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APRA and ASIC Publish December 2025 Life Insurance Statistics

Insights into Claims and Disputes Trends in the Australian Life Insurance Sector

APRA and ASIC Publish December 2025 Life Insurance Statistics?w=400

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The Australian Prudential Regulation Authority (APRA) and the Australian Securities and Investments Commission (ASIC) have released the Life Insurance Claims and Disputes Statistics publication for the 12 months ending December 2025.
This report provides key insights into the performance and challenges within the Australian life insurance industry.

According to the data, life insurance claims for regulated funds totalled 117,219 for the year, a slight decrease of 1.2% from the previous year's 118,605 claims. Notably, Total and Permanent Disability (TPD) and Disability Income Insurance (DII) claims accounted for 64% of all claims made in 2025. These two categories were also responsible for 88% of all disputes, indicating ongoing challenges in these areas.

Disputed claims increased by 13.7% to 11,207, up from 9,851 in 2024. Of these disputes, 56% were related to group insurance within superannuation, while 33% involved individuals who had received financial advice. DII disputes were the most prevalent, with 3,194 disputes in group superannuation and 2,118 among advised individuals. TPD claims followed, with 2,913 disputes in group superannuation and 934 among advised individuals.

These statistics highlight the need for the life insurance industry to address the high incidence of disputes, particularly concerning DII and TPD products. Enhancing transparency, improving product design, and ensuring clear communication with policyholders are essential steps toward reducing disputes and building consumer trust.

For consumers, understanding the terms and conditions of life insurance policies is crucial. Seeking professional advice and regularly reviewing coverage can help ensure that policies meet individual needs and expectations.

Published:Sunday, 3rd May 2026
Author: Paige Estritori

Please Note: We do not endorse any specific products or companies. Some content is sourced from third parties, including press releases, and may not be independently verified for accuracy or completeness.

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Knowledgebase
Beneficiary:
The person or entity designated to receive the death benefit from a life insurance policy.