Your ability to earn an income is your most valuable asset. Your lifestyle depends on it. If an accident or illness prevented you from working, how would you cope financially?
Most people wouldn’t drive without car insurance, or live in their house without home and contents insurance. Yet most Australians don’t consider protecting their ability to earn an income.
The risks
• 2.6 million Australians aged under 65 are living with a physical disability
• Australians have a 1 in 3 chance of being diagnosed with cancer before
turning 75
• 690,000 Australians were injured at work between 2005 – 2006, with 43%
not receiving any financial Assistance
• More than 60% of Australians will be disabled for more than one month
during their working life
• More than 25% of Australians will be disabled for more than three months
during their working life
The reality
Without an income, mounting debts can cause additional stress. How long can you afford to cover your expenses, without completely draining any savings safety net? A health setback doesn’t have to affect your financial wellbeing. Income protection will compensate you for any time taken off work. Still, many Australians don’t take out insurance protection because of some common misconceptions
“I’ll be covered under Workers Compensation”
Workers Compensation is limited. It only applies if you are injured during working hours or for illness directly resulting from your employment. If you’re self- employed, you may not even have this cover.
“I can’t afford it”
Income Protection premiums are tax deductible and can cost less than $4 per day.
What is Income Protection Cover?
Income Protection Cover pays up to 75% of your income if you are ill or injured. This money can help you and your family manage your living expenses while you recover.
What are the cover features?
Here are just some of the features you can expect with Income Protection Cover:
• Tax deductible premiums: Your premiums are generally tax deductible,
allowing cover to be very affordable.
• Partial payments: If you’re able to return to work part-time, you can
receive a partial monthly payment to support your transition back to full
time employment.
What do the payments protect?
A monthly benefit could help you stay on top of debts, pay for medical bills and generally give you the means to maintain a reasonable standard of living if you’re not able to earn an income.
• Mortgage repayments: Whatever happens, there will be funds available
to safeguard the family home.
• Day-to-day expenses: Everyday bills can really add up. Without the
ability to earn, this money can help cover living expenses like food, utility
payments, clothing and schooling.
• School fees: With continued income, you can continue to afford to send
your children to the school of your choice.
• Additional care: Disabilities often incur the need for additional care or
help around the house. Ongoing income can help to cover this.
• Rehabilitation: Rehabilitation is often required to support your transition
back to work. Ongoing income will help you to afford this.
• Retirement savings: You can select options that will cover up to 85% of
your income to help maintain your retirement savings.
Hi Sir
can you recommend an insurance company or broker where I can get Income protection insurance. I hope you can respond to my query. Thank you
rgds
Jerome Delos Angeles