Why You Might Need Income Protection Insurance

Income protection insurance is one of the various insurance types you can take to secure yourself against any mishaps. This form of insurance provides you with a financial safety net of a regular income if you can’t work due to illness or injury-related incapacitation.

Consequently, getting insured for income protection is a great way to secure yourself and your family when you can’t work. However, this protection might be a pressing necessity, especially if you fall into certain categories. Below are some reasons why you might need income protection insurance.

You’re a sole income earner.

img

Income protection is good news for sole income earners, whether or not they have dependents. If you have a family relying on you for sustenance, it lessens their financial burdens if you become hurt or ill and can’t work. You can easily take care of costs like medical expenses, which would otherwise be too expensive to handle without insurance. Also, this policy ensures that you and your family can maintain your current quality of life even if you can’t work. Finding the right insurance company is undoubtedly essential to getting a good income protection policy. Dependable online comparison sites such as iSelect.com.au can help you find the best deal.

iSelect.co.au is an Australian website committed to assisting consumers in finding the best deals on utilities, insurance, and finance packages from some of Australia’s leading providers. You can find and compare income protection insurance packages from various companies to find the best option for your unique needs. This type of policy comes with disability coverage, replacing up to 75 percent of your pre-tax income through monthly benefits for a set period. Besides a disability policy, you also receive payments if you can’t work due to sickness, allowing you to recover with peace of mind. What’s more, iSelect.com.au’s convenient comparison process helping thousands of clients save significant time, money, and effort when searching for the right insurance products for their unique needs.

Coverage may provide assistance with mortgage payments.

Getting a mortgage is one of the fundamental reasons why people go in for income protection insurance. Homeowners commit to paying back hefty loans as soon as they sign their home loan documents. These loans need to be paid off over a typically extended period, with some lasting as long as decades. Therefore, taking income protection insurance is a good idea in order to ensure that you can afford these repayments if you experience any long or short-term disability that may leave you unable to work. Within this period, you can become a business owner by setting up an online store to provide you with an income stream. Interesting websites such as Days 3 can provide more insights into setting up your own online store.

Days 3 is an open community where like-minded finance and business-minded individuals can share insights to grow their businesses. Their article on how to get an e-commerce site up and running provides great tips on effectively running your new online shop. You need an e-commerce and web hosting platform like BigCommerce, Shopify, or WooCommerce to integrate payment processors and plugins readily. You also need a payment gateway, since your store must accept credit card payments or other payment methods like PayPal. A shopping cart wish list functionality for your e-commerce website will also help shoppers manage impulse buying, so consider integrating this feature.

You don’t have workers’ compensation.

If you become injured or sick due to your work, you may be entitled to workers’ compensation benefits to cater for your medical bills and a part of your lost wages. However, you may not be eligible for workers’ compensation if your employer doesn’t have this protection, because it’s not required in some states. Also, states like Texas exclude farmworkers and some seasonal laborers from enjoying workers’ compensation. Thankfully, your income protection insurance can act as a safety net if you don’t qualify for compensation and fall under such categories.

Income protection insurance is beneficial to several employees for various reasons. The above-listed points are some reasons why you may need this form of insurance coverage.