Today, people don’t hesitate insuring their car, contents, travel and pets. Yet often neglect protecting their hard-earned lifestyle. Left uninsured, what would cause the greatest loss?
Money is tight these days. Of that there is no doubt. However, it’s extremely important to secure your, and your family’s, financial future.
We all like to believe unexpected deaths, accidents, and illness, will never effect us; but the harsh reality is they will. Life is unpredictable. Therefore, it’s essential we protect ourselves with some form of life and/or disability insurance. Here’s ten reasons why:
Getting sick is inevitable
At some point, there’s a good chance you’ll be too sick to work over an extended period of time. Two out of five people could be unable to work for six months or more because of sickness or accident.
Many people die before the age of 65. Most of us think we’ll live to a ripe old age, but one in six males and one in nine females over the age of 30 will die before they reach 65. Life Cover pays a lump sum if you die, to look after the people you leave behind.
Recovery is faster without financial stress. Worrying about money doesn’t help recovery after an illness or injury. Insurance eases your concerns, so that you can relax and get better.
Of cancer patients, 52% of males and 59% of females will still be alive five years later.Treatment for cancer often makes it hard or impossible for people to work. Trauma Assurance or Critical Illness cover protects your lifestyle while you recover.
If you have a stroke, survival could mean ongoing disability. A study of the population of Auckland reveals that while the number of deaths after stroke has declined, there has been a significant increase in the number of people with an impaired level of consciousness and mobility following stroke. A lump-sum payment from Total Permanent Disablement insurance is a huge help if this happens.
Mortgage, mortgage, mortgage
You have a mortgage. Who would pay the mortgage if your income stopped, and how long could they keep it up? An insurance claim could be used to clear or reduce an existing mortgage.
Sickness is more likely to leave you with a long-term disability. Of disabilities lasting six months or more, only one in 20 is related to accidental causes. Insurance can help keep your household running while you recover. It can also fund rehabilitation and retraining to speed your return to work.
You’re a key income earner for your family. How long could your family survive without the income you generate? Insurance, such as Family Protection, provides an ongoing monthly income.
Help your partner
Raising a family as a solo parent is hard work. If you died suddenly, your partner or spouse would have the task of raising the children without your help. Life Cover can take care of your family financially, making it easier to maintain the lifestyle they’re used to.
ACC can’t always help you. Contrary to popular belief, you can’t rely on accident compensation in all situations. And you’re more likely to be disabled by illness than by accident – 40% of disabilities are due to disease or illness while only 34% are due to accident or injury. Insurance for illness and injury can help when ACC isn’t able to.