Check Your Best Asset Is Insured
Byline: PAUL CLITHEROE
IF YOU own your home or an investment property thereas a good chance you have it insured. But you have another asset thatas worth a lot more than bricks and mortar. And thatas you.
Most workers have some sort of life insurance through their super, yet research shows that Australia is one of the most underinsured nations in the developed world when it comes to personal insurances like life cover and income protection insurance.
According to industry body Lifewise, 83% of Australians say they have insurance for their car, but only 31% of us have income protection cover in place. When it comes to life insurance, one in two members of an industry super fund are estimated to be underinsured by about $100,000.
It means vast numbers of families are leaving their financial wellbeing to chance because if anything happens to you, the bills donat stop rolling in and your home loan still needs to be paid.
You can buy most personal insurances through your super, and the advantage here is that the premiums donat come directly from your own pocket. The important thing is to check you have cover in place a and that you have enough.
There are three main of types of personal insurance you can arrange through your super. The first, life insurance, will give your beneficiaries (usually your family) a lump sum payout or a series of regular payments if you die.
A second type of cover is total and permanent disability insurance a or TPD. This will provide a payout if you become permanently disabled and canat work.
The third variety of cover available through your super is income protection insurance. …