An advantage of Life Insurance (and Total & Permanent Disability – TPD Insurance) being paid by your super fund – commercial employer or Self-Managed Super Fund, is not only saving having to pay the premiums from your take-home pay, but also that it has tax advantages in another entity – it is tax deductible against income earnings of the super fund. They are also deductible outside of super. Consider that you are protecting yourself but also the future security of your family as well. Generally the most cost-effective way to have Life & TPD is within your super fund. Life (also known as Term Life Insurance) and TPD do not have GST as they are financial products (neither does Income Protection insurance – see HERE).
Life Insurance ensures that if you die, or become total or permanently disabled and cannot work (medical verification will be required), your family receives a payout sum (as agreed at the start). There are different plans available, so check the fine detail and consult an expert or independent advisor who can quickly sort out the products that suit your circumstances. There are Term Life, which is the most common and Whole of Life which usually has an investment element involved but is less common these days.
Determine the level of cover you need – family needs, mortgage and debts, household financial commitments, future education costs, etc. Consider what is best for your spouse and family when you go – the ideal would be no mortgage and money to pay the big commitments, because with one adult and a young family, the remaining adult may not be able to work.
Why not get a quote and know your options? It is FREE and there are no obligations, you will be able to compare several offers and the premium prices. Call us and we can refer you to independent brokers in our trusted network who would be happy to assist you. Call today and be prepared! Ph 0407 361 596.