Many Australian insurance firms now offer income protection insurance products to part-time workers. Such insurance products could cover up to 30% of the local workforce. The Australian insurance industry now understands that the nature of workforce has drastically changed. Income protection is also needed by workers who opt to work part time or those who work less than 30 hours every week or three days in a week. This would be advantageous to numerous mothers and wives who return to the workforce out of need but who also still need to act as mothers and homemakers at the same time.
The decision of insurance firms to expand qualification criteria for basic income protection insurance is a timely one. Many insurers now offer to cover income of clients who work at least 20 hours per week. Income protection is best for workers who are aged 19 years to 50 years and who are working for about 20 hours to 29 hours per week. It is readily available for part-time workers who have insurable occupations.
This type of insurance could provide up to 75% of a part-time worker’s monthly wage in case he/she gets an injury or is diagnosed with a serious illness that it would be impossible for him/her to work for the meantime. Thus, it is a protection to make workers assured that they could still pay necessary bills and shoulder basic expenses even if they get unable to work for some time or until there is recovery. Thus, everyone could agree that this insurance is a must especially to part-time workers.