Income Protection and Permanent Health Insurance
Posted on February 5th, 2011 in All Posts, Income Protection, Permanent Health Insurance, Ways to Protect Income. Income Protection and Permanent Health Insurance is the same type of cover as each other. They are just different names for the same policy. This type of insurance is designed to cover income if the policyholder cannot work after a period of time called the deferred period. The income is paid for a set time which is determined at the time of application.Many people confuse income protection insurance with Accident Sickness and Unemployment cover. These ASU policies are designed for more of a shorter term measure. The maximum these pay out for is 24 months although typically they are set for 12 months. 3 options exist for ASU cover Unemployment Only, Accident and Sickness only or Accident Sickness and Unemployment.
However with Permanent Health Insurance or Income Protection Cover no such choice exists. Instead you choose how much income you want to replace (normally this is limited to between 60% and 70% of gross annual income). You choose how long you want the income for typically this is set until age 65. The if you cannot work due to illness or accident then the policy will pay out.
Unlike ASU cover income protection policies can be very fussy about the type of occupations they will insure. Most labour intensive jobs such as builders etc are not insurable. For these higher risk occupation the only option to protect income is ASU cover.
Use the form on the right to get quotes on income protection insurance.
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I am looking for income protection and life cover upto the age of 65….I salary 1300.00 per month take home pay. I do NOT smoke