Income protection products drew the most complaints about a life insurance product in the second half of last year, Australian Financial Complaints Authority (AFCA) data shows.

AFCA accepted 583 life product complaints during the period, with 38.9% of the total about income protection.

Term life products accounted for 23.7%, total and permanent disability 11.7%, funeral plans 11.5% and trauma 9.7%.

AFCA says 500 life complaints were closed at the case management stage during the half and $3.4 million was paid in compensation.

Complaints received about life insurance totalled 672 and included 475 related to life insurance firms, 100 directed at banks, 48 against financial advisers and planners, 19 against product distributors and 13 against general insurers.

A breakdown by life insurance firms shows 157 complaints against TAL Life, with 21.66% resolved when the matter was referred back.

AMP Life received 116 complaints, with 18.10% resolved when referred back, Colonia Mutual Life received 112 with a referral resolution rate of 30%, while AIA received 110 and had a referral resolution rate of 14.55%.

The data can be accessed here.