Life Insurance with Mental Illness

Finding Cover with Anxiety, Depression or Other Mental Health Conditions

Living with a mental health condition such as anxiety, depression, or another diagnosed illness doesn’t mean you can’t access life insurance. While insurers often ask detailed questions, many Australians with mental health histories are still approved for cover. At Covermate Life, we help you navigate the process with confidence.

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Can I Get Life Insurance with Mental Illness?

Yes – but your options will depend on:

• The type of condition (e.g., anxiety, depression, bipolar disorder, PTSD).

• Severity and whether symptoms are ongoing or well-managed.

• Treatment history – medication, therapy, or hospitalisations.

• Time since last episode and stability of your condition.

• Any impact on work capacity or daily life.

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Insurers may apply a premium loading, exclusions (for suicide or mental illness-related claims), or, in some cases, decline cover.

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Why Applications Can Be Complex

Mental illness is one of the most misunderstood areas in life insurance underwriting. Common factors insurers consider include:

• Medication use – type, dosage, and effectiveness.

• Counselling or therapy – frequency and outcomes.

• Hospitalisations – whether you’ve ever been admitted.

• Suicidal thoughts or attempts – a critical factor in assessment.

• Time off work – due to mental health reasons.

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Types of Life Insurance Available

Even if you have a history of mental illness, you may still qualify for:

• Life Cover (Death Cover) – lump sum payout to your family if you pass away.

• TPD Insurance – payout if you become permanently unable to work.

• Income Protection – replaces a portion of your salary if illness stops you from working.

• Trauma Insurance – may be harder to access, as mental health conditions are usually excluded, but still possible in some cases.

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Tips for Applying with Anxiety, Depression or Other Mental Health Conditions

1. Be honest and transparent – hiding information can risk claims being denied.

2. Provide medical reports – clear, up-to-date information helps insurers assess fairly.

3. Consider timing – applications made during stable periods may be assessed more positively.

4. Expect exclusions – some policies may not cover mental health-related claims.

5. Work with a broker – we know which insurers take a more flexible approach.

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Why Choose Covermate Life?

• Specialists in helping people with pre-existing conditions.

• Access to a wide range of insurers across Australia.

• Guidance on what to expect and how to present your history.

• General advice only – you’re always in control of your decision.

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Get Started Today

Life insurance with mental illness is possible — but navigating applications can be stressful. At Covermate Life, we help you compare options, understand the terms, and apply with confidence.

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Call us today or request a quote online to explore your options.

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FAQs

1. Will I pay more for life insurance with a mental health condition?
Often, yes. Insurers may apply loadings or exclusions depending on your history and current stability.

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2. Can my application be declined?
It is possible, especially if there have been recent hospitalisations or suicide attempts. However, some insurers are more flexible than others.

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3. Do I need a medical or psychiatric report?
Most insurers will ask for a GP report or psychiatrist’s notes. This helps them understand your history and current treatment.

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4. Will my policy cover suicide?
Most life insurance policies exclude suicide for the first 13 months. Some may add further exclusions based on your mental health history.

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5. Can I get cheaper premiums if my condition improves?
Yes. Some insurers will reassess your policy if your health has been stable for a number of years.

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General Advice Disclaimer: The information on this page is general only and does not take into account your personal circumstances. You should consider whether the product is appropriate for you and read the relevant Product Disclosure Statement (PDS) before making a decision.