Income protection is a crucial part of a financial plan, safeguarding your greatest asset—your income—by providing coverage in case of illness, injury, or inability to work, with flexible options for structuring policies based on individual needs. The Bongiorno Group’s risk advisers Tom Will and Yanish Geerdharry, discuss the various options of income protection.
 
It’s vital, they insist, to secure income protection early when you’re healthy, as underwriting becomes harder over time. Income protection policies generally cover up to 70% of your income, which is subject to tax. Policy costs vary based on age, health, and occupation, with premiums generally not exceeding 10% of annual income. Structuring income protection within or outside superannuation has tax benefits, but personal circumstances should guide decisions.
 
This general advice has been prepared without taking account of your objectives, financial situation or needs. You should consider the appropriateness of this advice before acting on it. If this general advice relates to acquiring a financial product, you should obtain a Product disclosure Statement before deciding to acquire the product.