An Income Protection Insurance is used to replace the income that is lost through the inability to work because of an injury or a sickness. This insurance is beneficial for all working people so that no income will be lost. The length of time that you will receive payments will depend on how much you are willing to pay. This can be as long as two years, five years or even up until you are 60 or 65 years old.

Your income protection insurance amount will depend on the salary that you want to insure. It can cover up to 75% of your salary in the event that you are unfit to work. If you are applying for one, make sure that you will consider mortgage repayments, family expenses and investment opportunities. If you cannot work, the income protection insurance must be able to satisfy these expenses.

You may compare the income protection insurance deals that different companies offer. Check their terms and prices to find the best possible insurance. The premiums for an income protection insurance at determined according to your age. Older individuals who are seeking for this insurance will have their premiums decrease.

The insurance applicant’s gender and health conditions are also considered. Some insurance companies would also check whether you smoke or not and they would also look at your occupation. Manual laborers give different premiums to a person who works in the office.

The amount of income protection insurance will also be based on the time when you want to start receiving payments. While insurance payments are based on these factors, it can cost an average of a week’s salary every year and its premiums can be deducted from your taxes.

When seeking for income protection insurance, here are some guidelines, policies or disclosure statements that you can consider. First, you must determine the coverage of the insurance. Find out what it covers and what it does not cover. Also find out how much your claim payment will be and how much will the cost of the insurance premium will change.

Then, you may also get an income protection insurance that is full of index-linked premiums so that you will still know the cover and still keep up with inflation. You may also consider a non-cancellable policy so that insurance companies won’t have to re-assess your health and other insurance factors every time you have to renew your insurance.

The re-assessment can raise your premiums or the insurer might refrain from covering your insurance. You must seek the deal for offset clauses that enables insurance companies to trim down your benefit payments if you have other sources of income. You must read up the insurer’s policy for this set-up.

Keep in mind that the group insurance that is provided from the super fund is an agreement between the insurer and the trustee. Therefore, it is important to know who your beneficiaries are. You must also look at the waiting period or the time that you will start receiving payments and the benefit period or the length of time wherein you will receive repayments.

The income protection insurance can also contain a provision which states that you can only receive payments if you cannot work anymore of if you cannot get any occupation due to your training, experience or education.

Trauma or critical illness insurance pays a lump sum benefit to those who are diagnosed with a specified major injury or illness. These illnesses include cancer, stroke, coma, coronary bypass surgery, chronic organ failures, heart attack, multiple sclerosis and loss of limbs. Insurance conditions may differ from one insurance company to another.

Trauma insurance is not a substitute for the income protection insurance or private health insurance. However, it can help pay the costs of rehabilitation, operation or surgery. As compared to other life insurance policies, trauma insurance is more expensive and there should be care in choosing an illness and injury insurance to suit your needs.

Trauma insurance is not available in super funds so it must be bought directly. Also, the benefit payment for this insurance is tax free and you can use the payment for a number of reasons. It can be used for medical bills, rehabilitation sessions, loan debts or other personal expenses.

It’s important to find the insurance deal that will cover the needs of your family. To do this, you can consider how long your financial commitments will last. Then, you can seek the help of a financial adviser who will determine the right term for you based on the cost of immediate care, the stop in income stream, ongoing therapy costs and any existing debts.

1. What sort of rental property qualifies for a Landlord Protection policy?
A property which is a full-time domestic rental. Full-time means that the initial leases with a tenant are for 3 months or more. After the initial period, it doesn’t matter what form the continuations of the lease take, even if the lease reverts to a periodical lease.

2. Do we cover hardship of a tenant?
Yes, under our Tenants Default section, we cover the owner for lost rent when the tenant obtains a court order cancelling the lease agreement. We treat it as a straightforward default of rent. It is important that the owner/property manager does not agree to the cancellation of the lease. The tenant should apply themselves to the court for relief and the property manager should continue to pursue the tenant for rent arrears until the relief is granted. We will treat the remainder of the lease as claimable in the normal way, provided appropriate measures are taken to re-tenant the property.

