Income Protection Insurance: Right Level for Coverage
There are various kinds of insurance products that are available. It is just logical that in Australia, the so-called income protection insurance is now one of the most popular among them. It provides a type of protection that all other insurance products could not possibly bring about. It could provide the right level of benefits during times you need those the most.
A private health insurance is necessary when you need financial assistance in shouldering medical bills when you get seriously ill. However, it would not cover other necessary expenses you have like usual costs of living and mortgage repayments. Your superannuation, on the other hand, could only cover total or permanent disability and death. It may not provide you assistance if you need to shoulder expenses when you recover from an injury or illness.
The social security allowance provided to you could possibly cover your necessary expenses. However, funding your lifestyle and basic expenses could fall significantly short. Disability support pension or sickness allowance could not possibly give you ample amount of cash to cover all basic and necessary expenses. That is why you should invest in buying an income protection insurance policy.
This type of insurance, as mentioned could give you the right level of coverage when you need it. You could be entitled to up to 75% of your monthly income. Claims could be made monthly for a specified duration or until you have fully recovered from your injury or sickness.