Frequently Asked Questions
How does the payout work?
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Term Insurance:
This type of policy pays out a lump sum if you pass away during a set period of time — this is called the “term.”
For example, if you take out a 30-year policy when you're aged 35, and you pass away before the age of 65, we will pay out the lump sum. If you're still alive, the policy ends after 30 years and no money is paid out.
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With Indexation:
If you choose to add indexation, the benefit amount will go up by 3% each year to help keep up with inflation. Your regular payments (premiums) will also increase each year by a fixed amount (4%) to cover this.
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Without Indexation:
If you don’t choose indexation, both the benefit amount and your regular payments will stay the same for the entire term.
You can find more details in the Policy Conditions.
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Mortgage Protection Insurance:
This policy is designed to pay off your mortgage if you pass away. The payout normally goes straight to your mortgage lender.
The amount paid out goes down over time, just like your mortgage balance does — it’s based on a mortgage with a 6% interest rate. If your mortgage interest rate is higher than 6%, you might want to consider extra cover to make sure the full amount is paid off.
More details are available in the Policy Conditions.
Will the cost of my cover go up in the future?
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Term Insurance:
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If you don’t choose indexation, your regular payments (called premiums) will stay the same for the entire length of your policy.
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If you do choose indexation, your payout will increase each year to help keep up with inflation, and your regular payments will also go up each year. The increase is fixed — the payout will go up by 3% each year, and your premium will go up by 4% each year.
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Any government taxes or charges will be added to your premium. If tax laws change in the future, your total payment might change too.
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You can see your premium details in your Policy Schedule when you take out the policy.
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Mortgage Protection Insurance:
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Your regular payments will stay the same throughout the policy — they won’t be reviewed or changed by us.
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Any government taxes or charges will be added to your premium. If tax laws change in the future, your total payment might change too.
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You can see your premium details in your Policy Schedule when you take out the policy.
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What happens if I cancel my policy?
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This policy doesn’t have a cash-in value, so if you cancel it, you won’t get any money back and you won’t be able to make a claim in the future.
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If you cancel within 30 days of receiving your policy documents (this is called the “cooling-off period”), we’ll refund all the premiums you’ve paid.
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If you cancel after the 30 days, we won’t refund any monthly premiums. You may be entitled to a refund of the current year’s annual premium on a pro-rata basis.
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Although each payment is due on the payment dates shown in the Policy Schedule, we give you 40 days to make the payment. If you continue to miss your payments, we may cancel your policy and won’t pay out any benefits or claims.
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If your policy has been assigned to a third party (like a bank for a mortgage), you’ll need that third party’s written permission before you can cancel it.
Who can give instructions on a policy with two owners?
For policies with two owners (Dual Life policies), either policyholder can give instructions to cancel or to make changes to the policy, such as updating personal details or adjusting the benefit amount. When one policyholder provides instructions, we will make the instructed changes and we will inform the other policyholder of the change.
Please note that the customer portal currently allows only one policyholder to make changes directly. The second policyholder can still request changes by contacting our customer service team.
Prefer to chat with an expert?
If you would prefer to talk it through with an expert and get some advice, please call the laya life team on 021 202 2870 to receive an advised quote.
For more information about the product or how to use the platform, customers can also contact us.