Income Protection Insurance

Income Protection Insurance: Secure your Future Income – Its Your Most Important Asset

Many people believe because they are employees they will still receive an income if something should happen to them. In most cases they are wrong! The reality is that the majority of disabilities come from illness related conditions (over 80% at age 40) and only a portion of accident claims are work related.

INCOME PROTECTION QUOTES
Compare premiums, policies and features from the major Australian insurers to find the best!

How would you survive if the income for your family suddenly stopped? Could you afford to pay for your mortgage, your car repayments or feed the family?

In many cases the answer is no you couldn’t!

$3,200,000 is the amount a 25 year old will earn through to retirement based on a current salary of $40,000

We all insure our cars which could be worth $40,000 or our homes that may cost $300,000 to replace, however we neglect the very asset that enables us to enjoy our cars, homes and lifestyles. By arranging an income protection policy you can protect your future income. The cost of the insurance will vary on your age and occupation however in many cases the cost will be less than the cost of insuring your car. In addition the cost of income protection insurance is tax deductible which will reduce the net cost of the policy.

You have a choice; in the event of your income stopping you can be either become reliant on others for support or remain independent, by having adequate income protection insurance in place?

You can rely on your family, the Government or friends to provide for all your future financial needs. Or you can be independent, by arranging income protection insurance you will ensure your financial future, quality of life and self esteem.
In assessing the best policy for an individual it is necessary to assess the conditions of a policy. Some important conditions to consider are:

• Definition of Disablement
• Agreed or Indemnity
• Rehabilitation Benefits
• Offsets in event of claim
• Waiting Period
• Maximum benefit Period

It is also necessary to assess the claims settlement and process capabilities of the insurance company you are dealing with.

Disclaimer:

The advice contained herein is general securities advice only. It has not been prepared taking into account your particular investment objectives, financial situation and needs. You should assess whether the advice is appropriate to your individual investment objectives, financial situation and particular needs. You should do this before making an investment decision based on the general securities advice. You can either make the assessment yourself or seek the help of a professional adviser.

General Income Protection Information

Income insurance can protect you against circumstances which threaten your regular income. Commonly known as income protection insurance, this type of insurance can protect you and your responsibilities such as loan payments, holidays, as well as monthly living costs in the case of an emergency such as sickness occurs to your person.

Degrees of protection for Income Insurance can cover up to 75% of your regular earning each month until you are able to return to active employment.

While some individuals may have enough liquid assets or savings to support themselves through a period of incapacitation, for most people income insurance is a safeguard against possible unforseen circumstance. Selecting the right cover at the right price. Ideal for those self employed, income protection insurance should be investigated and tailored to suit the individual: personal needs, debt repayment, possible time off work due to circumstance and any other factors which may be relevant. Extras which can be added to the policy may include nursing care, immediate payment options.

Furthermore, investigating the actual policy itself is important. The definition of an individual's inability to work varies between policies. Some policies state define it as a total inability to perform work duties, while others define it as "unable to perform important functions". Age, gender and occupation also play important factors in determining your premium. Premium may be lessened if you choose to recieve payment 3 months after your ceasation of employment rather than simply after 1 month after losing your ability to work.

Contact a qualified Income Insurance provider to get a full overview of income protection insurance, its policies, terms and conditions and extras available.