Income Protection Insurance

Peace of mind

Whilst most people acknowledge the importance of insuring their homes, cars and personal possessions, they often overlook their most valuable asset, their income.

What would happen if you passed away suddenly or were badly injured? Would your family, already placed under emotional distress, also face financial problems having lost you as their sole breadwinner?

If you have a family who are dependent on you, it is essential that you have the right cover in place to protect your family's financial security.

Income Protection Insurance

Income Protection Insurance helps replace your regular salary or earnings if you are unable to work for a period of time due to sickness or injury, by providing a regular income stream for a set period of time. Your most valuable asset is the ability to produce an income and this must be protected.

You select the:

• Percentage of current gross salary or earnings that you wish to insure, up to a maximum of 75%.
• Waiting period (either 30, 60 or 90 days) that applies before the insurer starts paying you an income stream.
• Length of time that the benefit is paid, e.g. 2 years or to age 65.

Importantly, the cost of income protection is fully tax-deductible. The cost varies significantly based upon the waiting period, benefit period, amount of income insured and the insured occupation.

Term Life Insurance

Term Life Insurance pays a lump sum upon the death of the life insured. This provides protection to your loved ones. You determine the amount of the cover you want, e.g. enough to pay any outstanding debts such as a mortgage, or enough to provide a reasonable lump sum to help meet any ongoing regular income needs of your survivors.

Some policies provide extra benefits such as terminal illness benefit, where if you are diagnosed with a terminal illness, the amount insured is paid out.

How to obtain more information or a quote

For more information or to obtain a free no obligation quote, please contact us or complete this quote request form.

Other policy types that you may wish to consider include:

Total and Permanent Disability (TPD) Insurance

An option with term life is to take an extension of Total and Permanent Disablement Insurance (TPD). TPD insurance provides a lump sum payment in the event of the life insured becoming totally and permanently disabled.

Trauma or Critical Illness Insurance

Trauma policies pay a lump sum in the event of an injury or sickness as defined in the policy, e.g. cancer, heart attack, stroke. This can be taken as a stand-alone policy, or attached to a life insurance policy.

There are basic trauma policies and there are extended trauma policies that cover a greater level of events. Some policies offer TPD as a definition of trauma, therefore this can provide cost savings.