Separation and Divorce

Are you going through a separation or divorce?

There are many things to consider when going through a separation or divorce and we understand that it may be a difficult and emotionally charged time.

During the process, it is important to remember your life insurance. Just like property, cars, bank accounts and superannuation, your life insurance policies should be considered in the division of assets.

Why do I need to consider my life insurance?

Depending on how your life insurance policy is set up, it may not be as simple as each party walking away with their own policies. Some couples have joint policies, others have one partner as the owner of the other’s life policy, and many couples have each other as beneficiaries. These are some factors to take into account when separating your assets so you can come to an agreement and ensure you are both adequately covered, and your loved ones are protected.

Separation and Divorce FAQs

Ownership of the policy (or policies) is a key consideration. Whoever owns the policy has control over it – including the power to decide whether to continue the policy, as well as who will receive the benefit if a claim is made.

There are various types of ownership depending on what you decided when you took out the policy:

Individual ownership: In this case, you may continue with your own policy, but you may consider changing beneficiaries if you previously appointed your partner.

Joint ownership: You share the policy with your partner and usually, both parties will need to agree to any changes.

Cross ownership: Each person owns the policy over their partner’s life. You will need to agree to make changes to your partner’s policy and vice versa.

If you need to rely on your ex-partner to make certain changes to your policy, you may consider getting a specific agreement (such as a binding financial agreement) or even a court order as part of the divorce process to ensure your wishes are carried out.

Who will receive the benefit of the policy following the divorce or separation is another matter that needs to be considered. Often, couples nominate each other to receive the benefit if something were to happen to them. After a divorce or separation, you might decide you no longer want your former partner to receive the insurance benefit and decide to nominate a new beneficiary.

In some circumstances, people may choose to keep their ex-partner as a beneficiary if, for example, they have children and share custody of them, or continue to have shared liabilities such as education expenses or mortgages. If you need advice on this, consider speaking to a lawyer or financial adviser.

You can let us know by giving us a call or emailing us regarding changes to your policy, such as reassigning ownership or changing beneficiaries. If you have a joint policy or your ex-partner owns your policy, we will need their consent to make changes. If in doubt, give us a call and we can guide you through the process.

Family Relationships Online is an Australian Government website containing about a range of services to assist families manage relationship issues.

Family and Relationships- Getting a divorce is the NSW State Government website containing a range of information about financial, legal and support services.

Relationships Australia is the leading provider of relationship support services for individuals, families and communities.

Divorce Care offer divorce recovery support groups across Australia.

Healthdirect is the Australian Government’s health website offering free advice on health matters, including the effects of divorce and separation.

Moneysmart offers advice on the steps to take around finances when you separate or divorce.

Lifeline provides 24-hour support for emotional distress or crisis. Call 13 11 14.

Contact Us

If you need to get in touch, you can call us on 13 77 87.

^ The '$100 off first year discount' is available to new customers who take out a quote and purchase a new Insuranceline Life Insurance, Income Protection or Funeral Insurance policy between 28 August 2025 and 25 February 2026. The $100 is spread evenly across the first year's premium payments; full benefit requires maintaining the policy for 12 months unless premiums are paid annually. If the policy is cancelled or payment frequency changes during the first year, any unallocated portion of the discount will not be honoured. This discount applies only once per policy and does not continue after the first year. TAL as issuer of the policy reserves the right to change or withdraw this offer for future customers at any time without prior notice.

Any financial product advice is general in nature only and does not take into account any person’s objectives, financial situation or needs. Before acting on it, the appropriateness of the advice for any person should be considered, having regard to those factors. Persons deciding whether to acquire or continue to hold life insurance issued by Insuranceline should consider the relevant Product Disclosure Statement (PDS). The Target Market Determination (TMD) for the product (where applicable) is also available.

Promoted by Insuranceline, a trading name of TAL Direct Pty Limited (of Level 16, 363 George Street, Sydney NSW 2000) ABN 39 084 666 017 AFSL 243260. TAL Life Limited ABN 70 050 109 450 AFSL 237848 issues the life insurance benefits. Hallmark General Insurance Company Ltd ABN 82 008 477 647 AFSL 243478 issues the Involuntary Unemployment Cover.

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Life Insurance

Income Protection

Funeral Insurance

Separation and Divorce

Are you going through a separation or divorce?

Why do I need to consider my life insurance?

Separation and Divorce FAQs

Who gets ownership of the policy?

Who receives the benefits of the policy?

How to notify Insuranceline of changes to your policy.

Resources for more information

Contact Us