INCOME PROTECTION
Your ability to earn is your greatest asset. That is why you should protect your income so you will still be able to cope with your financial responsibilities as well as your recovery.
What is Income Protection Insurance?
Income Protection Insurance pays you a benefit of up to 75% of your
income after a specified waiting period, if you suffer an illness
that stops you from working. If you suffer an injury this policy
will 'top up' any ACC allowance you may be receiving. The ACC scheme
may cover you for treatment from personal injury, ACC however does
not provide cover against illness.
The specified waiting period is generally when your income and/or sick leave will
cease through your employer or business and can be after 4 weeks, 8
weeks, 13 weeks, 26 weeks or 52 weeks. Choosing a longer wait period will
reduce your premium.
A prolonged period of disablement will seriously disrupt your
current standard of living and ability to achieve your financial
goals. Consider the financial strain if you are unable to work for
an extended period. How will you be able to fund your current net
monthly income and fund expenses which may include:
- Daily living expenses
- Insurance premiums
- Mortgage repayments
- Personal debt repayments
- Child care
- Children’s school fees both now and in the future
- Retirement savings account
How Will it Benefit You?
Income Protection Insurance ensures that things like mortgage payments, hire purchases and regular family expenses can still be met. It means that in an already stressful time, financial worries don’t add to that stress and you can focus on recuperation.
The Facts
- 1 in 3 people will suffer a major illness or injury that will stop them working for 3 months or even longer.
- 1 in 9 men will be disabled and off work for more than 12 months before age 65.
- 1 in 5 women will be disabled and off work for more than 12 months before age 65.
Premiums
Premiums can be yearly, three-yearly or five-yearly stepped renewable or Level to age 65. Premiums are calculated by most companies on age, occupation and lifestyle habits.
Premiums can be reduced by taking longer waiting or stand down periods or shorter benefit periods.
Optional benefit periods are available normally two year, five year, to age 60, to age 65 and to age 70.
Flexible waiting or stand down periods are available normally 14 days, 28 days, 60 days, 90 days, 180 days and 365 days. To reduce premiums a longer waiting period can be selected.
Contact Us
For more information, contact us on 03 365 4460.