Have you ever wondered what might happen if you were sick or injured and could no longer work? How long could your family maintain their current standard of living? If you could receive government benefits, would this be enough to cover your bills and current living costs? You may already have personal risk insurance but if there have been any changes to your circumstances? For example, have you purchased a car on fiancé, upgraded your home and have a larger mortgage, had a baby, had a promotion or changed jobs? Would your current insured amounts be enough to cover your debts and financially support your family should the something bad happened?
Reviewing your risks are vital for the following reasons:
Employment
A change in job is an exciting move and brings with it a whole new set of challenges. Even if you currently have insurance, if your role has changed you may not be appropriately covered should you suffer a total and permanent disability or total and temporary disability that prohibits you from working and earning an income. If your income has increased you may not have adequate levels of income protection insurance to cover your income should you suffer an injury or illness, or if your income has decreased then you may be paying a premium for a higher benefit than you may be able to claim on.
Debt
You may have recently purchased a new car, home, boat or investment property so you want to be able to protect these if you cannot earn an income. By having adequate levels of insurance, you or your family would be able to continue repaying the debts without selling your assets.
Baby
A new member of the family is exciting and scary at the same time. What would happen if you were no longer able to provide the life you had hoped for due to injury, illness or even death? Would your spouse be able to pay for schooling and clothes alongside the other household expenses on only one income? By reviewing your insurances, we can help ensure that you have adequate levels of cover to provide funds for your family whilst your child is growing up.
Dependent Relative
If you have a dependent spouse or relative that you take care of, what would happen to them if you were no longer able to? Could another member of the family continue to provide this support or would the person have to be transferred to another facility? How would they cope without you to guide and support them? By reviewing your insurance arrangements, we can help allocate funds to help ensure that your relative gets the assistance they require when you’re no longer unable to provide it.
Standard of Living
In the event of your untimely death what would happen to your family? Would they be able to pay the everyday expenses without your income to supplement them? Having adequate levels of personal insurance cover can go a long way to helping your family meet their basic daily living expenses such as groceries, school fees and home maintenance bills for the years ahead.
Education
Private schools can provide some of the most academically rewarding schooling for children, but can also be notoriously expensive. Would your family be able to cope financially with the ongoing school fees on only a single income? By reviewing your insurance arrangements, we can help ensure that you receive adequate levels of cover to fund your children’s ongoing schooling in the event of your total and permanent disability or untimely death.
Inheritance
Leaving a legacy for your loved ones is something they may cherish forever, but inheriting a debt is not. By reviewing your life insurance, we can help ensure that your family receives adequate funds to repay all debts and projected expenses, leaving your assets unencumbered for distribution through your will.
Probability of Cancer and other Nasty Diseases
Studies have shown that more than a third males and a quarter of all females in Australia will suffer some form of cancer in their life time. Not to mention coronary disease or diabetes which affect Australian’s at a staggering level! Although most people don’t think about it, the unexpected does occur which makes it important to review your needs to ensure that your family have financial protection.
Disclaimer
This information is current as at 28/04/17. This article has been prepared by Heart1Stop, a social media brand owned by Heart Mortgage Services and Heart Financial Advisers. The information contained in this article is an overview or summary only and it should not be considered a comprehensive statement on any matter nor relied upon as such. The views expressed here are not those of Heart1stop, Heart Mortgage Services, Heart Financial Advisers, shareholders, directors or staff and associated contractors and business associates. This article has been prepared without taking into account any person’s objectives, financial situation or needs. Because of this, you should, before acting on any information contained in this article, consider its appropriateness, having regard to your objectives, financial situation or needs. Any taxation information contained in this article is a general statement and should only be used as a guide. It does not constitute taxation advice and is based on current laws and their interpretation. Each individual’s situation may differ, and you should seek independent professional taxation advice on any taxation matters. While the information contained in this article may contain or be based on information obtained from sources believed to be reliable, it may not have been independently verified. Where information contained in this publication contains material provided directly by third parties it is given in good faith and has been derived from sources believed to be accurate at its issue date. It is not the intention of Heart1Stop or Heart Mortgage Services and Heart Financial Advisers that this publication be used as the primary source of readers’ information but as an adjunct to their own resources and training. To the maximum extent permitted by law: no guarantee, representation or warranty is given that any information or advice in this publication is complete, accurate, up to date or fit for any purpose; and no party of Heart1Stop or associated entities as mentioned is in any way liable to you (including for negligence) in respect of any reliance upon such information. This article may also contain links to websites operated by third parties ("Third Parties") who are not related to Heart1Stop. These links are provided for convenience only and do not represent any endorsement or approval by us.
