A “she’ll be right” attitude makes Aussies some of the most underinsured people in the developed world. A 2009 study by Sigma World Insurance ranked Australia 20th among industrialised nations for life insurance density and penetration. So what’s stopping us from taking cover? Embracing the spirit of Jamie and Adam from Mythbusters, LifeInsuranceCompare busts some of the biggest myths surrounding life insurance.

Myth: Life insurance is too expensive

Facts: The average life insurance premium costs less than most car insurance premiums. $500,000 Life Insurance Cover for a 40-year-old non-smoking male would cost about $36 a month.

By comparing the top 12 life insurance companies in Australia and organising a policy specifically tailored to your needs LifeInsuranceCompare can make sure you are covered for what you need with no unwanted extras. There’s no bigger priority than you and your family's well-being.

Myth: I just don't need insurance

Facts: No-one likes to think about the worst that could happen, but we should protect ourselves against it. We don't question the need to insure our house and contents, so why question the need to look after the people living in the house?

Insurance isn't simply about terrible or rare accidents. One in six working women, and one in four working men are expected to suffer a disability from the age of 35 to 65 resulting in more than six months off work. You might need it when it's too late.

If you've got a mortgage or other debts and rely on your work for money, then you or your family would have problems without your income – however young you are.

Myth: Insurance companies don't pay claims

Facts: Contrary to popular belief, insurance companies pay all genuine claims as quickly as possible. For the year ending September 2010 life insurance companies in Australia paid more than $4.2 billion in death and disability claims.

The conditions for life and TPD insurance are clearly set out in each policy and your insurance advisor will ensure that your policy has no hidden catches. Sadly, every day in Australia, people have to call on their life insurance policies. Even those that don't, benefit from the peace of mind that comes from being protected.

Myth: Life insurance is too confusing

Facts: Life insurance can be as simple or as tailored as you need it. If you want a policy that's tailored specifically to you and meets your exact needs, talk to a LifeInsuranceComapre insurance advisor. We can explain your options and take away the complexity.

Together, we can work out what life insurance cover you need and the simplest way to achieve it. Your life is the most important thing you can insure. The questions are there to ensure it's absolutely right, and to give you complete confidence that you have the correct level of life insurance cover.

Submit the form on this page or phone 1300 793 143 and ask a Life Insurance Compare adviser to help you separate life insurance myths and facts.