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FAQs about my life insurance and income protection policies

Below are some of the most commonly asked questions from our clients about their life insurance and income protection policies.

Frequently asked questions

The information provided is a summary only. Refer to the relevant Product Disclosure Statement (PDS), available from Westpac, for further information.


Under some policies, you can pay your premium monthly, quarterly, or half-yearly. However, other policies require premiums to be paid monthly or, in some cases, annually. Please refer to the relevant PDS to see what payment options are available. 

You will be sent a dishonour letter informing you that you have missed your payment. You can either call 131 817 (8am-6.30pm, Mon-Fri, Sydney time) and make the payment by credit card or alternatively, two payments will be debited from your designated bank account the following month. Westpac Call Centre will attempt to contact you to assist you with the missing payments.

If the second attempt to debit the two payments is dishonoured, your policy will be cancelled within the next 5 working days. You will be informed in writing if the second payment fails to process and again after when the policy is cancelled.

At any point you can call 131 817 to pay your missed premiums.

There are two main reasons why your premiums may change each year: Age and Automatic Consumer Price Index (CPI) Increases.

Age - Generally, the chance of you making a claim increases as you get older, so your premium increases to reflect the increased risk.

Automatic CPI Increases - If you have a CPI Increase feature on your policy, your sum insured will automatically increase every year in line with the CPI unless you notify the insurer otherwise. Your premiums will increase based on the increased sum insured.

You may have options to reduce your premiums such as reducing your base level of cover or removing any optional benefits, call 131 817 (8am-6.30pm, Mon-Fri, Sydney time) to discuss.

Yes, of course. Some people think life insurance is set and forget. It shouldn't be. You may be able to change your cover as your circumstances change. Call 131 817 (8am-6.30pm, Mon-Fri, Sydney time) to discuss your options.

Under some policies, you may be under obligation to notify the insurer in order to maintain cover. Under other policies, you may not be eligible to make a claim. And, under other policies, your cover may terminate.  For example, under Bill Cover, your policy will terminate if you become unemployed for reasons other than Total Disability or take leave without pay, parental or sabbatical leave for more than 6 months, and benefits are not being paid under the policy. Please call 131 817 (8am-6.30pm, Mon - Fri) to find out more.

If you are experiencing financial difficulty, there are options available to help retain your cover rather than losing it completely. It is a condition of your policy that premiums are paid in the event you need to make a claim. Please call 131 817 (8am-6.30pm, Mon-Fri, Sydney time) for more information to help you stay covered.

When you took your policy out, you would have received a Product Disclosure Statement and Policy Schedule that provided details of your cover. You must always refer to these documents for details of your benefits and any terms and conditions that may apply to your policy. You’ll also receive a renewal letter each year which usually gives you an update on your cover, including your premiums.

Westpac Life Insurance has a range of simple and tailored insurance options to help protect you through life’s stages. If you read through the life insurance and income protection cover options on this website, you will have a better understanding of what you may need. If you still have queries, call 131 817 (8am-6.30pm, Mon-Fri, Sydney time).

This will depend on the type of policy and how it is owned. Income protection policies are generally tax deductible, and policies owned inside superannuation are generally deductible to your superannuation fund. Lump sum policies owned outside superannuation are generally not tax deductible1

Things you should know

1 The tax position described is a general statement and is for guidance only. It has not been prepared by a registered tax agent. It does not constitute tax advice and is based on current tax laws and our interpretation. Your individual situation may differ and you should seek independent professional tax advice. This information has been prepared without taking into account your objectives, financial situation or needs. Before acting on this information, consider whether it’s appropriate for you.


A target market determination has been made for Protection Plans products. Please visit for any of our target market determinations.

The Insurer and Issuer is Westpac Life Insurance Services Limited ABN 31 003 149 157 AFSL 233728, except for Term Life as Superannuation, Income Protection as Superannuation and Income Protection Assured as Superannuation, issued by BT Funds Management Limited ABN 63 002 916 458 AFSL 233724 as Trustee of Retirement Wrap ABN 39 827 542 991. They are subsidiaries of Westpac Banking Corporation ABN 33 007 457 141 AFSL 233714, who does not guarantee the insurance. 

This information does not take into account your personal circumstances. Terms and conditions, and limitations and exclusions apply. Read the BT Protection Plans Disclosure Statement (PDS) to see if this insurance is right for you.