Wealth Protection

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At any stage of life, protecting your accumulated or potential wealth should be an important part of your financial plan. Most Australians do not think twice about protecting their homes or cars for those unexpected events…but what about protecting the most important part of your financial future - the ability to generate an income? Consider the effects on your family, business or achieving your dreams when an unexpected event occurs and changes everything and you do not have a wealth protection plan in place.

Barwon Financial Planning can provide you with peace of mind by ensuring you and your family have an appropriate wealth protection plan in place to protect you, your family’s or business’ financial future.

Total and Permanent Disability (TPD)

Total and Permanent Disability insurance provides cover on the event you become totally and permanently disabled and are unlikely to work again.  This may be caused from a serious injury or illness. The TPD insurance can assist to cover the cost of rehabilitation, debt repayments and providing financial support to cover the cost of living.

Consider how you would support you and your family if you were unable to work again due to becoming totally and permanently disabled.  There would be a great emotional toll on you and your family however you can protect the financial side by having the appropriate cover in place.

Life Insurance

People have hopes and dreams about their future. They make plans like buying a house, getting married, having children or starting a business and will work towards these goals. However many do not consider what will happen if they were to pass away.  Will they be forced to sell the home because they cannot afford to repay the mortgage? Will your family be left in financial trouble? Or simply will the life you had hoped for your family will lost upon your passing?

This does not have to be the case with the right life insurance in place.  Life insurance provides a lump sum payment upon death to the nominated beneficiaries. 

Barwon Financial Planning can provide recommendations on the level and life insurance product that will provide
you cover to ensure your loved ones and their financial future is secured.

Income Protection

Did you know that over 60%* of Australians will be disabled for more than one month during their working life? And 25%** will be disabled for more than three months? Would you be able to financially support you and your family if you were unable to work due to sickness or injury for one month, 3 months, 2 years or more without a regular source of income?

**Source: Fabrizio, E (2007) Australia & NZ Disability Income

Income Protection will provide a regular replacement income, generally up to 75% of your income, while you are temporarily unable to work (for a selected period). 

The funds can assist in covering rent or mortgage repayments, cost of living and medical expenses and more.  Having Income Protection in place will ensure you are able to cover your day-to-day living expenses giving you the time to focus on your health and recovery.

Trauma (Living)

Are you aware that 1 in 5 men and 1 in 7 women will suffer a critical illness before age 64*

*Source: Rice Warner Report on Underinsurance in Australia 2011

Being diagnosed with a serious medical condition such as cancer, heart attack or stroke will not only affect you and your family emotionally but can also have a major impact on your finances which could cause additional unneeded stress.  Even if you have private health insurance in place, many health funds will not cover all the out-of-pocket costs associated with treating the specified illness or injury putting a financial strain on many families.

However you can ease this financial stress by having trauma insurance in place. This provides a one-off lump sum payment upon the event that you are diagnosed with a specified illness or injury.  This payment could assist you and your family to afford the best treatment available or pay for out of pocket treatment cost.  It may also be used to cover those bills and expenses that have built up whilst you have been off work or it may allow you to ease back to work rather than return to work before you have fully recovered.

Business Overhead Insurance

You have worked hard to build up your own successful business but what will happen to your business if you became sick or injured and could not cover the day to day cost of running your business while you are recovering?  You may have some revenue to cover for you a short period of time however what will happen when the business expenses start building up? Will you have to dip into your personal savings to cover expenses or even worse you may no option but to dissolve the business.

Think about all the overhead expenses involved with the day-to-day operations of your business, such as rent for premises, utilities payments, employee salaries, cost of maintaining equipment and property.  Would the business be able to cover such expenses?

Business overhead insurance can provide regular monthly payments to cover approved business expenses if you are unable to work due to sickness or injury.


Key Person Insurance

Key Person Insurance can allow you to continue the successful operations of your business upon the event a key person is absent due to sickness or injury.   Key person/s are those individuals that are crucial to the running of the business for example their knowledge or work is uniquely valuable to the company and if unable to perform their normal duties may cause significant financial loss to the company.

Key person insurance can provide monthly payments that could be used to:

– replace revenue that the key person would have generated

– pay for extra cost incurred in recruiting staff

– provide funds for training for the specialised role of the key person

Losing a key person can have significant impact the running of your business however having key person insurance can ensure your business can stay viable during this uncertain time. 

Children’s Benefit

To a parent, a child is the most precious thing in life.  From the moment you hold them in your arms you want to protect them, give them all the best that life can offer and hope they grow up and live a long and healthy life.  Unfortunately, life is not always fair with many children becoming seriously ill or diagnosed with a serious medical condition.  Regrettably sometimes we can lose children through these illnesses.

If your child is ever in this situation you want to be able to provide them with the best possible care, however many families can suffer great financial stress as a result.  You may want to take time off work to care for your child, or pay for temporary accommodation to be closer to your child or even just the mounting cost of the medical expenses can put a strain on any family.

Children’s benefit can provide financial relief for the family, paying a lump sum benefit if your child dies or suffers from a specific medical condition.  This will help ease the financial stress and allows the family to concentrate on what is most important.

Contact Barwon Financial Planning to discuss the right cover for you.