Mining & FIFO Workers: Getting Life Insurance in High-Risk Jobs
IMFL Advisory Team
21 min read
Working in mining or FIFO? Learn about insurance options for high-risk workers, typical loadings, and how to get the best coverage despite your occupation.
Get personalized insurance quotes from Australia's leading providers in just 2 minutes.
Introduction
If you work in Australia's mining industry or do fly-in fly-out (FIFO) work, you already know your job comes with unique challenges. The physical demands, remote locations, shift patterns, and inherent hazards all factor into how insurers assess your risk.
The reality: Mining and FIFO workers face some of the toughest underwriting in the Australian insurance market. But "tough" doesn't mean "impossible." Thousands of miners and FIFO workers successfully obtain life insurance every year. Many pay less than they expected. Some get approved by insurers who initially seemed unlikely to accept them.
This comprehensive guide explains exactly what you're dealing with and how to navigate it successfully.
What you'll learn:
Why mining is classified as high-risk (and which roles are rated worse than others)
Real premium loadings for different mining positions
FIFO-specific factors that affect your insurance
Income protection challenges and solutions for miners
Proven strategies to reduce your premiums
What to do if you're declined
Important context: Premium examples use data from major Australian insurers' rate schedules. All figures are indicative for healthy non-smokers at specified ages. Your actual premiums will depend on your specific role, health, and the insurer you choose.
Why Mining Is Classified as High-Risk
Insurance companies assess risk using actual statistics. Mining consistently shows higher rates of workplace injuries, occupational illnesses, and fatalities compared to most other industries.
The Statistical Reality
According to Safe Work Australia data, the mining industry has:
Fatality rate: 4.2 deaths per 100,000 workers (vs 1.5 for all industries)
Serious claims rate: 7.8 per million hours worked
Median time lost per injury: 6.7 weeks (vs 5.4 for all industries)
These aren't arbitrary numbers invented by insurers to charge you more. They're documented workplace outcomes that directly translate into insurance claims.
What Insurers See When They Assess Mining
Physical hazards:
Heavy machinery operation (crushers, conveyors, haul trucks)
Ground stability risks (underground collapse, rock falls)
Explosives handling and blasting operations
Working at heights (processing plants, conveyors)
Confined spaces (tanks, silos, underground)
Environmental hazards:
Dust exposure (silicosis, pneumoconiosis)
Noise exposure (hearing loss)
Heat stress (underground and open-cut)
Chemical exposure (processing operations)
Remote location (limited emergency response)
FIFO-specific hazards:
Air travel frequency
Fatigue from roster patterns
Mental health impacts of isolation
Relationship stress affecting wellbeing
Not All Mining Roles Are Equal
This is crucial to understand: insurers don't assess "mining" as one category. They differentiate significantly between roles.
Higher-risk mining roles (typically C rating, 80-150% loading):
Your job title and actual duties matter enormously. A "mining engineer" who spends 90% of time in an office gets rated very differently from one who's underground daily.
Premium Loadings by Mining Role
Here's what you can realistically expect to pay compared to an office worker.
Premiums based on major insurer rate schedules for healthy non-smokers. Underground and explosives-related roles face highest loadings. Some roles may be declined by certain insurers.
Key observations from this data:
Surface vs underground is the biggest differentiator - Open-cut operators pay roughly 30% less than underground miners for the same coverage
Office-based mining roles are almost standard - If you're in admin, engineering, or geology with minimal site exposure, loadings are minimal
Explosives roles face the toughest assessments - Shot firers and drill/blast operators may be declined by some insurers
Over 30 years, the cost difference is massive - An underground miner pays $28,800+ more than an office worker for identical coverage
FIFO-Specific Considerations
FIFO work adds another layer of complexity to insurance assessments. Even if your actual job role isn't high-risk, the FIFO lifestyle itself creates additional factors insurers consider.