3. Do we cover death of a sole tenant?
Yes. Under our Tenants Default section, when a sole tenant dies during a fixed-term or periodic tenancy, we treat the matter as if the tenant had left the premises. The property manager should take reasonable steps to obtain vacant possession and re-let the property. The property manager is also entitled to seek unpaid rent from the deceased estate up until the date of vacant possession. The only difference between this event and a regular default is that we (St. George) do not have the right to pursue the deceased estate for the balance of the lease period rent.

4. Does the policy cover tenants on a periodic lease?
Yes. The only difference between a periodic lease and a fixed-term lease is the amount of notice each is party is required to give to the other. In most states, a periodic lease requires 3 weeks’ notice. Under our Tenant’s Default section, in the case of early vacation by the tenant under a periodic tenancy, we will pay the owner the rent they would have been entitled to if the tenant had given proper notice.

5. Do the tenants need to be in advance of their rent for any period of time?
No, but they can’t be behind either. If the tenant is up-to-date, that’s good enough. If you are asked about PRIOR history of arrears and other breachable behaviour by the tenant, you will have to tell us about this before cover is granted.

6. What is Deliberate Damage?
Deliberate damage is wider than malicious damage. The test we apply is that if the intentional actions (not omissions) of a tenant would, if viewed by a reasonable person, be considered to lead to damage, then the damage is deliberate.

7. How does the bond affect a claim?
We do not deduct the bond from our claim. However, for tenancy matters, if the bond is not used up on legitimate non-insurance related matters, then the remainder of the bond is entitled to be kept by the owner to cover Deliberate Damage and Tenants Default losses. This means that the amount the owner needs to claim from us is reduced by the remaining amount.

8. How can a property manager’s actions affect a claim?
The property manager is the agent of the owner and we treat both as the same person. Both Residential Tenancies Acts and insurance law require that the owner/agent take steps to minimise the loss. In part, this means that the owner/agent needs to pursue breaches as fast as the law allows. If they don’t, the amount lost may be deemed to be increased by the irretrievable time lost as a result of not doing it.
There is a danger of this lost time not being included in the claim settlement. We allow a reasonable time to issue notices.
If an owner wants to give leeway to a defaulting tenant, the owner needs to know that they may be incurring some losses that are unrecoverable from insurance.

9. What excesses can you expect to pay?
Not a lot. There is a standard excess on Defined Events of $50 each claim ($200 for earthquake). Defined Events are those events which occur outside of the tenancy, such as storm, burglary etc.
Claims from within the tenancy, such as Deliberate Damage or Tenants Default are free of any excess. Unless the policy is specifically endorsed otherwise, these are the standard excesses you will pay.
Most other similar covers have excesses on tenant damage or default. Check each policy carefully.

10. Do we cover accidental damage?
We cover accidental damage to fixed glass forming part of Buildings or Contents if we insure the appropriate Buildings or Contents. Some other covers provide an accidental damage cover to other property with a substantial excess. If they treat each item of damage as a separate accident, a separate excess will apply to each item. Therefore the value derived from the cover is not very great. For this reason, we try not to provide what may be seen as a “Claytons” cover.
Under our Deliberate Damage by Tenants cover, some items treated elsewhere as “accidental damage” will be accepted as Deliberate Damage (see FAQ about Deliberate Damage) and will be paid, totally free of excess (under our standard wording).

11. What happens if the tenant pays back some money after a claim has been paid?
If the money paid back to the owner is wholly or partly for specific amounts that have already been recovered under the insurance, that amount of money must be returned to us. Otherwise, it belongs to the owner.

12. What should you do if a tenant calls because we put his/her name on a tenant database?
Refer the tenant to us, we are responsible for maintaining the database entry and can remove it when the debt has been repaid.

13. Is the period between tenancies covered?
Under our Tenant’s Default section, rent loss arising from the failure of a tenant to honour a lease agreement is covered. However, rent for the normal period of unoccupancy which occurs between tenancies and which does not involve breach of a lease is not covered.

