This guest post is for our international readers, especially readers from UK, Australia and Ireland. Enjoy this post on Income Protection Insurance!
Income Protection Insurance is an excellent way to ensure that you never lose out on the income you depend on, even if you become incapacitated and unable to work. IPI is not available in many parts of the world, so Australians should count themselves lucky that it is made available to them, for their own stability and peace of mind. If you are considering buying some Income Protection Insurance for the first time, or if you are unfamiliar with this type of insurance, here are three things to know.
1) Benefits can be awarded to anyone who becomes incapacitated and unable to perform work according to several different criteria. Maybe they can’t work their own job, or find another job that is fitting. Maybe they can’t do any work at all or even perform basic day-to-day tasks not associated with their career. Benefits go to these people, but such benefits are usually capped at somewhere between two-thirds and three-quarters their normal income.
2) There is a period of time between the time when the insured gets hurt and the time when the benefits start to be paid. Of course, the insured wants the benefits to start rolling in as soon as possible. This is one way some insurance companies drive up the cost, so make sure to pay attention to this feature and its relationship to your insurance’s overall price tag.
3) The total benefit amount may be reduced if the insured recovers some or all of his or her health. The insured can then begin taking on some work again, so the benefits reduce in proportion to the amount of work that the insured can take on. This is meant to encourage the insured to get back out into the workforce, without taking on too much responsibility for their diminished capabilities.
It is also important to know that these payments can be made weekly or monthly. Also, the payments are tax free, so that the insured can depend upon regular, undiminished income for the life of their insurance policy.
Your insurance cannot be cancelled if you continue to pay the premiums. These are some of the most favorable conditions for insured people anywhere in the world. However, such benefits are only available in Australia, the United Kingdom, Ireland, New Zealand, and South Africa. For this reason, citizens of these nations should be proud to take on Income Protection Insurance, and for the systems that are in place to protect their ways of life.
To find out more about income protection, contact trusted Income Protection Insurance providers. They have operators ready to respond to your call or email. They can answer your questions and arrange for a meeting where the particulars of a policy for you and your specific needs are discussed and drafted.
You don’t have to worry about what will happen if you are suddenly prevented from working due to injury or illness. Luckily for you, the structures are in place to protect your income, your home, and your family whatever the future brings for you and your career.