Secure your livelihood with income protection insurance policies

Every individual expects for a nourishing lifestyle and money is the most significant factor required for a wholesome upbringing. This is the inevitable element which determines the livelihood of an individual. Once the incoming flow of money gets stopped, leading life relaxingly becomes unsustainable. Hence, every person needs a source of money to continue their livelihood. However, sometimes, for some undeniable reasons continuing work becomes a daunting task. Does that indicate it’s going to be quite impossible for them to continue their regular life? Absolutely not as the beneficial income protection insurance policy is available. Read this article to learn more about this unique and effective insurance policy.
What is income protection insurance?
According to the insurance policy, it assures a particular amount of income to an employee when they are unable to work. This insurance policy provides a considerable percentage of their actual income for a particular duration of time. The rate of payout and the duration varies from company to company. The income protection insurance policy is very much in trend in New Zealand.
This insurance policy includes two types of payout –
•    A replacement income – A fixed amount of the real income is paid on a monthly basis to the policyholder, whether working or at home.
•    Excess contribution goes to the superannuation fund – Some policies offer more than the usual payout percentage. In this case, the extra amount is added to the superannuation fund of the policyholder.
Learn the major advantages of income protection insurance
It may happen that an employee is not able to work due to sickness or injury. It is quite obvious that in that specific period of time, they won’t be paid the salary. However, the income protection insurance policy stands as a backup plan. It ensures paying a certain percentage of their actual income for a particular span of time. Well, this is the basic concept. However, there are numerous others profitable factors which an income protection insurance policyholder can enjoy such as—
•    Free interim covers are provided while the application is getting processed.
•    The payout rate increases in every three years without any medical
•    They get 75% of the total monthly income as monthly payment
•    The premiums are earned in it are completely tax deductible
•    The policy covers both sickness and accident conditions
•    The future policy increases are automatically included
•    The cover is accessible throughout the year
•    Income benefits for partial disabilities
A reliable online financial service consultant to visit
Some individuals find it very difficult to understand the terms and conditions, pros and cons of insurance policies. Hence, they need a skilled professional by their side that can help them to make out the insurance policies in a better way.  Custom Financial Solutions is a renowned financial service consulting firm which offers profitable income protection insurance policies to their clients. Log on to customfinancial.co.nz to contact them. Individuals are suggested to read other articles accessible online to learn the income protection insurance in a better way.

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