Applying for life insurance can sometimes be daunting if you’re trans or gender diverse, but your affirmed gender identity should not prevent you getting the cover you need to protect yourself and those you care about.
When you apply for life insurance with Zurich you can disclose the gender identity that most suits you. Today, that still means choosing between two binary gender options, but we’re working to offer non-binary options to our customers in the future.
We haven’t got there yet, because the historical data we need to assess insurance risks only has binary information, but we plan to offer a wider range of options in the future. In the meantime, we’re pleased to be able to give you the opportunity to select the most appropriate gender identity for you, rather than asking for your sex or sex at birth, as some insurers do.
Why is my gender relevant?
The gender identity you put on your application will determine the price you pay for your cover. This is because life insurance pricing is based on actuarial data (statistical analysis of risk across the population) that attributes these risks to males and females. For example, males are statistically at a higher risk of developing some conditions than females.
For life insurance your gender identity doesn’t alter what you’re covered for – for example, anybody can lodge a claim for (pregnancy/prostate cancer/breast cancer) regardless of their gender. For other types of insurance - such as health insurance - this is not the case.
The gender identity selected may have some effect on the questions we ask you, for example we will only ask a female questions relating to pregnancy, however wherever possible questions are presented in a gender-neutral way, so that any relevant or important information about your medical history can easily be disclosed in the policy application.
At Zurich we ask customers to tell us their gender so we can communicate with you in accordance with your identity. In most cases, applicants will disclose their affirmed gender identity on their application – however, if it is more appropriate for you to apply using the gender identity you were assigned at birth (for example to match your name and gender on official documents) this is ok too.
Even if you update your gender identity after you have applied for a policy, you’ll stay covered for all the same conditions as before.
What is underwriting?
When you apply for life insurance, your application will go through a process called underwriting, which is how insurers assess the likelihood that someone will claim. It’s how we determine if you’re more or less likely than someone else to develop a health condition or if you’re at higher risk of having an accident.
If you’re at higher risk of something happening, premiums for your cover may be higher, or your policy may exclude some health conditions. We assess this risk based on factors such as your medical history, occupation and past times.
People sometimes worry that the underwriting process will be intrusive, so it’s important to understand that it is not about judging you or your lifestyle. Zurich considers cover for all Australians, and understand every person is unique.
What questions will I be asked as a trans or gender diverse applicant?
You will be asked the same questions as everybody else. It is important to be honest and disclose existing medical conditions, past or upcoming surgeries or therapies in the application, to ensure your cover and pricing is appropriate. Some questions in our applications may be of concern for some trans or gender diverse applicants:
- Gender – you can select the gender than most suits you (noting only male and female are currently available)
- Planned or past surgeries – this includes gender affirming surgeries
- Medication you are currently taking – for example hormone therapies
- History of mental health conditions
- Other medical history and/or pastimes.
A financial adviser can help you to answer these questions and find the right cover for your needs.
Can I get insurance without answering medical questions?
There are life insurance policies that don’t involve an underwriting process when you apply, such as policies offered within your superannuation. That means you might not have to answer any medical questions at all.
But this ‘automatic acceptance’ insurance is generally only available up to a certain threshold. That means you may not be able to use these kinds of policies if you’re looking for cover equal to, say, 10 times your annual salary – a commonly used starting point for calculating cover levels.[1]
These sorts of policies may also automatically exclude any pre-existing conditions. So, if you have an existing health condition and choose a product with exclusions, it’s very important you understand what you will and won’t be covered for.
Products that rely on an automatic pre-existing condition exclusion are often cheaper, but they aren’t as comprehensive as an underwritten insurance policy.
If you’re nervous about the underwriting process, talk to an LGBTQ+ friendly financial adviser or insurance broker to find the right cover for your needs.
What if you’re not happy with an underwriting decision?
If you disagree with our decision about your application for life insurance cover, or if you think the information we based it on is incorrect or out of date, you can discuss this with us and we will review our decision.
It may be possible for us to review a new application for the same type of insurance in the future if your situation changes – for example, if your health condition improves.
Does being trans or gender diverse affect how I make a claim?
Being trans or gender diverse does not make it harder to make a claim. When you lodge a claim, you will be treated with the same respect and service we provide to all our customers.
When you claim, a claims assessor will ask for a range of information including medical reports to assess whether your claim meets the terms of the policy. Any exclusions or loadings related to your policy, will also be assessed. Your adviser can guide you through the claims process.
The completeness and accuracy of the health information you initially provided on the policy application is critical to the success of any claim. It is important to disclose existing medical conditions, past or upcoming surgeries or therapies in the application. If these conditions are not disclosed, your claim may not be successful.
We understand that things may change after taking out the policy. For example, medical affirmation of your gender. There is no ongoing obligation to update a life insurer on your health after you’ve applied. Your policy and cover remains unchanged.
When you make a claim, you can tell us on the claim form about any previous names you have been known by. We’ll accept your medical records even if they are in your previous name.
Additional help if you’re experiencing vulnerability
We know that anyone can experience vulnerability or need additional help accessing financial services, particularly when facing unpredictable life events, including gender affirmation. Our staff have been trained to support you during these difficult times. For more information on how we can support you, visit our website.
We want to hear from you
We’re trying, but we know we might not always get it right. If you need to make a complaint or just want to tell us how we can do things better, you can email us or contact our Complaints team on 131 551.
