Have you thought about it? What answer did you come to? Well its something we all have plenty of and that is our Health. When we are healthy, we are able to participate in various physical activities such as sports, enjoying a weekend away for relaxation and work. Now what happens if our health deteriorates for reasons unknown (or known for that matter) and we can no longer work? How would you enjoy your sport or recreational activities? Who will pay your portion (assuming you’re a couple with children) for the home loan, investment loan, car loans and the like? This is where Risk Insurance comes in to play in particular Life Insurance and Income Protection.
Most Australians don’t know this, but you should automatically have some sort of insurance policy built in to your superannuation account normally this is life insurance. The question is, is it the right type of insurance based on your occupation and is it enough? A quick google search shows a report by CommInsure highlights a few key facts.
- Australians were uninsured by $3.1 trillion (Source: Rice Warner 2011).
- Only half – 56% of Australians have life insurance
- Majority of those have insufficient cover
- Average advised client is insured for $308,212 (KPMG and the Financial Services Council (FSC) Lump Sum Experience Study 2008)
- Non-advised clients insured for only $99,954.
It’s been 5 years since this report was done so the figures would have probably changed by now, but you get the general idea. Not only is life insurance important in protecting your family, but there are other insurances such as Income Protection, Total, Permanent Disability and Trauma Insurance which should be looked at.
If you want to protect the future of your family and investments, you should book an appointment today to discuss how we can assist in making sure you’re not left out in the cold should something unexpected happens. Who knows what tomorrow brings.