INCOME PROTECTION —
KEEP YOUR INCOME GOING, EVEN IF YOU ARE UNABLE TO WORK!
Income Protection – Protect your income. This can provide you with that regular income you need to meet your day to day expenses. This pays part of your income if you’re unable to work and it can help pay the bills so you can focus on getting better.
Generally, you can cover up to 85% of your salary and this is paid as a monthly benefit if you are unable to work due to illness or injury.
In most cases, income protection premiums are fully tax deductible, as a result making it even more affordable to protect what is probably your biggest asset—your income.
Additionally, you have the flexibility to nominate a waiting period and benefit period that is right for you.
Not matter what life stage you are in, your income is probably the single most important factor supporting the lifestyle you enjoy, so it’s difficult to imagine how life would be without it.
DECIDING IF YOU NEED INCOME PROTECTION INSURANCE?
This type of insurance can be important if you;
– are self-employed or a small business owner, and you do not have sick leave or annual leave
– have family members or dependents that rely on the income you earn
– have debt, such as mortgage and you’ll need to make payments on even if you’re unable to work
You are married with two kids and a sizable mortgage after having just built your dream home. You work full-time and live comfortably on a yearly salary of $85,000. Then, one weekend while playing with the kids in the backyard, you fall awkwardly and injure your back.
As a result, you are unable to work for 12 months.
How would you cope financially? Would you have enough money to continue to meet the mortgage repayments as well as pay the daily bills?