Income Protection Insurance for Primary Income Earners
As a whole, Australians are an optimistic bunch when it comes to our health – with only a third of the working population protecting their single biggest asset, their income. We happily pay a $1,000 premium to insure a motor vehicle, but don’t give a second thought to paying the same amount to potentially cover our income for the next 30 years.
Income protection insurance is extremely valuable to anyone who relies on an income, particularly those who are self-employed or are small business owners. The basic premise of income protection is to replace the income lost should you ever sustain an injury, illness or acquire a disability that inhibits you from working.
Regardless of our optimism and wishful thinking as a nation, the statistics unfortunately aren’t in our favour. The Institute of Actuaries Australia’s Disability Committee Report revealed “one in three Australians will be off work for more than three months during their working life due to illness or injury.”
Although there are government safety nets in place for certain circumstances including the Disability Support Pension and the Traffic Accident Commission Work Cover, there are big gaps in these benefits that many Australians find themselves falling through, and in most cases the support offered is not enough to maintain much of a lifestyle.
There are a number of different ways to get cover and with the premiums for income protection generally being tax deductible, long term affordability for a range of budgets is provided.
At Ipsum, we partner with one of Australia’s leading financial consultants, Partners Wealth Group, to offer our clients the best possible protection. Call our office on 03 5442 2966 to organise a consultation to talk about protecting your income.