LIFE INSURANCE & TERMINAL ILLNESS. NO WIN, NO FEE
Diagnosed with a terminal illness? Access your life insurance early
If you've received a terminal illness diagnosis, most Australian super funds allow you to access your life insurance benefit before death, as a lump sum, within 1–3 months. You shouldn't have to wait.
Lump sum paid early
1-3 months typical timeframe
$0 upfront
1-3
Months typical claim timeframe
Lump
Sum paid directly to you, early
$0
Upfront. No Win, No Fee
2
Specialists required to certify terminal illness
Early Access
Life insurance benefit available before death
1–3 Months
Typical timeframe for terminal illness claim
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UNDERSTANDING YOUR ENTITLEMENT
What qualifies as a terminal illness?
The definition used by Australian superannuation funds is more accessible than most people expect. A terminal illness is any condition where two medical practitioners certify that, despite receiving reasonable treatment, you are likely to die within 24 months.
The word "likely" is critical. You do not need a prognosis that guarantees death within that window. You need a medical opinion that it is the probable outcome. This means people actively receiving chemotherapy, immunotherapy, or other disease management regularly qualify and can access their benefit while still pursuing treatment.
Most Australians with superannuation also have life insurance included in that fund. 50% don't know it's there. If you've received a terminal diagnosis, this benefit may be available to you, paid as a tax-free lump sum, within weeks of approval.
Death likely within 24 months despite treatment, certified by two medical practitioners
"Likely" means probable, not certain. A guaranteed outcome is not required
You can still qualify while receiving chemotherapy, immunotherapy, or palliative care
Some older policies use a 12-month threshold. Better Claim checks your fund's specific definition
If you've had several employers, each fund with life insurance cover is a separate potential claim
Terminal illness: what the definition covers
How Australian super fund policies define "terminal illness."
Prognosis threshold
Older policies
Certifications required
Must include
Still in treatment?
Still working?
Benefit type
Likely within 24 months
May use 12 months
2 practitioners
1 specialist in your condition
Can still qualify
Can still qualify
Lump sum, tax-free
HOW IT WORKS
Terminal illness: early access to your life insurance
Most Australians have life insurance (also called death benefit cover) through their superannuation fund. Typically this is paid as a lump sum to your estate or beneficiaries upon death.
However, if you receive a terminal illness diagnosis, your fund's policy may allow you to claim this benefit while you're still alive, giving you and your family financial security when it matters most. This is known as a Terminal Illness benefit or an Early Release claim.
Available to anyone with a terminal illness prognosis (typically under 24 months to live)
Paid as a lump sum. Use it however you choose
Often tax-free when paid from super
May be claimable from multiple super funds
Separate from and does not affect your TPD or IP claim
Terminal illness claim snapshot
Based on typical super-linked life insurance policies.
Payment type
Timeframe
Prognosis threshold
Specialists required
Typically tax-free
Upfront cost
Lump sum
1–3 months
Under 24 months
2 (including a specialist)
Yes (via super)
$0
THE CERTIFICATION PROCESS
What's required to prove terminal illness
Your insurer will require formal medical certification from two practitioners. We coordinate this for you.
QUALIFYING DIAGNOSES
Which conditions qualify for a terminal illness claim?
Any diagnosis where two medical specialists certify a prognosis of likely death within 24 months may entitle you to your super fund's life insurance benefit. Below are the conditions Better Claim most commonly helps Australians claim for.
Terminal Cancer
Cancer is the leading cause of terminal illness claims through Australian superannuation. A terminal cancer diagnosis, where an oncologist and a second specialist certify that death is likely within 24 months despite treatment, meets the standard definition used by most super funds. This applies to cancers that have metastasised, are unresponsive to treatment, or have reached a stage where curative options are no longer available.
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Lung cancer
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Pancreatic cancer
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Glioblastoma (brain tumour)
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Ovarian cancer
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Mesothelioma
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Stage 4 prostate cancer
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Leukaemia & lymphoma
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Oesophageal cancer
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Advanced breast cancer
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Colorectal cancer
Neurological Conditions
Progressive conditions affecting the brain and nervous system that impair vital functions and carry a terminal prognosis.
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Motor Neurone Disease (MND / ALS)
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Multiple Sclerosis (advanced stages)
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Huntington's Disease
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Progressive Supranuclear Palsy
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Severe acquired brain injury
End-Stage Organ Failure
Irreversible failure of major organs where life expectancy is limited despite medical management or transplant waiting lists.
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End-stage heart failure
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End-stage kidney (renal) failur
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End-stage liver failure / cirrhosis
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End-stage COPD / pulmonary fibrosis
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End-stage respiratory failure
Other Terminal Conditions
Any condition that meets the prognosis threshold may qualify. The list is not restricted to specific diagnoses.
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Advanced HIV / AIDS
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Severe aplastic anaemia
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Advanced dementia / Alzheimer's
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Rare terminal genetic conditions
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Systemic conditions with a terminal prognosis
This is not an exhaustive list. Any condition where two medical practitioners certify a prognosis of likely death within 24 months may qualify. If your diagnosis is not listed here, Better Claim can still assess your eligibility at no cost and with no obligation.
THE PROCESS
How we handle your life insurance claim
We move quickly and compassionately, because time matters.
1
Free compassionate review
We review your superannuation fund policy and confirm your life insurance cover amount, policy definitions, and eligibility for early terminal illness access, at no cost, with no obligation.
