Nobody likes to think about getting sick. In particular, nobody likes to think about getting so sick you can’t work to support yourself. Unfortunately, life is unpredictable and while the team at Rising Tide hopes you sail through life without ever having to deal with serious illness or accident, we still think it’s prudent to prepare for the unexpected.
So how do you ensure you’re prepared for whatever life throws at you?
One word: insurance.
We advise all our clients to take out both income protection insurance and trauma insurance. If you have a large mortgage and a family we also recommend life insurance on top of that.
So how does personal insurance work? Here’s a quick breakdown:
Income Protection Insurance
Income protection insurance essentially means that you will continue to get paid if you fall ill or get injured and you are unable to work for an extended period of time. Generally income protection kicks in once you’re out of work after about 30-90 days (depending on your policy) and you continue to get paid monthly until you are able to return to work.
Trauma insurance is a fantastic addition to income protection insurance because it means you receive an upfront, lump sum payment to spend however you’d like whether it’s a 2nd medical opinion or a holiday on your road to recovery. When faced with unexpected and heart wrenching news, this fast access to finance is a godsend to you and your family. In a recent article published by the Herald Sun, the total average out of pocket expenses for a woman with secondary breast cancer was up to $25,000. Without trauma insurance, many families would find it difficult to come up with the cash so quickly.
Life insurance is paid out as a lump sum to your family in the event of your death. While life insurance certainly isn’t necessary for everyone, we do advise that it is a good idea if you have a family who relies on your income to survive. This is even more important if you and your partner are servicing a large debt that would be difficult to continue to pay off on one income alone.
If you have been avoiding the insurance chat but know you need to tackle it due to a new child or an intimidating mortgage, the Rising Tide team offers obligation free consultations with our award winning team. So what are you waiting for?