Income Protection Insurance - Australia
Why premiums for income protection insurance in Australia differs depending on the state you are in?
Different states charge different stamp duties for income protection policies. This could range from 5% - 11% therefore based on the state you are in your premium could vary by 6% based on this fact alone.
Even though Australia is one country the weather and way of life in each state is very different, due to these factors the risks to the insurance company are different. For example, higher % of people suffer depression in Victoria, because when weather is bad people feel sad and develop Seasonal Affective Disorder. NSW people generally work harder and longer hours due to high costs of rent, property and living costs, therefore higher stress on heart - that's depression, cancer and heart disease covered. There are more chances to get skin cancer in WA and QLD has a higher concentration of blood disorders...
Given differing risks and statistics of accident and illness, insurance companies charge different premiums for income protection insurance in Australia depending on the state you are in.
How Income Protection Insurance works in Australia?
As you probably know Income Protection Insurance helps replace your earnings if you can't work due to sickness or injury so you can concentrate on getting better. Usually you can cover up to 75% of your income in Australia. To be eligible for income protection cover you must work at least 20 hours a week and be an Australian or New Zealand resident aged between 18 and 60.
To read more about the benefits of income protection please visit our Income Protection Insurance page. To find out which insurance company offers best income protection insurance in Australia for your situation - CLICK ON YOUR STATE ...
Get these Australia's Income Protection Insurance companies compared:
Income Protection Insurance Australia
Income Protection Insurance helps replace your lost income if you are unable to work due to sickness or injury, helping to ensure that you can continue to meet your financial commitments by providing regular monthly benefit payments. You can get income protection insurance for up to 75% of your regular income, and superannuation contributions of up to 9.5%.
Premiums are generally tax-deductible. Income protection generally has a waiting period of up to 30 days however LISA Group is able to source income protection policies that will pay you from day 1 in the event of an accident.
Income protection also has what is called a benefit period and this is the period of time that the policy will generally pay for. This can range from 1 year all the way up to age 65 depending on your occupation.
Income protection insurance is a necessity for every household in Australia especially the self employed. Most people believe that there home and other properties are their biggest asset when in fact their biggest asset is generally their ability to produce an income. You insure your house and car don’t you?? So why not insure your income??