You don’t think twice about insuring your house and car, but have you insured your most valuable asset – Yourself?
Did you know:
- Only 55% of Australian’s have life insurance
- Only 32% of Australians have total and permanent disability insurance
- Only 31% have income protection insurance
- Only 23% of Australian’s have trauma insurance
Few people consider what would happen to their families if their income suddenly stopped due to illness, injury or worst still, death. But how will you, or your family, pay the mortgage, school fees, medical bills and other day-to-day living expenses in the event of a life-changing event?
Your ability to earn income in the future is one of your most important and largest financial assets and it deserves to be protected.
At GK Financial Services Group, we take the time to understand your income, your debts and your family’s unique circumstances and recommend a strategy that will best fit your needs. This may include taking advantage of the tax-effectiveness of insurance inside super, combining your cover with a family member to reduce your premium, or choosing the right combination of benefits and extra options.
What is personal risk insurance?
There are five types of personal risk insurance. Your needs will depend on your circumstances, your stage of life and your protection goals:
- Life insurance: Pays a lump sum to your beneficiaries in the event of your death. While money can never replace the loss of a loved one, it’s comforting to know the people who depend on you will be financially taken care of.
- Total and permanent disablement cover: Pays a lump sum if you’re no longer able to work due to total and permanent disablement. This additional money could be used to repay loans, help meet day to day living expenses, fund medical expenses, meet rehabilitation costs and pay for any modifications required to your home, car or immediate environment.
- Trauma insurance: Pays a lump sum in the event you suffer, for the first time, certain specified medical conditions such as a serious heart attack, stroke, cancer, etc. Trauma insurance can provide you with money to meet your living expenses, loan payments, school fees or other expenses at a time of need.
- Income protection insurance: Insures you against loss of income while you are unable to work because of illness or injury. Income Protection insurance pays up to 75% of your pre-illness or injury salary. Income protection insurance can provide you with an income to meet day-to-day living expenses, loan payments, school fees and other expenses during times of illness or injury.
- Key Person Insurance (also called Key Man Insurance): is a type of Corporate-owned life insurance which insures an employer against the death or incapacitation of a so-called key employee, usually an executive or partner. It is used by both large companies and small partnerships alike. The ‘key person’ may be an executive, principal shareholder, a senior scientist, or a particularly effective salesperson. The cover required is usually determined by the size of the business and the person that is to be insured.
How do I know how much insurance I need?
How much cover you need depends on your personal circumstances and protection goals. Factors to be considered include your income and expenses, assets and debts, your family’s situation and needs, and your age.
We specialize in personal protection insurances and have a range of products and offerings to ensure that you get the right type of cover for and your family.
If you already have risk Insurance
We can review any personal risk insurance you may have and advise you if it continues to meet your needs. We can also assist you to save money by finding you a cheaper premium on your existing insurances.
If you would like to review or explore your wealth protection needs, contact us for a free initial consultation with one of our expert advisers.