Income Protection Insurance - Providing the Security of Regular Income

Income protection insurance also stands for IPI. This type of insurance policy is available in many different countries including Australia, New Zealand, Ireland, United Kingdom, and South Africa. This type of insurance offers benefits to those policyholders who are incapacitated and unable to work due to illness.

Income protection insurance or IPI previously used to know as permanent health insurance (PHI). So, overall it is fair to conclude that IPI and PHI are the same things. In this post, we will take you through a comprehensive guide and reveal all the information regarding income protection insurance. Knowing the facts will help you to understand whether the insurance policy is suitable for you or not.

About Income Protection Insurance

Income protection insurance pays income benefit up to 75% to the policyholders’ monthly pre-tax income. Policyholders will get the benefit if they become unable to work due to an injury or illness. They can also add rehabilitation benefits to their plan. It will help them to get back to work.

You can also control the limit of the income protection cover. But in that case, you have to depend on the policy terms and the insurer. Many companies offer income protection plan in South Africa, as well as in other countries. You can contact one of them and know about the insurance plan in details. Knowing all the facts regarding the policy will help you to make a smart buying decision.

Application Process

Buying an income protection policy is not as hard as it seems. At the first stage, you have to compare different insurance policy. It will help you to pick the best policy. In the next stage, you have to request a quote.

After that you have to review the policy in details. It will help you to choose a plan that will suit your need and come in your budget.

Finally, at the last stage, you have to apply for the policy. But before that, you have to choose a percentage of income that you would like to be paid in future. Meanwhile, you also have to choose the benefit period and waiting period.

These are all the information regarding income protection insurance. If you think that the policy is not suitable for you, then you can also consider buying other types of insurance policy. Life insurance can be a good alternative for income protection insurance. But before buying a life insurance plan, you should check the life insurance quotes in South Africa as well as in the other countries in the world according to your preference.

So, this is all for now. Hope the post has helped you to understand all the information regarding income protection insurance.