14. When should you start clean-up and repairs?
You should start cleanup and repairs immediately after you get vacant possession. However, if you are insured and are claiming for Deliberate Damage you need to call eChoice immediately and discuss the damage before starting repairs. If we want to collect some information about the damage, we will ask you to hold off repairs until this is done and we will pay for any rent loss arising from the additional delay.
You should also complete the repairs as soon as is reasonably possible. Unnecessary delays caused by working weekends only (for example) and the like may prejudice your rent claim.

15. When do you start the process of re-tenanting?
You should start the process of advertising for a new tenant immediately the premises is fit for viewing. This does not necessarily mean when the repairs are complete. Sometimes, a property can be acceptable to a tenant if they can see that repairs are being done and will be complete when they move in.

Total Permanent Disability or TPD Insurance gives you a lump sum amount should you become permanently disabled. That is if you are determined unfit to work again in your occupation or in any other occupation.

The lump sum payment from the TPD can be used for the costs of rehabilitation or debt repayments. It can also be used for other personal or family expenses. The payment will only be made if the disability has been proven for six months and if the insurer has proven that you are deemed unfit for work according to the definition in your policy.

In general, a permanent disability is a complaint that a person cannot recover from. They will have this disability for the rest of their life. However, insurance companies have varying definitions of a permanent disability. There are common definitions which are the loss of two arms, legs or eyes and absence from work for six months because of an illness or accident and without hope of returning to work.

The TPD insurance can be an extension to the term life insurance or own its own. It can also be taken as an extra feature from the super fund and a part of your trauma insurance. Check with you super fund first if you have this cover and how much it is. Then, you will know if it is enough for you and your family.

Also, check if the TPD insurance has restrictions for dangerous work, part-time work, maternity leave and age. Make sure the insurance will cover the needs of your family. To do this, you can consider how long your financial commitments will last. Then, you can seek the help of a financial adviser who will determine the right term for you. The financial adviser will look for a TPD insurance that can complement your trauma, income protection and term life insurance.

Life Insurance is a lump sum payment that the dependants of a deceased insured person will receive. This money can be used for burial expenses or for debts that the deceased person has left. The insurance money can also be used for investments and other personal expenses.

It’s important for a lot of reasons.

• If you pass away it pays out all your debts
• The best time to take it is when you are young fit and healthy as the premiums will be lower
• It will look after your family
• Peace of mind

The life insurance premium relies on a lot of factors, including risk factors in your line of work and lifestyle. They also consider personal health histories such as smoking and drinking.
Many super funds include a life policy but you check if the default cover satisfies your family’s needs. You can ask for a statement which reflects the amount of your insurance and a product disclosure statement which details the policy guidelines. Also, check if the policy has restrictions for dangerous work, part-time work, maternity leave and age.

If you apply for separate cover make sure you get the right mix. While the premium of the term life insurance is not tax-deductible, the benefit payout is tax-free. Also, the cover is renewable once your term life insurance is active. This means that the benefit will only stop if you stop paying the premium. If you have suffered an injury or illness, your cover is still active.

It is important to find the insurance deal that will cover the needs of your family. To do this, you can consider how long your financial commitments will last. Then, you can seek the help of a financial adviser who will determine the right term for you based on your existing debts, the future costs for education of your children, your current income and potential purchases in the future.

Income Protection Insurance is used to replace income that is lost through the inability to work because of an injury or sickness. This insurance can benefit you, especially if you have a family and major financial responsibilities, by ensuring that your income is protected even if you can’t attend work.

Your income protection insurance amount will depend on the salary that you want to insure. It can cover up to 75% of your salary in the event that you are unfit to work.

When seeking income protection insurance, here are some guidelines that you can consider:

Determine the coverage of your insurance:
One of the most important things to find out about your policy is what it covers and what it excludes. Also, it is essential to know what your claim amount will be and how your insurance premium will change over time. Furthermore, you must be aware of the waiting period after which you will start receiving your benefit.

Understand index-linked premiums:
Index-linked premiums assure that your payout increases in line with the retail price index. This means the value of your cover will keep up with inflation.

Consider non-cancellable options:
You may also want to consider a non-cancellable policy so that your insurance company won’t need to re-assess your health and other insurance factors every time you renew your insurance. The re-assessment can raise your premiums or the insurer might refrain from covering your insurance if your circumstances have changed.

