Nobody plans to get sick or injured, but in reality it isn’t always possible to prevent these things from happening. It's critical that you have a meaningful and tailored protection program in place for the financial security of either yourself or your family, if you are unable to work for a prolonged period due to a illness, accident or if you suffer a premature death. Having such a program in place will provide the Control, Certainty and Comfort at a time when you need to be focusing on your health, and not your finances.
As a specialist life insurance risk adviser we are passionate about ensuring that all our clients have the opportunity to make an informed decision on these matters. Ultimately we want our clients to be secure in the knowledge that properly considered plans are in place.
Your ability to earn an income is your biggest asset; without this ability it is difficult to lead a comfortable life and unlikely that you will achieve your financial goals. There are two specific situations where you need to secure an ongoing income:
The debt on your principal home is bad debt. It has no tax efficiency, repayments are made in post-tax dollars and for most, the repayments on their homes account for 25-40% of our disposable income.
Having the ability to repay your mortgage has the same effect as increasing your income. It also means you will need less income to maintain your existing lifestyle.
Depending on your circumstances, there may be other debt that you would prefer to extinguish.
Debt such as credit cards, investment property loans, vehicle finance and business debt should all be considered when implementing a meaningful protection program.
Constructing a meaningful protection program requires specialist knowledge. Seeking advice will not only ensure that you have the right amount of cover but also ensure that the structure of your program is beneficial to you.
Seeking advice will also ensure that the products that make up a meaningful program are complementary to each other, eliminating duplication of cost and coverage