As all prices seem to be rising around us, the last thing we need is an unnecessary expense. Australia is among many other nations that appear to be penny-pinching and being extra cautious when it comes to their dosh.
One word that we could all do without hearing is ‘insurance’. In recent years, more people are living without it than ever before, but where does that leave us? Though it is unfortunate, it is an absolute fact that insurance is one of the most crucial things we can spend our hard-earned money on. If you’ve ever relied on an insurance policy, you will know how much of a difference the right policy can make. Today, we will be discussing total and permanent disability insurance (TPD) and how it may be one of the most important things you ever buy.
Is TPD Insurance Not provided through Super?
The majority of people who have paid into their superannuation fund are likely to have some level of TPD insurance. However, this will likely be at the lower end of the scale and not cover many injuries, accidents, or illnesses. It is always worth looking into what you are entitled to through Super and upgrading the slightly weaker areas of your insurance policy. Additionally, it doesn’t cost too much to invest in a policy that will cover you for anything unfortunate that may come your way.
When is it worth paying a higher premium?
Insurance premiums can be frustrating, but as long as you are with a reliable insurer, it is always worth paying a little extra. Of course, if you are someone with substantial savings or assets, it may not always be necessary, but for most people, it is a must. If you have financial commitments or an occupation that you either rely on or includes physical work, then upgrading your TPD insurance is the right way to go. The right insurance will give you peace of mind like never before and ensure you are prepared for anything that might come your way in the future. Furthermore, when opting for TPD and many other insurance policies, there are different options for paying your premiums. One is a rising scale that will start low but increases with age. The other is a fixed rate that doesn’t increase but will start a little higher, so this is also something you should consider before purchasing a policy.
Final thoughts
TPD is there to give you financial assistance when you are faced with a disability caused by injury or illness and are unable to work again. There are various forms of this insurance, so it is worth taking your time before considering a policy. It is even possible to purchase TPD insurance if you have a pre-existing condition that you are concerned about, too. Whatever your level of concern for the future, it is certainly worth planning for events that are out of our control. Disabilities affect millions of Australians, so it is undoubtedly wise to play it safe.
