Personal insurance advice
Life is full of surprises, so you need to be prepared for a range of scenarios to make sure you and your loved ones are protected financially.
The financial consequences of being inadequately insured can, quite literally, be devastating – particularly for those with debts or young children.
Without the protection provided by personal insurances, death and disability can put at risk the quality of one’s retirement, reduce a family’s ability to afford a comfortable lifestyle, and even lead to the loss of the family home.
At LDB, we can help you navigate the range of risks and tailor a suitable mix of personal insurances to meet your needs.
Types of personal insurance
There are various types of personal insurance, including:
- Life insurance: Pays a lump sum benefit on the death of the person insured.
- Total and permanent disability insurance: Pays a lump sum if the insured meets the definition of being totally and permanently disabled.
- Trauma insurance: Pays a lump sum if the insured suffers one of the specified illnesses or injuries. Examples of illnesses that are commonly covered include malignant cancer, heart attack, stroke, heart disease, organ transplant, blindness, loss of speech or deafness.
- Income protection insurance: Pays a regular income if the insured is unable to work due to sickness or injury. Waiting and benefit periods apply.
Each type of insurance addresses a specific risk, and while some general rules of thumb based on stage of life can be used as a guide to designing a personal insurance portfolio, the fact is everyone and every family is different.
Not only that, needs change constantly and rapidly as children arrive, jobs change, mortgages are paid off and savings grow.
Things to consider
While the main role of personal insurances is to protect individuals and their families, they also have a role to play in:
- Estate planning, for example, helping to balance benefits where indivisible assets are involved.
- Business protection, through key person insurance.
- Business succession planning, to provide a means of funding buy-sell agreements.
This highlights the need to seek expert advice when designing a personal insurance portfolio that complements the overall financial plan.
Peace of mind
LDB’s experienced financial planners are able to provide an objective view of each client’s situation, help them understand the range of risks they face, and recommend how these can best be prioritised and managed through an appropriate mix of personal insurances.
This includes assessing who should own which insurance policies, and which insurances can or should be held via a superannuation fund.
The ultimate goal of a sound insurance strategy is to achieve the peace of mind that comes with knowing one’s family is fully protected. Are you sure your family is fully protected?
Put your mind at rest.
Give us a call on (03) 9875 2900 or fill in the contact form below and let’s arrange a time to review your personal insurance needs.
LDB Wealth Solutions Pty Ltd is an Authorised Representative (no. 257930) of LDB Financial Group Pty Ltd ABN 83 161 933 777
Australian Financial Services Licensee: Licence Number 437164
LDB Superannuation Services Pty Ltd is an Authorised Representative (no: 1253818) of LDB Financial Group Pty Ltd ABN 83 161 933 777