What Insurers Assess About FIFO
Roster patterns:
2/1 rosters (2 weeks on, 1 week off) are viewed more favorably
Extended rosters (4/1, 3/1) raise concerns about fatigue and mental health
Night shift patterns affect circadian rhythm and long-term health
Remote location factors:
Distance from emergency medical facilities
Air travel frequency (crash risk, though statistically low)
Limited access to ongoing medical care
Mental health considerations:
FIFO workers have higher rates of depression and anxiety
Relationship stress from extended absences
Social isolation on site
This particularly affects income protection assessments
Physical health patterns:
Camp food and sedentary downtime can affect weight
Limited exercise options at some sites
Alcohol consumption patterns on R&R
How FIFO Affects Different Cover Types
Life Insurance: Minimal additional impact if role is already assessed
FIFO lifestyle itself adds 0-10% to existing occupation loading
Air travel frequency is usually covered under standard policies
Income Protection: Moderate to significant additional impact
Mental health is leading cause of income protection claims
FIFO workers have documented higher mental health claim rates
Insurers may add 10-25% loading specifically for FIFO patterns
Some insurers add mental health exclusions for FIFO workers
TPD Insurance: Variable impact
Depends on TPD definition (own occupation vs any occupation)
Mental health TPD claims are common among FIFO workers
FIFO Mental Health: The Hidden Challenge
This deserves special attention because it's often the factor that causes the most problems for FIFO workers seeking insurance.
The statistics:
FIFO workers report depression at 1.5x the rate of non-FIFO workers
Relationship breakdown rates are significantly higher
Suicide rates in WA mining regions are above national average
Mental health claims are the #1 cause of income protection payouts
How this affects your application:
If you have any history of mental health treatment, expect detailed questions
Current antidepressant or anxiety medication will affect underwriting
Past counselling for relationship issues may need to be disclosed
Insurers may apply mental health exclusions even without current symptoms
What you can do:
Maintain regular mental health check-ins (shows proactive management)
Use Employee Assistance Programs (EAP) - records are confidential
If you have a history, demonstrate it's well-managed and stable
Some insurers are more sympathetic to FIFO mental health than others
Need Insurance That Understands FIFO?
Compare quotes from insurers who specialize in mining and FIFO workers. See which insurers offer the best rates for your specific role and roster.
Here's where mining workers face the biggest obstacles. While life insurance is usually obtainable (with loadings), income protection is often declined or severely restricted.
Why Income Protection Is So Difficult
The math doesn't work for insurers:
High injury rates = high claim probability
Physical jobs = longer recovery times
Permanent disabilities from mining injuries are common
Mental health claims from FIFO patterns add additional risk
Typical outcomes for miners seeking income protection:
Mining Role
Life Insurance
Income Protection
Mine Administrator
Approved (minimal loading)
Approved (minimal loading)
Surface Geologist
Approved (+20%)
Approved (+30-40%)
Open-Cut Operator
Approved (+50-60%)
Approved with restrictions (+80-120%)
Underground Miner
Approved (+80-100%)
Often DECLINED
Shot Firer
Approved (+100%+) or restricted
Usually DECLINED
When Income Protection Is Declined
If you're declined for income protection individually, you have several options:
1. Employer group insurance (usually your best option)
Mining companies typically offer group income protection
Automatic acceptance up to specified limits (often 75% of salary)
No individual underwriting required
Premium often subsidized by employer
Trade-off: Coverage is tied to employment - you lose it if you leave
2. Union group schemes
CFMEU, AWU, and other unions offer group insurance
Automatic acceptance for members
Portable between employers (unlike company schemes)
May have waiting periods for pre-existing conditions
3. Superannuation income protection
Most super funds include basic income protection
Usually "any occupation" definition (stricter)
Lower premiums but limited coverage
Check what your fund already provides
4. Accident-only policies
Cover injury but not illness
Easier to obtain for high-risk occupations
Lower premiums than full income protection
Limitation: No coverage for illness-related inability to work
5. Build emergency savings as self-insurance
If no insurance available, aim for 6-12 months expenses saved
Not ideal, but a practical fallback
Consider combining with partial coverage if available
Income Protection Restrictions for Miners
Even when approved, miners often face these restrictions:
Shorter benefit periods:
"To age 65" may not be available
Often limited to 2-year or 5-year benefit period
Own occupation limitations:
"Own occupation" definition may only apply for 2 years
After that, switches to "any occupation" (harder to claim)
Exclusions:
Mental health exclusions are common for FIFO workers
Back/neck exclusions if you have any history
Respiratory exclusions for certain mining roles
Higher waiting periods:
Standard 30-day wait may not be available
60-day or 90-day waiting periods may be required
Strategies to Reduce Your Premiums
Despite the challenges, there are proven strategies to minimize what you pay.
1. Be Extremely Specific About Your Role
Generic descriptions hurt you. Specific descriptions help.
