payment to cover medical treatment and living costs during your final months.
Interim Accidental Cover while your application is assessed
Once your application is received and while underwriting is in progress, Interim Accidental Cover applies for up to 90 days or until your application is accepted, declined or withdrawn (whichever comes first).
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If you suffer an accidental injury resulting in death or TPD (if applicable) during this period, a benefit may be payable up to $1.5 million or the amount applied for, whichever is lower.
This provides peace of mind while your full cover is being underwritten.
Increase Cover at Major Life Stages
Life doesn’t stand still, and neither should your insurance. The Plan includes a Life Stages option, allowing you to apply to increase your Death (or Death & TPD) cover without full health evidence when certain major life events occur, such as:
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Marriage
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Birth or adoption of a child
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Divorce
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Child turning 12
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Turning 30
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Taking out or increasing a mortgage on your principal home
In summary:
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You must be At Work on the date of your Life Stage application
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The event must relate to you and occur while you’re insured
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Increases are limited to the lesser of 25% of your existing cover or $200,000 per Life Stage event, up to specified caps and conditions.
- A suicide exclusion applies for 13 months on any increased Death cover amount.
This feature makes it easier to keep your SMSF life cover in step with your real-world obligations.
Existing Cover? We’ve Got You Covered
If you already hold life insurance elsewhere, you may be eligible to switch your cover into the SMSF Insurance Master Plan under our Takeover Terms. This means you can continue your existing benefit periods and waiting periods without disruption.
Apply Online in Minutes
Applying for SMSF Life Insurance is simple, fully digital, and designed for trustees.
Our streamlined online application process allows you to:
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Get an instant quote
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Complete your member application securely
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Receive quick underwriting decisions
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Manage all documents electronically
FAQs Regarding SMSF Life Insurance
Why do I need life insurance inside my SMSF?
Life insurance in your SMSF helps ensure that if you die or become terminally ill, there’s a dedicated lump sum available to support your dependants, pay out your SMSF member balance and reduce debts. The SMSF Master Insurance Plan has been designed specifically for trustees and SMSF members, using a group structure to make cover more accessible and competitive.
Can I claim my SMSF life insurance premiums as a tax deduction?
Yes. SMSFs can generally claim a tax deduction for death cover premiums, provided the insurance is held to protect fund members.
How much SMSF life cover can I apply for?
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Minimum Death cover: $50,000
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Maximum Death cover: Unlimited for Death cover held inside the SMSF (subject to underwriting and the insurer’s acceptance).
The “right” amount depends on things like your fund balance, debts, dependants and estate planning; your adviser can help you work this out.
Do I need medical tests?
Every application is underwritten, but the level of information required depends on your age and cover amount. For example, lower sums insured under certain age thresholds may only require a limited or short underwriting questionnaire completed online, while higher cover amounts or older ages may require a full personal statement and possibly medical exams or tests.
Can I increase my cover later?
Yes. You can always apply to increase your cover (subject to underwriting), and the Plan also includes a Life Stages option where you may increase your Death (and optional TPD) cover without full medical evidence following eligible life events such as marriage, mortgage or birth/adoption of a child, within defined limits and conditions.
What happens if a member leaves the SMSF?
Their cover ends automatically when they exit the fund. They may be eligible to continue cover under an individual policy.
Who receives the benefit if I die?
Under the SMSF Master Insurance Plan, Death benefits are paid to the trustee of the SMSF, not directly to you or your family.
The trustee then pays benefits in line with:
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Super and tax laws, and
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Your SMSF trust deed and any valid death benefit nomination
What are the main exclusions on SMSF Life Insurance?
The main exclusions for Death and Death & TPD cover are.
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Declared war or act of war
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Active service in the armed forces of any country or international organisation (subject to Army Reserve exception)
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Suicide within 13 months of cover starting, increasing or being reinstated
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For TPD, deliberate self-inflicted injury or attempted suicide
Any extra exclusions specific to you (for example, based on hobbies or medical history) will be shown in your Policy Insurance Certificate.
Can I transfer existing life cover into this Plan?
Yes. There is an Individual Transfer Option for eligible members to transfer existing Death, TPD or Income Protection cover from another insurer or employer-sponsored super arrangement into the SMSF Master Insurance Plan, subject to age and maximum cover limits.
This can help consolidate your SMSF life insurance into a single, specialist arrangement.
Get Started Today
Protect your SMSF members with flexible, affordable Life Insurance designed for Self-Managed Super Funds.
Start your online application today and give your fund the protection it deserves.
Quotes for SMSF Life Insurance are instant, and you can buy SMSF Life cover securely online.
