Do I Need Income Protection Insurance?

Most of us do everything we can to stay healthy. We go to the GP regularly, we try to eat right and do moderate exercise. The last thing we think about is what will happen if we get seriously injured, primarily because our brains aren’t generally wired to think about that. Our brains tend to focus mainly on the mundane things in life, going to the market, paying bills, spending time with friends and family, and we often don’t plan for bad things happening. But what happens if you’re working and suddenly you are seriously injured? What happens if you’re diagnosed with a medical condition that won’t allow you to work for a lengthy amount of time?

When these things happen, how are your bills going to get paid? How are you going to afford your daily necessities? How are you going to do those mundane things that you should be thinking about. The last thing that you need to deal with when you’re ill or injured is your bills. You shouldn’t have to worry about them. Scientists have proven that the less stress on your body when you’re healing, the faster, and better, you heal. To minimise the stress you may want to plan for the potential future with income protection insurance.

What Is It?

Income protection insurance, also called permanent health insurance, is a type of long-term insurance policy that is there to bridge the gap if you get too injured or ill to work. It can ensure that you’re able to get a regular income if you can’t work. It can pay out until you are able to begin working again and tends to cover the majority of illnesses, no matter whether they’re long-term or short-term, that would leave you unable to earn a living. And, one of the best things about a income protection insurance, it can be used as many times as you need it to.

Unlike critical illness insurance, which is designed to pay out a large, one-time payment if you are diagnosed with a specific illness or condition, income protection insurance can be used over and over again if necessary. And short-term income protection will pay out a monthly amount, very similar to income protection insurance, but it only covers a very limited amount of time and doesn’t often cover the same amount of illnesses or injuries that income protection insurance covers.

But Do I Need It? 

If you have enough money that you can afford to survive without payment from your job, you likely don’t need this type of insurance. If you have an employee benefits package which ensures that you get income from your job for a year or longer, or if your family or loved one can financially support you, you might not need income protection insurance. But, if you’re like millions of others in the country who depend on the money earned in their job to pay the bills, income protection insurance can give you some comfort in knowing that, should something unexpected happen, you’ll still be able to take care of your family and yourself.

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