Bad approach:
"Underground miner"
"FIFO worker"
"Machine operator"
Good approach:
"Underground development miner, 70% jumbo operation, 30% support work, no explosives handling, 10 years experience with current employer, zero lost-time injuries"
"Haul truck operator, open-cut gold mine, CAT 793 certified, no blasting involvement, day shift only, 2/1 roster"
"Mining engineer, 80% office-based at mine site, 20% field inspections, no underground work, professional engineering registration"
Why this matters: Insurers assume worst-case when information is vague. Detailed descriptions let them assess your actual risk, not the highest-risk version of your job title.
Control blood pressure: Gets checked during medicals anyway
Also valuable:
Regular exercise (shows proactive health management)
Moderate alcohol consumption
Mental health maintenance (especially for FIFO)
Combined Impact: Mining Occupation + Health Factors
Feature
Life Insurance ($500k)(Recommended)
vs Baseline Office Worker
Annual Extra Cost
Underground Miner (Non-Smoker, Healthy)
$175/month
+84%
$960
Underground Miner (Smoker, Healthy BMI)
$340/month
+258%
$2,940
Underground Miner (Non-Smoker, BMI 33)
$225/month
+137%
$1,560
Underground Miner (Smoker, BMI 33)
$450/month
+374%
$4,260
Smoking and obesity dramatically compound occupation loadings. A smoking miner with high BMI may pay nearly 5x what a healthy office worker pays.
Key insight: Quitting smoking as an underground miner saves approximately $165/month ($1,980/year) - more than double what it saves for an office worker.
What If You're Declined?
Mining workers, especially underground and explosives-related roles, do get declined. Here's your action plan.
Step 1: Don't Panic - One Decline Isn't Final
Different insurers have genuinely different appetites for mining risk. One decline doesn't mean all will decline.
Example outcomes for same underground miner:
Insurer A: Declined (no appetite for underground mining)
Insurer B: Approved with 100% loading (accepts with restrictions)
Insurer C: Approved with 85% loading (better appetite for mining)
Group scheme: Auto-approved at standard group rates
Step 2: Check Group Insurance Options
This should be your first move after any decline.
Check with your employer:
What group life insurance is provided?
What group income protection is included?
Can you increase coverage above automatic limits?
What happens if you leave employment?
Check with your union:
CFMEU, AWU, and other unions offer member insurance schemes
Often auto-acceptance without individual underwriting
May be portable between employers
Check your superannuation:
What insurance does your fund already provide?
Can you increase coverage within super?
What are the definitions and limitations?
Step 3: Try Alternative Insurers
Work with a specialist broker to identify:
Insurers with specific appetite for mining
Insurers who have approved similar roles recently
Insurers with better terms for your specific mining type (coal vs gold vs iron ore)
Important: Space applications 4-6 weeks apart. Multiple simultaneous declines look worse on your record.
Life insurance: Approved, +55% loading, $165/month
Income protection: Approved, +90% loading, 90-day wait required, $195/month
Total monthly cost: $360
What helped: Specific role description, safety certifications documented, incident-free record, day shift preference, well-established employer with strong safety culture.
One workers comp claim 5 years ago (fully resolved)
Seeking $500k life insurance + income protection
Outcome:
Life insurance: Approved, +95% loading, $195/month
Income protection: Declined by 3 individual insurers
Alternative: Group insurance through employer - $5,000/month benefit, auto-approved
Plus: Topped up savings as self-insurance buffer
What helped: Quit smoking improved life insurance outcome. Group insurance solved income protection gap. Historical workers comp claim was disclosed and explained (full recovery, no ongoing issues).
Scenario 3: Mine Site Geologist (Near-Standard)
Profile:
35-year-old female, non-smoker
5 years experience, surface exploration work
4/1 roster, coal exploration
Professional registration, masters degree
Seeking $600k life insurance + income protection
Outcome:
Life insurance: Approved, +18% loading, $70/month
Income protection: Approved, +25% loading, 30-day wait, $115/month
Total monthly cost: $185
What helped: Professional role, surface work only, no hands-on mining activities, strong educational background, specific role description emphasizing office/field split.
Scenario 4: Shot Firer (Challenging)
Profile:
45-year-old male, non-smoker
15 years explosives experience
Contract worker, multiple sites
Excellent safety record
Seeking $400k life insurance + income protection
Outcome:
Life insurance: Approved by third insurer tried, +120% loading, $185/month
Income protection: Declined by all individual insurers
Alternative: Union group scheme ($4,000/month benefit) + personal savings
Accident-only policy obtained for additional protection
What helped: Persistence with multiple insurers for life insurance. Acceptance that income protection would need alternative solutions. Strong union membership providing group coverage.
