Many of us have home contents, health and car insurance, but when it comes to personal insurance such as life and income protection, we seem to not want to know – but we should, says Amanda Cassar, advisor at Gold Coast financial service Wealth Planning Partners. “It may not seem important when you’re healthy, but what will happen if this suddenly changes? Who’ll take care of you and your finances?” she asks.
Cassar suggests speaking to a financial planner regarding your individual situation, the type of cover required and the amount that you’d need to see you through.
Insurances are generally cheaper when you pay the whole year in advance so if you can afford to do this, it’s worthwhile. It’s also worth checking your super to see whether any life insurance is included ( this is often the most cost-effective way of having it) or can be paid out of your fund to free up cash flow.