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ahm offer life insurance for Australia’s next generation

ahm offer life insurance for Australia’s next generation

iptiQ, ahm and Medibank create a straightforward life insurance for young Australians

  • In tandem with iptiQ, Medibank and ahm have developed a brand new, first-to-market life insurance solution, offering first-rate life insurance cover in ten minutes or less
  • Customers select the health statements that best describes their situation and receive a quote, ready for instant purchase
  • Solution helps bridge the protection and underinsurance gap for young Australians starting with a minimum sum insured of AUD $50,000 (and up to $250,000) and a choice of the level of cover

ahm is the fastest growing health insurance provider in Australia and part of Medibank, Australia’s leading integrated healthcare company with more than 3.7 million customers. Medibank and ahm were keenly aware that the 18-35 age group, the so-called “young savvies” posed a significant opportunity for insurers. This cohort are generally healthy and viewed public health insurance as a grudge purchase. As a consequence of their general disengagement around their health insurance, coupled with budget constraints, this age group tended to be underinsured. In fact, in 2018 young Australians represented the highest segment of underinsured risks. But, at the same time, they were the hardest customer segment to embrace. This was because they prefer simplicity and speed, and existing life and health insurance products had complicated structures and long underwriting times. So, Medibank and ahm turned to iptiQ to help them design a simple and affordable life insurance solution, which could be sold to this target audience under their ahm brand. The fit was perfect, ahm’s position is all about peace of mind and ensuring their audience, though young and disengaged, still can reap the rewards and empowerment that simple, easy and affordable insurance can bring.

Fit life insurance cover

First, iptiQ designed and priced a straightforward life insurance product. Subsequently, based on research of the customer segment, iptiQ and ahm developed a brand new, first-to-market life insurance solution, offering quality life insurance cover in under ten minutes. This was dubbed “ahm life insurance express”and conveniently available via the ahm website where customers can receive a quote and follow through for instant purchase.

Without sacrificing quality or value for money, the cover has no exclusions for pre-existing conditions yet provides high quality life-time cover for applicants up to age 45, with lump sum death, terminal illness and funeral benefits.

The product is customisable starting from minimum sum insured of AUD50,000, allowing young consumers to choose a level of cover that fits their needs. They also have the option to provide their own Body Mass Index in return for a personalised premium quotation. 

Simplified underwriting that appeals

Next, iptiQ turned the underwriting process around by eliminating the usual complex numerous health statements which insurers commonly use to spread the mortality risk across a pool of customers. Instead, with ahm life insurance express, customers only need to select from four simple health statements that match the different types of mortality risks in a typical pool of customers. By choosing the description that best matches their health status, the customer self-selects precluding the need for medical checks, extra paperwork or time-consuming intrusive questions. There’s no paperwork and no time wasted! The new solution was fast-tracked to market by iptiQ within three months.

Immediate results

Following launch, it didn’t take long for ahm life insurance express to begin having an impact. The average time to buy was reduced from 45 to 10 minutes and online conversion rates improved by more than 100%. In other words, the number of website visitors who actually made purchases increased twofold. Moreover, 65% of customers were willing to volunteer their Body Mass Index in exchange for a more personalised premium.

What’s more, the refreshing product and underwriting approach was recognised by the market – ahm Life Insurance Express won the Plan For Life, Direct Life Insurance Excellence Award for Innovation 2019 and the Health & Wellness Excellence Award for Innovation 2019.


Medibank has had a long standing relationship with iptiQ which is testament to the value they bring to our business in the life insurance category.  Whilst always demonstrating the highest levels of professionalism, iptiQ share our mission of creating customer centred products and processes ensuring we deliver the highest quality and best outcomes for our members.  In addition, iptiQ provide a high degree of certainty for our business when it comes to regulatory compliance, ensuring our brand and reputation is protected. 

An aligned growth aspiration in the direct market has led to a number of innovative product and process solutions enabling greater access to life insurance products for our members.  This includes our “Starter Life” and “Express Life” products, opening up the category to younger / first time life customers and paving the way for further developments in the digital acquisition space. 

We look forward to continuing our relationship with iptiQ and we are very excited for the future of the life market.

Nathan Crothers, Head of Diversified Products, Medibank

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