How the occupation rating system works (AAA to D ratings)
Premium loadings for all high-risk occupations (not just mining)
Strategies that work across all manual trades
Finding occupation-specialist insurers
Frequently Asked Questions
Can underground miners get life insurance in Australia?
Yes, though with significant loadings. Most major insurers will provide life insurance to underground miners, typically with 80-100% premium loading. Some specialist insurers have better appetite for underground mining than mainstream insurers. Life insurance is generally obtainable; income protection is the real challenge.
Why is income protection so hard to get for miners?
Income protection covers inability to work due to injury or illness. Mining has high injury rates and long recovery times, making claims probable and expensive. Additionally, FIFO mental health claims are common. The combination of physical injury risk plus mental health risk makes many insurers decline mining income protection entirely. Group insurance through employers or unions often solves this.
Does FIFO work affect my insurance premiums?
Yes, FIFO adds additional factors beyond your base occupation. Insurers consider roster patterns (longer rosters = higher risk), remote location access, and documented higher mental health claim rates among FIFO workers. Expect 5-15% additional loading for FIFO patterns on top of occupation loading. Mental health exclusions may be applied, especially for income protection.
What's the difference between open-cut and underground mining for insurance?
Significant difference. Open-cut mining is rated as B/BB class (40-80% loading), while underground mining is typically C class (80-150% loading). Underground workers face additional risks: rock falls, confined spaces, limited escape routes, and historically higher injury and fatality rates. The premium difference can be 30-50% for identical coverage.
Can I get better rates if I move from hands-on work to supervision?
Yes, this is one of the most effective strategies. Moving from underground miner to shift supervisor, or from machine operator to training officer, can reduce your occupation rating by 1-2 classes. Document the transition with updated position descriptions and time allocation (e.g., "80% supervisory, 20% hands-on"). Premium reductions of 25-40% are possible.
What insurance should I prioritize if I can only afford one policy?
For miners: Income protection first, life insurance second (if you can get income protection). Statistics show you're far more likely to be injured and unable to work than to die during your working years. However, if income protection is declined or unaffordable, life insurance becomes the priority since it's usually obtainable. Consider group insurance for income protection if individual policies are unavailable.
Do safety certifications help with insurance applications?
Yes, though impact varies by insurer. Documented safety training, equipment certifications, first aid training, and especially incident-free employment records all help your case. Some insurers specifically ask about safety certifications. At minimum, they demonstrate you take safety seriously. Gather copies of all certifications before applying.
What happens to my insurance if I leave my mining job?
Individual policies: Continue as normal - they're yours regardless of employment. However, if you move to a lower-risk occupation, you should notify your insurer and request premium reassessment (you might pay less).
Group insurance through employer: Usually terminates 30-90 days after leaving employment. This is a significant risk - ensure you have individual cover or new employer group insurance before leaving.
Union group insurance: Usually portable between employers as long as you maintain membership.
Conclusion
Mining and FIFO work presents genuine challenges for insurance, but thousands of mining workers successfully obtain coverage every year. The key is understanding what you're dealing with and approaching it strategically.
What we've covered:
Mining is high-risk, but not uniformly so - Your specific role, surface vs underground, and supervisory duties dramatically affect your rating
FIFO adds complexity - Roster patterns, remote location, and mental health factors all influence underwriting
Income protection is the real challenge - Life insurance is usually obtainable; income protection often requires group insurance or alternatives
Specificity helps - Detailed role descriptions, safety certifications, and incident-free records improve outcomes
Insurers vary widely - One decline doesn't mean all will decline; specialist insurers often have better terms
Group insurance is valuable - Employer and union schemes often accept workers declined individually
Your action plan:
Document your specific role in detail
Gather safety certifications and incident-free records
Check employer and union group insurance options
Work with a broker who specializes in mining
Be prepared for income protection to require alternative solutions
Address health factors within your control (smoking, weight, blood pressure)
Mining work is essential to Australia's economy. You deserve appropriate protection for your family and income. With the right approach, you can get coverage that works for your situation.
General Advice Only
This is general advice only and does not take into account your individual circumstances.
Please read the Product Disclosure Statement (PDS) before making a decision.
Consider seeking personal advice from a licensed financial adviser.
Authorised Representative Number: 1244847 | Australian Financial Services Licence: 246623