24 Jun Uniqueness of Australian Income protection insurance Policies
There has been a boom of income protection insurance policies ever since Australia has evidenced such insurance policies popularizing in its social spectrum. This growth is an outcome of planned and agreed value of an indemnity contract in such policies that offer much unlike general categories. Applying for these policies has been made easier although certain preconditions are still available. Policy buyers find it at home to go with an agreed value contract as the payments on monthly basis suffice and remain as per the stipulated funds expected.
Wide Ranged Benefit Level:
It must come into the notice that there is ample scope for Australian income protection insurance policy buyers to explore policies according to personal needs. Policies can be worked out for certain level of benefits for which no extra charge is paid. Even optional benefits are availed without paying extra. Commonest of the benefits include:
- Recurring disability benefit
- Transplant and cosmetic surgery benefit
- Specified injury benefit
- Death benefit
Above benefits are most common ones besides the usual ones which income protection insurance policies offer to policyholders. Such policies are often tailor made for one day accident cover as well as complete cover for business expenses with a deduction of specific percentage followed under Australian insurance sector rule.
According to estimations Australian insurance buyers take keen interest in income protection insurance policies as they find tremendous life insurance advantage in them. They evaluate about the level of benefit as compared to their individual needs for a decision making in which different factors play key roles. There is a set rule in Australian insurance sector in which policy buyers have limitation for maximum insurability that mustn’t cross to 75% of the gross income of individuals. Such aspects are brought into notice to reassure that no wrongdoing is done when one explores income protection insurance policies.
The Australian tax law makes premiums for income protection insurance tax deductible. But the policyholders are asked to pay tax on benefits gained. That is why policy buyers are always advised to approach the financial planners before buying income protection insurance policies. Such prudent step proves helpful for appropriate cover and insurability according to the wealth earned.