Income Protection and Business Expenses

Income Protection

Income Protection provides a replacement income if you are unable to work due to illness or injury.  If you are ill or injured the last thing you want is to worry about how you are going to pay your bills, your mortgage, or for your next meal.  Income Protection ensures this won’t happen by providing a replacement income while you cannot work.

Unfortunately 1 in 3 working Australians will be unable to work for 3 months or more due to illness or injury and very few of us have 3 months of income or more saved up for a rainy day.

Most people consider their car and home to be their biggest assets and insure them automatically.  But what pays for these assets?  Your income!  And if your income stopped for any length of time, could you keep those assets?  And what is the value of your income from now until the age of 65?  For a 45 year old earning $75,000 p/a, their income a $1,500,000 assets (without even taking into account inflation and pay increases).  Compare this value with the value of your car and home.  Do you really think it should go uninsured?

Business Expenses

Business Expenses insurance covers set business expenses if you are unable to work due to illness or injury.  This means if your business revenue suffers, you are still able to meet your business commitments such as:

Office Rent; Office Electricity; Equipment/Motor Vehicle Leases; Business Related Insurance; Salaries of Non-income Producing Employees.

Without these expenses being met, your business could go under while you are too sick or injured to anything about it.  And although Income Protection insurance will pay you your personal income, what happens when you are finally recovered enough to go back to work but you no longer have a business?