Enjoy peace of mind having a life insurance policy that covers you
Imagine the unexpected happening and losing the ability to earn an income. Tragic events such as car accidents resulting in long-term injuries, or terminal illnesses, can happen to any of us, at any time. We often believe that these sorts of events never happen to us, but the truth is, they can! Illness injuries and death are occupational hazards of living, they are unpleasant to think about and we therefore often avoid considering the potential consequences those events could have on our lives. Being young and healthy or having no family history of an illness doesn’t automatically rule us out of encountering these events. It can happen to any of us, including you. How would you support your family and sustain your current lifestyle?
With the right personal insurance policy in place, you can have peace of mind that everyone is taken care of. People often believe the cover offered through their superannuation is sufficient, however there are limitations that individuals are often unaware of. For example, income protection through super usually offers a default amount cover, ignoring your personal circumstances and your income. Having some cover is better than having no cover at all. It pays to speak with a financial planner about getting cover tailored to your lifestyle and financial needs. This ensures you and your family can focus on what is important without the financial burden.
What types of life insurance are available?
Income protection insurance
Income protection provides ongoing monthly payments in the event of the inability to work and earn and income. This is usually capped at 75% of your earning to give an incentive to return to the workforce. This is arguably the most important policy in terms of life insurance.
Death insurance provides a lump sum payout in case of death or terminal illness. This is paid to the beneficiary of the policy, nominated by you, the policy holder.
Total and permanent disability insurance
This policy provides a lump sum in case of illness or injury that prevents you from working again.
Trauma insurance provides a lump sum in the event of a specified medical event, which commonly includes cancer, a heart attack or a stroke, plus many others.
Child trauma insurance
Child trauma pays a lump sum in the event of your child encountering a specified medical event, terminal illness, or death.
Stepped vs level graph
Stepped premiums typically increase in cost as the years go by, whereas level premiums do not change in relation to age, but may increase due to inflation.
Cumulative stepped vs Level graph
Often, people perceive that life insurance is too expensive. It’s a cost that we want to avoid. In reality , can you afford not to have it? The team at Carbon Wealth welcome you to talk through the range of life insurance policies suitable for you and your family. We look forward to working with you to achieve a more financially secure future for you and your family.
Andreas Kettemann is an authorised representative of Synchron (ABN: 33 007 207 650), AFS Licence No. 243313. All invoicing for the financial planning services will be done through Synchron as the dealer group.