Income Protection – common questions
Answers to some common questions about Income Protection
VIPA Loss of Licence and Income Protection are both income replacement products. One major difference is the benefit period. This becomes important in the event of a long term illness or disability.
Currently CommInsure Aviation Cover Income Protection is the only individually assessed product in the marketplace which will insure commercial airline pilots to age 60. Sunsuper also have an offer with a 2 year benefit. Asteron will cover existing policyholders, but no longer accepts new applications.
Personal insurance has no standard choices. Each pilot has a unique set of circumstances. The priority for a young pilot may be a mortgage and family. An older pilot may be focused on retirement.
Loss of Licence can provide 85% of pre-disability income. If unable to work after 2 years, Income Protection can provide up to 75% of salary once Loss of Licence benefits cease.
CommInsure Aviation Cover Income Protection provides 24 hour coverage, anywhere in the world. Your injury or sickness does not need to occur during work hours.
If you don’t have a relationship with the adviser who wrote the policy, you could change the adviser to VIPA. VIPA will then receive revenue built into the policy. You should review the existing policy to ensure it still meets your needs. It is important not to make changes to an existing policy without receiving advice and written notification that a replacement policy has been medically accepted.
Contact Rachel Davis at VIPA on 1800 116 460, option 6. VIPA is working with Income Solutions to help you understand the options available. Rachel is the entry point to this service.
Rachel will refer you to Income Solutions to assist with all other aspects of financial planning such as superannuation, investment and retirement planning, risk and debt management, tax strategies and estate planning.
Founded in 1987, Income Solutions is a specialist financial planning firm licensed through Garvan Financial Planning, part of the NAB Group of Companies. They have offices in Melbourne, Geelong and Colac and clients all around Australia. Their technology accommodates secure electronic meetings and presentations.
They are not involved in speculative investment ventures. If you pursue such a venture, we suggest investing only a small portion of your money. Use the majority of your capital to implement a long term wealth creation plan. If the speculative venture does not work out, you can be secure knowing your capital is still working to secure your long term future.