What is Income protection

By: insurance 4 you

How would you retain up your mortgage payments, school fees, running the car, credit cards, everyday living expenditures, for instance food, clothing, mobile phone bills etc. In addition to medical expenses that your health fund simply does not cover!
IP Insurance is just not something that you think about whenever you head off to work each day or go for that weekend drive or international holiday. You insure your home and automobile without a second thought. You always organise the travel cover. You also need to cover yourself.
Income protection Insurance is the first step in securing your standard of living if something does go wrong. We source income protection insurance policies from major insurance companies to provde the most appropriate cover available.
income protection insurance can replace up to 75% of your gross income when you need it most, when you are not well or injured and unable to work and will maintain a regular earnings coming in whilst you get better and focus on getting well once more. The duration of time you receive your payments will depend upon the agreement term you choose. A policy can pay you for 2 years, 5 years or to age 65.
Generally, Australians are overwhelmingly optimistic about their financial future. This optimism is a key driver behind Australia being the most underinsured of any developed country. Alarmingly, many Australians simply do not have enough insurance, and some have none at all.
Many policies will cover up to seventy five percent of your salary if you are totally or partially disabled. Income protection insurance can be taken out for fixed monthly premiums, based on how old you are when applying for the cover and how much you need to cover each month.
What is income protection insurance?
Put simply, income protection insurance aims to protect your income in the event that you can’t work due to illness or injury.
End of Financial Year. Don't forget to claim the cost of income protection insurance premiums for tax purposes
How does income protection work?
Income protection insurance provides an income stream for you should you become unable to work due to an injury or illness.
If you are young, single, married and reliant on a regular income. If you have debts, a house loan, vehicle repayments to make, school fees and regular payments to pay, income protection insurance might be the most important form of insurance you may ever use and typically it is also tax deductible. income protection insurance is intended to maintain income coming in, month after month, year after year regularly when you are ill or injured.

Article Source: http://yourfinance.co.za