August 23, 2014

Why You Need Life Insurance

Life insurance is something that many Australians are either reluctant or unwilling to consider. Unfortunately, many of us have preconceived beliefs that are simply untrue. When considering the benefits of having this type of insurance, you must consider what would happen if you were not properly insured. Families can be placed under extreme distress when a loved one passes on, and this can be dramatically worse if they don’t have a financial safety net.

Simply having some form of life insurance may not be enough. Many citizens assume that having a little bit of insurance will be enough to protect their family. It is imperative that you carefully review your situation and determine if the policy you have will actually allow for a comfortable life in case something were to happen. If you were to pass away, how would the people who depend on you be able to survive? Answering that question will allow you to determine the adequate level of life insurance you will require.

Common misconceptions have created a situation where many Australians have completely overlooked this important service. One of these is the belief that the government will take care of your family. That belief is simply wrong. While the Government does have many services to help people with common expenses, these services are very basic and will likely afford your family a lower standard of living than you provide. Another myth is that insurance quote providers will find a reason to deny a claim. Fortunately, the contract you sign must be upheld by both sides. Accidental and premature deaths are generally covered and must be paid for.

Cost shouldn’t be too much of a factor either. In comparison with common expenses most people already make, life insurance policies actually seem rather inexpensive. For the price of eating dinner at a restaurant, you could probably pay for a months insurance premium. The fact is, that this is an affordable product that is within just about everybody’s reach. Costs for a healthy adult are low enough that most people won’t need to change their budget to afford a life insurance policy.

This type of coverage should be seen as a necessity, not a luxury. Australians can’t rely on the Federal Government or other groups to take care of their family if they pass on. For your family to continue the same quality of life, you must have life insurance.

Is Income Protection Insurance Right for You?

There are a wide variety of necessities that depend on your income, ranging from your rent or mortgage payment to your car payments, groceries, and more. However, if you lose your job or are injured on the job, you won’t have a way to pay for your necessary household expenses. There are specific types of insurance, such as income protection insurance and disability insurance that can help protect you from a situation like this.

Disability insurance protects you if you become temporarily or permanently disabled. A disability can be caused by sickness, injury, or a mental health issue – any health issue that prevents you from working can be classified as a disability. With this type of insurance, you pay a monthly insurance premium, and then you can use insurance if it is ever needed.

Income protection insurance protects you if you lose your income due to unforeseen circumstances. A job loss, sudden layoff, or health issue can all cause a sudden loss of income. If you would be in dire financial straits without income temporarily, this type of insurance might be a good option for you.

No matter your current financial situation, it’s wise to plan for the future. While you can’t always set aside enough money for emergencies in cash, you may be able to provide for your future by purchasing the right kinds of insurance.

Unfortunately, tough times strike when we’re least expecting it. An unexpected pregnancy, a job loss, or an accident that causes medical problems can happen quickly and cause long lasting financial difficulties. No one expects to get into a car crash, fall off a ladder, or suddenly fall ill. No one expects to be laid off from their job with little to no notice. However, these things happen every day, and people are left dealing with the consequences.

If you have a small income or live paycheck to paycheck, you may feel as if you can’t afford this type of insurance. However, you’re the type of person who most needs insurance on your income. If one financial crisis or medical issue could mean the difference between financial success and financial ruin, it’s important that you protect your assets with insurance. Otherwise, you could end up in an extremely difficult situation very quickly.

If this sounds like your current situation, you’d be wise to purchase insurance to protect your income or insurance to cover you if you become disabled. These insurances will protect you during rough financial times.

Income Protection: A Necessity for Tradesmen

As a tradesman, your safety when on-site is of the utmost importance. There are dozens of protective measures put in place, both physical and financial to accommodate for most dangerous situations that might develop. Unfortunately for many Australians, consideration of off-job risks are often neglected. It is vitally important to acquire some income protection to provide peace of mind for families and loved ones.Most tradesman understand that a serious illness or injury can really have a detrimental effect on their family and lifestyle. In a recent Lifebroker Life Insurance Research Report, almost half of the respondents queried replied that just 3 months of stopped work from an illness or injury would cause financial stress and strain on their families. This is exactly the problem that income protection is designed to solve.As a tradesman, there are more males employed than females due to the hazardous nature of the work. When the Australian Bureau Of Statistics (ABS) looked at statistics of injuries at work overall, males were found to be more likely to be injured than females. In the primarily male-dominated trade industry, this statistic is even more pronounced. In a 2006 study, the ABS also uncovered that 6.4% of Australians were injured at work, or approximately 690,000 people. In the construction industry, 86 out of 1000 people employed suffered an work-related injury.If you are a tradesman who is self-employed, the need for trauma insurance is even greater. While the advantages of being your own boss are terrific, in the event of an illness or injury there is usually no backup. With the majority of the work completed personally, when you are injured or ill there is no income coming in. Worker’s Compensation, while a great help, cannot be relied upon to protect your family’s income. Remember, not all injuries and illness happen during work hours – a big percentage can occur off-site.Obtaining the proper insurance benefits to protect your family, pay off debts, and continue to run the business is extremely important. Do not fall into the trap of being complacent, only to wish you had income protection after an injury or illness has occurred. Take action today to give you and your family peace of mind.