When most people think about life insurance, they picture it as something only useful in the event of their passing. While that’s true, the real heart of life insurance is much broader: it’s about protecting your lifestyle, your family, and the future you’re working hard to build.

At its core, life insurance helps safeguard your most valuable asset — your ability to earn an income. Without that, the plans you’ve made for your home, children, retirement, and day-to-day living can quickly unravel.

So, how do you make sure your life insurance is the right fit? A good conversation with your financial adviser starts with asking the right questions.

Why Is Life Insurance So Important?

Think about the things your income pays for every month: mortgage repayments, rent, groceries, school fees, car loans, holidays, and all the little extras that make life enjoyable. Your income is the engine that keeps everything moving. If that suddenly stopped — whether due to illness, injury, or death — how would your family maintain their lifestyle?

Life insurance is not about dwelling on worst-case scenarios; it’s about having a plan in place so the people you care about don’t struggle financially during an already difficult time. It’s the safety net that ensures your family can continue living in the home they love, sending the kids to school, and having some financial stability when things don’t go to plan.

The Big Questions to Ask Your Financial Adviser

When sitting down with a financial adviser, it helps to move past the jargon and focus on what really matters. Here are the big questions to bring up:

1. How much cover do I actually need?

Everyone’s situation is different. The right amount of cover depends on your income, debts, family size, and lifestyle goals. Too little cover may leave your family vulnerable, while too much could mean you’re paying for protection you don’t need. Ask your adviser to calculate the amount based on replacing your income and covering major expenses for your loved ones.

2. What type of life insurance is right for me?

Life insurance can come in different forms — from cover that pays a lump sum if you pass away, to policies that support you if you’re unable to work due to illness or injury. Make sure your adviser explains the options in plain language and shows how each one fits your life stage and priorities.

3. Will my cover keep up with my changing lifestyle?

Life changes quickly — a new home, children, a growing career. The cover you set up five years ago may no longer suit your current needs. Ask your adviser how often you should review your policy and whether it can be adjusted as your circumstances evolve.

4. What happens if I stop paying premiums?

Life insurance only works if it stays active. Understand what flexibility you have if money becomes tight. Some policies offer ways to pause or reduce cover temporarily without losing everything.

5. How does life insurance fit with my superannuation?

In Australia, many people have some default life cover through their superannuation fund. Ask your adviser whether it’s enough, how it’s structured, and whether it should be topped up with additional policies outside super.

Protecting Your Lifestyle and Peace of Mind

Ultimately, life insurance isn’t about numbers on a page. It’s about peace of mind — knowing that if something unexpected happens, your family won’t be forced to make tough financial choices like selling the house, cutting back on education, or dipping into retirement savings too early.

Your ability to earn an income is your greatest financial asset. Just as you insure your car or home, it makes sense to insure your income-earning potential. By asking the right questions and working with your adviser, you can set up life insurance that keeps your lifestyle protected and your family secure.

In short: Life insurance is less about preparing for the worst and more about preserving the life you’ve built. The right cover ensures that, no matter what happens, your loved ones have the support they need to continue forward.

If this article has inspired you to think about your unique situation and, more importantly, what you and your family are going through right now, please get in touch with your advice professional.

This information does not consider any person’s objectives, financial situation, or needs. Before making a decision, you should consider whether it is appropriate in light of your particular objectives, financial situation, or needs.

(Feedsy Exclusive)