Secure the Hard Earned Money through Income Protection

It is always advisable to secure the hard earned pennies for the rainy day. There are many financial institutions providing various types of insurance policies like life insurance, medical insurance etc., the list goes on. A similar kind of policy is Income Protection Insurance. It is an insurance policy that helps the policyholder to cope with the financial requirement during the instance when the policy holder is unable to perform or do an occupation following an accident or illness.

FAQs about Income Protection Insurance

What is the need of this insurance?

Illness and accidents are matters of the unplanned calendar, hence are unpredictable. It is always better to plan ahead for such incidences, to avoid financial burden on oneself and the family at the instance of an unfortunate occurrence.

What kind of medical conditions are included in this policy?

A comprehensive list of both mental and physical medical conditions is taken into consideration. To mention a few are cardiac problems, cancer, musculoskeletal conditions, mental illness etc. Also the medical history of the policy holder will be taken into consideration during opening an account.

Is it a must to take this policy?

It is a worthwhile consideration for all working individuals. In case of inability to work due to medical conditions like injury or sickness, it can give a valuable part of the salary, thereby keeping the illness phase hassle free.

How much of insurance is required?

The amount of insurance is determined by the amount of salary that the policy holder would like to insure. Generally, this policy offers a cover of about 75% of the salary during the incidence of illness and accidents. Inclusion of the family dependents, and other assets or investment should be done while taking the insurance, so that at the time of need this policy will provide for all.

How much should be paid to get this insurance and where to buy it from?

It is always better to do a thorough check across all available policies by different financial institutions, and do a comparative study of the prices and covers. However details like age, gender, health condition, smoking history, current occupation and the wait time to start receiving payments are considered while setting the premiums.

To opt for income protection insurance is always an advisable step. It helps to keep a lot of worries and uncertainties at bay, thereby making the present life happier and fuller.