What is Income Protection?

Income protection cover is an important component in a basic life insurance policy. This feature ensures that you do not experience financial hardship as a result of illness or incapacitation. It may be used to cover medical expenses, mortgage payments or other bills. The insurance may kick in immediately after an illness or injury, or it may go into effect after your employer has paid out sick and disability leave. The income awarded with an income protection policy is generally a percentage of your previous income amount, and it is tax-free.

Types of Income Protection
There are many different types of income protection policies available. Plans will vary based on the length of the term, the time period in which they kick in and the amount of coverage that is included. This allows you to customize your income protection insurance to your specific needs and find the most affordable option for your family.