You're most likely to claim Trauma insurance in your 50s
When we think about life insurance or trauma cover, it’s easy to assume we won’t need to claim on those policies until we’re much older. But recent data from AIA Australia shows that the reality is quite different: the average claimant age for trauma cover is surprisingly young, and you're more likely to make a Trauma claim in your 50s.
What's the average age for trauma claims?
According to AIA Australia, the average age of trauma claimants is 53. That might come as a surprise, but it reflects the fact that health risks like cancer, heart disease, and strokes tend to surface as we hit our middle years. For many Australians, the 50s mark the beginning of an increased risk for serious illnesses.
Source: AIA AUSTRALIA | SUPPORTING CLIENTS THROUGH THE UNEXPECTED
“We’re seeing that the majority of trauma claims occur between the ages of 45 and 55, making it a key time to reassess your life and trauma insurance needs.”
Understanding Trauma insurance and the importance of timing
Trauma insurance (also known as critical illness cover) provides a lump sum payout if you're diagnosed with a major health condition such as cancer, stroke, or heart attack. While no one likes to think about it, these health issues become more likely as we hit our 50s. The 50s mark a crucial period where maintaining insurance cover becomes essential, as health risks can increase and lead to serious financial burdens if not adequately covered.
“Research shows that critical illnesses, particularly cancer, are most commonly diagnosed in Australians aged between 45 and 64, with approximately 53% of trauma claims related to cancer.”
Trauma claims breakdown: most common conditions
The types of conditions that drive the majority of trauma claims are often the same ones we hear about regularly:
Cancer: The leading cause of trauma claims, making up over 50% of claims
Heart disease: Another common reason for trauma claims, with cardiovascular issues frequently occurring in individuals in their 50s.
Stroke: Along with cancer and heart disease, stroke is one of the top conditions triggering trauma insurance claims.
Why are trauma claims more common in your 50s?
The likelihood of developing a critical illness rises significantly in your 40s and 50s. Lifestyle factors like stress, diet, and lack of exercise, coupled with the natural aging process, contribute to increased health risks. The Australian Institute of Health and Welfare (AIHW) reports that cancer rates, in particular, are highest among people aged 50 to 64, making this a peak time for trauma claims
As AIA Australia puts it:
“The average age of claimants reflects the fact that we face significant health risks as we age, particularly in our 50s, when both lifestyle and genetic factors come into play.”
What does this mean for you?
While no one wants to think about serious health issues, the statistics speak for themselves. If you’re approaching your 50s or already there, it’s the perfect time to reassess your life insurance and trauma cover. This is the time when claims are most likely to occur, so having the right cover in place could make all the difference.
Having sufficient trauma insurance means you can avoid financial stress if you’re diagnosed with a major illness. You’ll be able to focus on your recovery without worrying about how to pay the bills. Consider speaking to a financial adviser who can help you understand your cover options and ensure you have the right policy in place for your needs.
Resources
AIA Australia – Average Claimant Age 2023
Australian Institute of Health and Welfare – Cancer in Australia Statistics