None of us like to think that we will experience an ‘insurance event’, but accidents, illness and death are unfortunate parts of life.
If you hold personal insurance, it is important you regularly re-visit your cover as your life changes.
Changes in your marital status, dependants, income, and debt levels can all affect the type and your level of cover you need. Let’s briefly take a look at the key personal insurances that you might hold within your wealth protection portfolio:
- Life cover, as the name suggests, insures a life. A lump sum or equivalent instalments can be paid to the policy owner, nominated beneficiaries or to your estate.
- Total and Permanent Disability (TPD) insurance cover provides for you in the event that you became totally or permanently disabled, as defined by the policy.
- Trauma insurance is like TPD insurance, however it provides a benefit to you if you are diagnosed with a specific illness or injury covered by the policy such as cancer, stroke, heart disease, blindness, severe burns, loss of speech or deafness.
- Income Protection protects your current income if you are unable to work due to illness or injury. Income Protection insurance pays up to 75% of your gross annual income, as defined by the terms of the policy.
Your wealth protection portfolio should be created to provide for you in an unexpected event. Mortgage and debt repayments, school fees, medical costs and of course the everyday expenses still need to be looked after if you’re unable to earn an income.
For many, the true value of the cover is provided in the peace of mind they have knowing that their loved ones will be looked after in the event of the unexpected.
If it’s time to review your cover, or it has been some time since you last reviewed your insurances, please call Rodney Turner on 07 5462 2277.