Whilst many think income protection is for the self-employed because they are covered by workers comp insurance. The reality is that we spend less than 25% of our time at work. Worker’s comp insurance doesn’t cover illness nor any injury incurred away from work.
Benefits paid for worker’s comp claims can also fall well short of actual wages paid. So in the event of a serious injury or illness which could lead to excessive time off work how will you pay your bills, pay your mortgage, put food on the table etc.
Any “bread winner” in a family needs to have income protection insurance to replace lost income due to serious illness or injury.
We all insure our $30,000 car but we don’t all insure our greatest asset ie our income which could run into millions of dollars. And guess what, income protection premiums are tax deductible.
We had arranged income protection for a client many years ago. For years the client paid their premiums and claimed their tax deductions. Then for some reason without contacting us, cancelled the cover.
Six months later this client discovered at the age of 50, they had cancer and had to give up their business and now had no income protection insurance. Luckily this client was able to make a claim on their disability benefit within their super fund but how much better would have been for them to receive income benefits until the age of 65 and maintain their super benefits?
Contact Stephen Mason or Russell Orr to discuss your insurance needs on 9548 5155 or click here to make an enquiry or appointment. Even if you already have income protection, call us to have your existing insurance reviewed.