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Life underinsurance campaign gains momentum

A life insurance industry initiative to tackle underinsurance continues to gain traction with the Financial Planning Association (FPA) signing on as an official supporter.

The Investment and Financial Services Association’s Lifewise campaign aims to make Australians aware of the financial hardship people face when they are inadequately covered for an accident, sickness or death.

Launched in May, the campaign uses a website, calculators and case studies as education tools.

The FPA has joined the Association of Financial Advisers (AFA) and more than 70 other industry and community supporters to promote the campaign.

IFSA CEO Richard Gilbert has welcomed new statistics from Plan For Life which show a 25% increase in life insurance sales for the year to March 2009, but says more needs to be done to “bring Australia into line with other developed nations”.