Are you worried when you think about what will happen to you and your family when you are out of work temporarily due to any illness or accident? This is when Income Protection Insurance will play the vital role. Income Protection Insurance takes care of your expenses while you can take enough time to recover from illness or injury. Most of us insure ourselves from death or permanent disability but do not foresee the specific time frame when we are out of work.
When you take Income Protection Insurance, it is equivalent to getting pay checks every month till the time you want to get back to work. All you need to do is to decide when you want the Income Protection Insurance to be availed. You may want to exhaust your sick leave or utilize the benefits provided by the company and then switch to the Income Protection Insurance. This insurance will pay you maximum up to two years covering your car insurance, grocery bills while you can be at peace.
Income Protection Insurance may be slightly expensive that Life Insurance but the best part is that they are tax deductible. While opting for Income Protection Insurance, it is important to discuss with your family the waiting period and the benefit period you would like to avail. The waiting period is the time you would like to wait before the payment is released. The benefit period is how long you will want to receive the payments in the event of claim. It is also wise to consult your financial planner who would suggest you the appropriate cover to opt for. You can insure up to 75% of your income which will take care of most of your financial commitments.
Income Protection Insurance is not only available for professionals or white collar employees but also for those are working in Australia with temporary work visas. If you are an expatriate on a temporary work visa, Income Protection Insurance is a boon to you since it gives you plenty of time to settle down and start work. Income Protection Insurance is undoubtedly the best and is the perfect synonym for peace when you are out of work temporarily.