Reduce Your Income Protection Premiums
Did you know there are a number of steps you can take to reduce your income protection premiums? Many people have to cancel their income protection policy when they can’t afford their premiums any longer. We have come up with 6 steps to help you save on their premiums, so you can keep your cover.
|Level of Cover||$6,250/month|
|Waiting Period||30 Days|
|Benefit Period||To Age 65|
Step 1: Increase your waiting period – Save up to 49%!
The most important question to ask is how long can you go without an income? The answer to this question will determine what waiting period options will be most suitable – from 14 days to 2 years.
|Monthly benefit||Annual Premium – 30 day waiting period||Annual Premium – 90 day waiting period|
Step 2: Decrease your benefit period – Save up to 23%!
The longer your benefit period is will make your premiums more expensive. While to age 65 is a popular choice, you may wish to reduce your benefit period to 2 years or 5 years to make it more affordable.
|Monthly benefit||To Age 65 Benefit Period||2 Year Benefit Period|
Step 3: Remove CPI Increases
Each year, your cover will automatically increase according to rises in inflation. You can opt out of this increase if you wish, which will stop your premiums from increasing due to the CPI increase.
Step 4: Only cover what you need – Save up to 66%!
The first question you should ask yourself or your adviser should ask you is how much do you need per month in order to cover your monthly obligations and living expenses. While income protection can cover up to 75% of your salary, you may not necessarily need this amount. Carefully decide what amount of cover would be most suitable for you.
Step 5: Compare Quotes
The first and most important step you can take is comparing quotes from a range of insurers. We compare some of the leading insurers in Australia who offer a number of products, benefits and options at a range of prices.
|Insurer||Monthly benefit||Monthly Premium|
- 30 year old male
- Stepped Premiums
- 30 day waiting period
- To Age 65 benefit period
|Monthly benefit||Annual Premium|
Step 6: Remove unnecessary options
Income protection generally offers a number of additional cost options such as bed confinement and day 1 accident cover. Considering removing some of these options to reduce your premiums.
Please note that while premium and saving amounts are based on real quote examples, they are examples only and may not be indicative of actual cover and savings available.
Get more value for money with Income Protection Plus which provides additional benefits and more options to choose from! Compare vs Standard Policies
Select insurers may help cover the cost of a rehabilitation program that is designed to get you back to work if you go on income protection claim
Income protection cover provides up to 75% of your income if you suffer a sickness or accident and are unable to work
Built in scheduled injury benefits on income protection policies can help tradies, miners & other manual occupations recover from accidental injuries
Income protection benefits provides up to 75% of income if you suffer a sickness or accident. Funds can help pay for your mortgage, living costs & medical expenses.
Premium waivers for income protection may be offered by select insurers while on claim & can be of benefit at claim time