By Ashley Davidson
When it comes to personal insurances, Australians are relatively relaxed about their situations. The old “she’ll be right mate”comment gets thrown around and is sometimes not just a throw away comment!
It’s an endearing trait of ours but one that simply doesn’t cut it when things do go a little pear shaped. And, as we all know…things go pear shaped all the time!
So the massive under insurance problem in this country simply rolls on with many, many thousands of hard working Aussies remaining at risk!
A huge number of Australians rely heavily on their super fund to provide some sort of cover if they were killed or become seriously disabled. These are more often than not an Industry super fund such as AustralianSuper, VicSuper, REST, Hesta or Cbus to name a few of the larger ones.
Now, I’m not saying that this default insurance structure is a bad thing. Many people simply wouldn’t be covered at all if it weren’t for their Industry super fund that has a bit of Life and TPD and possibly some very basic Income Protection included. And when something does go wrong they will get something to help them in a time of financial need.
However, most of these people wouldn’t be aware of how basic and possibly inadequate these policies are.
As a starting point, the average Life insurance amount is about half the average mortgage in this country.That is a massive gap just in itself.
Then most industry fund Income Protection policies (if you have one!) pay you for a maximum of only 2 years. That’s not very long and leaves you without income for a long time if you can no longer work again!
Seeing a fully licenced financial adviser to get a quality, personalised and appropriate insurance portfolio in place is not only easy and quick but nowhere near as expensive as you may think. Not if they want to maintain their current assets and lifestyle for yourself and your family.
For the sake of a couple hours consultation with a fully licensed insurance adviser, your financial future can be secured fully.
This can include:
- Getting the best quality policies available
- Transparency on what you pay and what you are getting
- Fully licenced and documented advice throughout your life
- Structuring how you pay your premium so it is affordable even when you get older
- Structuring cover to maximise tax deductibility
- Knowing that you will be paid on what you think you are covered for
Here is an opportunity for you to tick that important job off your list and make sure you aren’t one of these statistics who haven’t covered you and your family properly.
If you have an adviser that can advise on personal insurance, then contact them and make sure they have reviewed your policies...we need more people covered adequately.
This information may be regarded as general advice. That is, your personal objectives, needs or financial situations were not taken into account when preparing this information. Accordingly, you should consider the appropriateness of any general advice we have given you, having regard to your own objectives, financial situation and needs before acting on it. Where the information relates to a particular financial product, you should obtain and consider the relevant product disclosure statement before making any decision to purchase that financial product.