Australians value life insurance so highly they are prepared to reduce other expenses to keep their policies, annual research from NobleOak Life has found.

People would rather spend less on groceries, holidays, mobile phone usage, savings or investment plans, and education costs than cut their policies, according to the study.

NobleOak says the current economic climate is making people more financially responsible and risk adverse. 

“There’s been a surge in financial safeguards including insurance. People are prioritising life insurance and other personal insurances more than ever before, even being prepared to reduce their grocery bills to keep their life insurance,” the insurer said. 

The research is based on responses from 1039 online survey respondents aged 30-60 with a household income of $100,000 or higher.

NobleOak says it found a high propensity to renew or purchase new life products in the next five years. 

More people were using the internet to compare life insurance products last year, increasing from 50% in 2020 to 64%, and close to half (47%) would use a comparison website to check products before purchasing. About 16% would compare based on insurers’ websites.

There was a slight uplift in consumers seeking financial advice last year. About 12% of respondents used an adviser or broker for their life insurance or income protection needs, rising closer to 2016-19 levels after a major dip in the covid years.

“This is consistent with the findings cited ... in this report around Australians being increasingly concerned with their current financial situation and wanting to do more to feel in control.”

Click here for more from the report.