Protecting your financial wellbeing is an important part of any financial plan. Personal insurance strategies are designed to help provide financial support in the event of illness, injury or unexpected life events.
Life insurance may provide financial support to dependants in the event of death, while income protection insurance is designed to replace a portion of income if an individual is unable to work due to illness or injury.
Understanding the different types of insurance available can help individuals consider how financial protection strategies may form part of a broader financial plan.
At THT Financial, we provide general information to help clients understand the role of personal insurance and how these products may help protect financial stability.
What is personal risk insurance?
Personal risk insurance is an important way of assisting you and your dependants to be financially supported in the event of serious illness, disability or death. If your ability to earn an income is affected, a personal risk insurance policy may enable you to maintain your current lifestyle and continue supporting those who depend on you.
Life insurance
A lump sum payable on death or terminal illness. This can help support your dependants to maintain living standards or pay off debts.
Total and permanent disability (TPD) insurance
A lump sum to help support you if you are totally and permanently disabled due to illness or injury.
Income protection insurance
A monthly income stream to help support you if you are temporarily unable to work because of illness or injury.
Trauma insurance
A lump sum to help support you if you are diagnosed with a specified major medical condition (e.g. heart attack, stroke or cancer).