Group Insurance:
You may want to keep in mind that group insurance, provided through super funds, is an agreement between the insurer and the trustee. Therefore, it is important to know who your beneficiaries are.

READ YOUR PRODUCT DISCLOSURE STATEMENT:
The most important thing is to read through the relevant Product Disclosure Statement to understand your policy and the benefits you are covered for.

Home insurance covers your home while contents insurance replaces the items in your home that are lost or damaged due to defined events. These two insurance policies can be taken as one policy or two separate covers.

In Australia, approximately 80% of homes are underinsured. This means a difference of thousands of dollars when rebuilding. As for contents, you must consider every room in your house and estimate the value of every item you own without leaving anything behind.

Also, when taking up a home and contents policy you must be aware of the defined events against which you are covered. For instance natural disasters, fire and theft etc. The policy might also have accidental damage policies that will cover you against unintended events such as construction work that casued ceiling damage, or even spilling of wine on the lounge room sofa.

Life is unpredictable and several families are faced with unexpected events that change their lives. Be prepared for the worst and protect you home and the things that matter to you most. Home & contents insurance will provide you and your family the peace of mind that you need.

Business expense insurance is the best way to protect your business. Some business owners may be mistaken that income protection provides adequate cover for them, however income protection only covers personal income and not the revenue of the business.

Business owners need business expense insurance to protect their most vital business assets such as plant equipment, business vehicles and other important business aspects including the dependence of the business on their presence.
If the owner is unavailable for a specific period of time, the performance of the business may be affected and fixedexpenses will need to be accounted for. Business expense insurance gives business owners great leverage in covering the expenses of the business should they be unfit due to injury or sickness.

Business expense insurance works on a reimbursement basis wherein the bills can be paid monthly once the expenses have been calculated. The maximum insurance amount that the business owner can get will depend on a predetermined monthly amount that can be fixed at start of the insurance term.

The expenses covered under this insurance are the fixed expenses of the business. These may include utility fees, leases or rental expenses, office expenses and professional salaries. Production-related expenses such as stock are generally not convered under these policies.

Given the critical nature of fixed expenses, business expense insurance is a minimal investment compared to the benefits it is able to provide. If you are a business owner, make sure you find out more about business expense insurance to ensure the longevity of your business.

Trauma or critical illness insurance is for those who are are diagnosed with major injuries or illness such as cancer, stroke, coma, coronary bypass surgery, chronic organ failures, heart attack, multiple sclerosis and loss of limbs. It provides a lump sum payment at the time of diagnosis. This is not a substitute for the income protection insurance or private health insurance though it can help pay rehabilitation costs, operation or surgery.

It is important to find the insurance deal that will cover the needs of your family. To do this, you must think what your your financial commitments are. The right insurance policy cover will be based on the cost of immediate care, the stop in income stream, ongoing therapy costs and any existing debts. It can be an expensive policy, so you can keep costs down by selecting the illness and injury insurances that you think might apply to you but make sure that the basic claims are covered such as major surgeries, stroke, heart conditions. Trauma insurance is not available in super funds and the benefit payment is tax-free.

It’s very important to be honest about the medical history or occupational risks so that they may be included in the insurance policy. Check if the insurance policy has a trauma reinstatement option that allows the trauma cover to be given back after making a claim.

Simply put, the business insurance protects the business against events that can be detrimental to the operation or profit of the organisation. Business need this policy to cater for events out of their control.

In a nutshell business insurance is the management of risk. To get good cover you should analyze your business to determine the coverage that you needs right now and what other coverage will be required when your business expands. To work out what cover you need, talk to other owners in the same industry to get a better picture. Prepare a business description to help your broker get you a quote.

Next, the business owner must select a dependable insurance professional or company just like choosing an accountant or lawyer. The insurance professional must be someone that can easily comprehend the owner’s needs and works to get the best insurance policy. An insurance professional can also give reliable advice on getting the most out of the insurance deal.
The owner and the insurance professional can review the business insurance plan to check on the changes that have occurred from the time it was written.