You are a money-making machine. You will generate hundreds of thousands, if not millions of euros in your working life. Isn’t it essential then to safeguard this income?
Income Protection: A Lifeline
If you were out of work for more than four weeks due to any illness, injury or disability, wouldn’t it be comforting to know you could receive up to 75% of your income until you could return to work? This is what income protection offers you. Unlike serious illness cover, income protection covers you for ANY illness, injury or disability that stops you from doing your job.
Consider an employee earning €80,000 entitled to state illness benefit of €220 per week (€11,440 per year). The maximum they can receive in total from the state, their employer, and their insurance company is 75% of their income. That’s a balance of €48,560 from the insurer and still much more appealing than trying to survive on the weekly €220 the state pays.
Why You Can’t Afford to Go Uninsured
We often insure our car, our house, even our smartphone, but why do we overlook our income, potentially our most valuable asset? If you’re earning €50,000 per year over a 50-year career, that’s €2,500,000 worth of income that’s going uninsured.
Worried about insurers not paying income protection claims? Fear not, as insurers paid 95% of income protection claims in 2017. Notably, Aviva paid out more than £1bn in individual protection claims for the third consecutive year in 2022, with a remarkable 98.3% of all individual protection claims paid last year2.
Affordable and Flexible
Even if you think you can’t afford to insure the full 75% of your income, remember that some protection is better than none. Insuring 50% of your income with a 26-week waiting period until age 60 is a much more secure position than having no income protection at all.
Safeguard Your Home and Lifestyle
Income protection is your promise to the bank that you’ll be able to pay your mortgage once your income protection payouts kick in. In essence, it’s a magic wand, protecting you from the risk of home repossession due to long-term illness.
Seek Expert Advice
With the average cost of income protection insurance in Ireland being around €40 per month for a healthy non-smoker, it’s worth considering safeguarding your future income. Contact Riordan Financial for expert advice tailored to your individual needs. They can guide you through the process, helping you secure the best possible terms for your income protection policy.
Remember, your income is your biggest asset. How would you cope if it stopped for one year or even longer? Don’t leave it to chance. Contact Riordan Financial today and protect your most valuable asset: your ability to earn an income. Learn more here.