Insurance can have a big effect in one’s life in variety of ways. Being insured is a step towards securing the financial stability of a family. It is a very essential element of income protection insurance that will enable an individual to secure his living standards and property rights. It is also one way of protecting yourselves and your families from financial mishaps.
As we all know, it is not everyday that we are healthy. It is not everyday that we are strong enough to handle the day’s demands. Your monthly income serves as your life saver. It is what you use to pay for the household bills, the school expenses, so on and so forth. So what will you do if you become unemployed and you are too weak to work? Think about it. It is just right to start financial planning and protect your earnings. So what is income protection insurance and how can it help you? IPI is formerly known as Permanent Health Insurance or PHI. An individual who is incapacitated and does not have the ability to work due to an illness or accident can receive benefits through the assistance of income protection. These benefits can be claimed once the policyholder can no longer work because of any misfortune. An incapacitated policyholder will receive these benefits weekly or monthly on a regular basis. Moreover, all financial benefits will be free of tax.
In Australia, income protection program is designed to allow income replacement to those individuals who cannot work due to a presence of an illness or injury. Moreover, income protection program in Australia can replace as much as 75% of the gross income of an individual. This program is made available to all employees, including those who are self employed. Before signing up for a benefit entitlement, you will be given options regarding the waiting and benefit period. The waiting period is the time to expect before the benefit is given. The options will include 14, 30, 60, 90, and 180 days up to 1 or 2 years. The benefit period, on the other hand, is the maximum time where an individual can claim his benefits. Claiming period will include 6 months, 1 year, 2 years, or until the age of 65 to 75.
If you are interested to sign up for an income protection program, contact a financial advisor and undergo a financial planning check-up. Your needs for financial insurance will then be analyzed. Furthermore, you will be given recommendations on what insurance plan is best for you. You will also be given details regarding other insurance plans that you might be interested in. So what are you waiting for? Book for an appointment now and let your future be financially insured!