Lifewise, an initiative of the Australian life insurance industry and Investment and Financial Services Association (IFSA) to raise awareness of Australia's underinsurance problem, has been operating for about 10 months.
And while IFSA chief executive John Brogden would be the first to admit it hasn't exactly set the world on fire, with only 15,000 hits on the website since its launch in May last year, it is hoped the results of a new study released this week will shock Australians into action.
The Lifewise/National Centre for Social and Economic Modelling (NATSEM) Underinsurance Report found that one in five families would be affected by the death of a parent or a serious accident or illness during their working lives.
The report found that more than 1 million working parents would die, become seriously ill or injured and be unable to work at some stage during their career.
"Every day, over 65 families are impacted by an event that seriously affects their ability to earn an income and support their kids," Brogden said.
"Given Australia is one of the most underinsured nations in the developed world, this is an important issue with significant social implications."
According to an oft-referenced 2007 Swiss Re report, Australia ranked 16th in the world for life insurance density and penetration.
A 2008 survey by the Australian Institute of Superannuation Trustees and Industry Funds Forum revealed one in two industry fund members were underinsured by $100,000 or more.
So what is this all costing the government? According to the Lifewise/NATSEM study, the underinsurance of parents with dependent children and a mortgage meant the government would have to shell out $1.3 billion in additional social security payments in the next decade.
It seems then that the insurance sector holds bountiful opportunities for insurers and super funds.
Jim Minto, the chief executive of insurer Tower Australia, told the IFSA Life Insurance Conference that this was an "attractive market to be in".
And Brogden said there were a number of business opportunities opening up.
"Group insurance contracts are becoming a selling point for super funds . the way that Australians are buying life insurance is changing," he said.
Last year's $600 million deal between AustralianSuper and Tower broke new ground.
Under the new three-year contract, the fund's members will receive a 31 per cent increase in death and disablement cover for the same cost; get default cover that has a two-year income protection benefit; and eligible members will be able to access cover that meets their needs without requiring a personal statement, medical exam or blood tests.
Now more super funds are increasingly looking towards the adequacy of their product offering.
"There will be a competitive advantage of one super fund's product over another," Brogden said.
Brogden was at pains to point out that Lifewise was not set up to sell life insurance, rather the message it was trying to convey was that underinsurance was avoidable.
"Almost everyone has an automatic level of life insurance through superannuation, but the point is this is generally quite low," according to Lifewise.
