Insurance for life ahead.
Most people think of life insurance as something that protects their loved ones financially if they pass away.
While that’s true, life insurance also includes other types of cover that can help to support your family if you become sick or injured.
A financial adviser will help you choose the types of cover and the level of protection that best meets your needs. But in the meantime, here’s a brief overview of the different cover types that life insurance can include.
Life Cover
Life Cover provides your loved ones with a lump sum payment should you pass away or be diagnosed with a terminal illness. This could be used to pay off debts such as a mortgage, cover daily living expenses, or be saved for future needs such as school fees.
Total and Permanent Disability (TPD) Cover
TPD cover pays you a lump sum payment if you’re permanently unable to work again because of sickness or injury. It could help you pay off debts and cover medical or other costs, so your family can retain their lifestyle even if you can no longer earn an income.
Critical Illness Cover
Critical Illness Cover pays you a lump sum payment to help support you and your loved ones while you recover from serious illness such as cancer, heart attack or stroke. While medical treatments for serious illness are continually advancing, it may be months or years before you’re able to return to work. The money paid could be used for any purpose, whether it’s to seek specialised medical treatment, reduce debts or make necessary lifestyle changes.
Income Protection Cover
Income Protection Cover replaces up to 70% of your income if you’re unable to work because of sickness or injury. It could help you afford daily living expenses and debt repayments, long after your sick leave and savings have been exhausted.
Child Cover
While it’s not something any parent wants to think about, sometimes the worst can happen to our children as well. Child cover pays you a lump sum payment if your child passes away, suffers a critical illness or is diagnosed as terminally ill. This money could be used to cover medical expenses or enable you to take time off to be with your child or, if the worst happens, time to grieve.
