Author: Jeffrey Liu
Your cover is designed to be flexible As your life changes and your responsibilities expand, your life insurance should expand with it. And if you’re thinking that sounds like a lot of effort, think again. Most policies allow you to increase your cover without any medical checks or complicated forms when major life events occur, like having a child or increasing your mortgage. In fact, that’s exactly how your cover is designed to work. Insurance isn’t ‘set and forget’ A common misconception about life insurance is that it’s a ‘set and forget’ arrangement that doesn’t need to be reviewed regularly.…
Definition of TPD In the event of an accident, illness, or disability that prevents you from working, disability insurance, also known as Total Permanent Disability (TPD) insurance, can protect you and your family by alleviating financial stress, maintaining your quality of life, and providing a lump-sum payout. This payout can be used for debt repayment, children’s education, paying out-of-pocket medical expenses, and retirement living expenses. How TPD differ from other insurance: Difference from Income Protection Insurance: TPD insurance provides a one-time payout for permanent disability, whereas income protection insurance offers a continuous income replacement during temporary loss of work ability.…
The application process is your chance to get certainty from your insurance. That’s because the information you provide in your application will help dictate what you’re covered for, and how much it will cost. Carry out your duty of disclosure correctly, and you can be confident your cover will do exactly what you expect it to if you make a claim. Your insurer needs to know your risks Imagine you bought a second-hand car that came with a dented bumper. When you go to insure it, your insurer will want to know if there’s any existing damage to the car…
4 key factors impact your premium Ever wondered how insurers work out the cost of your life insurance? There are many factors that can impact the premium you pay, but there are 4 factors in particular you need to be aware of. If your health improves or your lifestyle has changed recently, get in touch with your adviser to review your policy and determine if these loadings can be removed to help lower your premium Your cost is influenced by these important factors of your policy: For most policies, two premium structures are offered: A number of other factors may…
/*! elementor – v3.20.0 – 13-03-2024 */ .elementor-widget-image{text-align:center}.elementor-widget-image a{display:inline-block}.elementor-widget-image a img[src$=”.svg”]{width:48px}.elementor-widget-image img{vertical-align:middle;display:inline-block} Life insurance protects our future financial circumstances against unexpected illness or injury. Deep down, most of us probably know that’s a good investment in our future. But the truth is many people struggle to engage with life insurance enough to actually buy it. And for those that do, more struggle to keep it, review it and feel comfortable with it. Some of the issues are based on effort – life insurance isn’t an easily accessible product, and it requires people to read an entire product Disclosure Statement (PDS)…
Unlike your car insurance, most life insurers offer what’s known as ‘guaranteed renewable’ policies – meaning that each year your policy is renewed, the insurer must continue to cover you under the same terms and conditions. So regardless of whether your health has declined or you’ve taken up new activities, they cannot revoke your cover or change what you’re covered for. For example, if you’re diagnosed with diabetes or even choose to start base jumping two years after you take out your policy, you’re guaranteed to have the same cover, for the same price. In fact, you don’t even have…
Income protection insurance offers financial support if you’re unable to work due to illness or injury. This coverage can help ease the burden of bills and expenses, allowing you to focus on recovery. What Income Protection Insurance Covers Income protection insurance typically pays up to 90% of your pre-tax income for the first six months of disability, and up to 70% for a specified time thereafter. This policy is tailored to replace your income based on your earnings in the year before your disability. Each policy has its own criteria for partial or total disability, so it’s important to review…
In today’s unpredictable landscape, superannuation schemes extend a robust safety net, offering members various insurance options including life, total and permanent disability (TPD), and income protection. Exploring the array of insurance offerings within your super fund is crucial. By evaluating your coverage against external alternatives, you can pinpoint the policy that best aligns with your needs. Within super, three primary forms of life insurance are typically available: Super funds commonly automate the provision of life cover and TPD insurance, with some also including income protection insurance. Such insurance is typically accessible without medical assessments, albeit for a predetermined sum. Notably,…