Insurance: TPD, Trauma, Income, Health etc..

[buzzlightyear]

Most people will have some form of cover with TPD & Death insurance cover through their superannuation funds. Is this preferable or superior to taking it out personally, aside from tax deductibility and cost?

Do people combine their insurance products or a combination of the following through one provider ie TPD (personal or through SMSF), Trauma, Income Protection, Health, Building & Contents?

Not sure if there is a one insurance provider that has all these products?

In doing a financial risk assessment on myself, it can pretty clear that whilst I am comfortable with the debt I have and will continue to rack up, if something was to happen to me (either die, incapacitated or serious illness), I will leave or impose a heavy burden on my family/myself, given my existing financial commitments.

Would be interested to hear people's thoughts, views on what types of insurances you have taken out? Alternatively why you haven't taken any?

For those who have taken out insurance, is their a optimum tax effective method by which you can purchase insurance?

 

[kaf]

Hi Buzz

Both my husband and I are covered for 2 years in case of injury and have death benefits through our respective super. We had a good think about taking out further insurance but then thought that if something happens to either of us 2 years is plenty of time to reassess our investment plan. So no we've not taken out any more insurance but our leverage is not crazy, we both work and have no kids. If we do have kids and I stop work we might look into this again.

Cheers

kaf

Most people will have some form of cover with TPD & Death insurance cover through their superannuation funds. Is this preferable or superior to taking it out personally, aside from tax deductibility and cost?

Do people combine their insurance products or a combination of the following through one provider ie TPD (personal or through SMSF), Trauma, Income Protection, Health, Building & Contents?

Not sure if there is a one insurance provider that has all these products?

In doing a financial risk assessment on myself, it can pretty clear that whilst I am comfortable with the debt I have and will continue to rack up, if something was to happen to me (either die, incapacitated or serious illness), I will leave or impose a heavy burden on my family/myself, given my existing financial commitments.

Would be interested to hear people's thoughts, views on what types of insurances you have taken out? Alternatively why you haven't taken any?

For those who have taken out insurance, is their a optimum tax effective method by which you can purchase insurance?

 

[natmarie73]

Death and income protection for 5 years via my super fund and trauma and TPD taken out seperately for an annual premium of around $1500 which will pay out around $500,000 if I am unable to do my own job for any length of time. Not tax deductable unfortunately.

 

[FrankGrimes]

I have very high trauma insurance becuase I don't qualify for income protection (arthritis in right wrist). Have life insurance through super. Just gives me piece of mind if I get some sort of serious illness I don't have to worry about money..

 

[Modal Harmony]

Hi Buzz,

If you're self-employed then a form of life and income protection are a must; think of it always as a courtesy to your family. If something serious (God forbid) happens to you, then the knowledge that your dependents won't be struggling financially during (again, God forbid) a bereavement is one of the best ways to love those you love.

I had a recent incident in APR07 where a tumour was found on my appendix requiring the apppendix plus a small section of large intestine to be removed. The income protection insurance I have with Colonial (via Comminsure) came to the party and I ended up with a nice 6 month salary benefit!

Insurance, unfortunately, is a necessity of life and for those of us with IP's and PPOR's are also a must for the SANF!! Perhaps the larger underwriters may provide all you require, but I don't think so. Each probably specialises in a limited number of areas.