2
Coordinate medical certification
We liaise with your treating specialists and GP to obtain the required terminal illness certifications. We provide your doctors with the correct documentation and policy-specific requirements to streamline the process.
3
Lodge the claim
We prepare and submit your complete terminal illness claim to your superannuation trustee and insurer, including all certification paperwork, identity documents, and supporting evidence.
4
Manage insurer communications
We handle all follow-up, respond to any requests for information, and advocate on your behalf with the insurer to ensure your claim progresses quickly and fairly.
5
Lump sum paid to you
Once approved, your life insurance benefit is paid to you as a lump sum, giving you and your family the financial security and peace of mind you deserve.
WHAT YOUR FUND WON'T TELL YOU
What your super fund is not required to tell you
Super funds and insurers are not required to contact you when you may be eligible for a terminal illness claim. The obligation to lodge sits entirely with you, or with someone acting on your behalf.
You may hold life insurance in a fund you've forgotten about
If you've worked multiple jobs, you may have super and life insurance across several funds simultaneously. Each fund with life insurance cover at the relevant time is a separate potential claim. Better Claim traces historic fund coverage as part of every free assessment.
Your terminal illness benefit and your TPD benefit are separate
Life insurance (death benefit / terminal illness) and TPD insurance are distinct covers within your super, each with their own benefit amount. Claiming one does not automatically prevent or reduce a claim under the other. Both may be available to you simultaneously.
Waiting does not protect you. Earlier lodgement is better
Many families wait until the final weeks of a loved one's illness before lodging. This creates unnecessary delays. Terminal illness claims should be lodged as soon as the qualifying prognosis is obtained. Better Claim moves quickly and compassionately.
You can claim even if you've stopped working
Your entitlement to a terminal illness benefit is attached to your cover at the time your condition arose, not your current employment status. Whether you stopped working six months or several years ago, you may still have a valid claim.
A denied claim can be challenged and often overturned
If your terminal illness claim has been denied, you have the right to an internal review and then to escalate to the Australian Financial Complaints Authority (AFCA), a free and independent service. Better Claim manages this process on your behalf at no extra cost.
FAQ
Life insurance & terminal illness: your questions answered
Answers to the most common questions we receive about life insurance and terminal illness claims.
Can I access my life insurance before I die if I have a terminal illness?
Yes. Most Australian superannuation funds allow you to access your life insurance benefit early if you've been diagnosed with a terminal illness, typically defined as a condition where death is likely within 24 months, certified by two medical practitioners. This is known as a Terminal Illness benefit claim.
Is the life insurance payment tax-free?
Terminal illness benefits paid from superannuation are generally tax-free regardless of age. This differs from standard super withdrawals. We'll confirm the exact tax treatment for your situation during your free review.
What happens to the life insurance if I outlive the prognosis?
If you access your benefit early as a terminal illness payment and outlive the initial prognosis, the money remains yours. You are generally not required to repay it. Each policy has specific provisions. We review these in detail as part of your assessment.
Can my family claim my life insurance after I pass away?
Yes. If the terminal illness claim hasn't been lodged before death, or if you pass away before it's processed, your beneficiaries or estate can still claim the life insurance death benefit. We assist families through this process with compassion and expertise.
Does claiming life insurance affect my TPD or income protection claim?
Life insurance (death benefit), TPD, and income protection are separate covers, each with their own benefit amount. Claiming one typically does not reduce or prevent a claim under another. However, some policies have specific offset provisions, which we identify during your review.
What diagnoses qualify as terminal illness?
Any diagnosed condition where death is likely within 24 months (or 12 months under some policies) may qualify, including advanced cancers, motor neurone disease, mesothelioma, end-stage organ failure, and other life-limiting conditions. Your doctors certify the prognosis; we handle the rest.
What does "terminal illness" mean legally in Australia?
Under Australian superannuation law and most fund policies, a terminal illness is a condition where two registered medical practitioners, at least one of whom is a specialist in the relevant area, certify that, despite receiving all reasonable treatment, you are likely to die within 24 months (or 12 months under some older policies). The word "likely" is important: it means probable, not guaranteed. You can still be receiving active treatment and hold a terminal illness prognosis at the same time.
What should I do immediately after receiving a terminal diagnosis?
First, focus on your health and your family. When you are ready, contact Better Claim for a free review: the earlier a terminal illness claim is lodged, the sooner the benefit can be paid. We will identify all super funds where you may hold life insurance, confirm your coverage amounts, coordinate the required medical certifications with your treating specialists, and manage the entire claim process. You do not need to chase your fund or navigate the paperwork while unwell.
Can I make a terminal illness claim for cancer while still receiving treatment?
Yes. You do not need to have ceased treatment or reached the end stages of your illness to qualify. Terminal cancer claims, and terminal illness claims for other conditions, are regularly approved for people actively receiving chemotherapy, immunotherapy, targeted therapy, or palliative care. What matters is the prognosis, not the treatment status. If two specialists certify that death is likely within 24 months despite treatment, the threshold is met. Better Claim coordinates directly with your oncology team to obtain the required certifications.
WE ACT URGENTLY AND COMPASSIONATELY
Don't wait. Access the benefit you're owed now
Our free review takes minutes. We understand this is one of the hardest times in your life, and we'll guide you every step of the way, with care, speed, and zero upfront cost.
No Win, No Fee · Fixed fee, no surprises · Handled with care