Discover what the outbreak of a global pandemic means for protecting your greatest asset: you.

WHAT IS INCOME PROTECTION INSURANCE?
What is the most valuable asset you own? You. That’s right, your capacity to earn an income can amount to thousands, if not millions, of dollars between now and retirement. Income protection enables you to receive up to 75% of your income if you need to step away from work due to illness or injury. Plus, income protection is tax-deductible and affords you the space to focus on recovery without the financial stress of mounting debt and unpaid bills.

DOES IP COVER YOU FOR PANDEMICS? IF SO, WHAT IS THE WAITING PERIOD?
There aren’t any inbuilt exclusions for pandemics in retail IP insurance cover (there may be if you have default cover through your Super fund, this varies from fund to fund). For those with an existing retail IP policy obtained through your financial adviser, you are covered for coronavirus as long as:

• You contract the virus after your policy has started, and
• Your policy is in force, and
• You meet the other T&Cs of your policy (including your duty of disclosure)

For new policy applications (from Feb 2020 onwards), you’ll need to share additional information about any recent travel and potential exposure to the virus during your application. Depending on your response, you might need to complete further assessments.

The waiting periods for accessing IP insurance vary depending on your level of cover. If you or someone you know needs help understanding your policy they currently have or whether they need to take out a new policy, reach out to the Fox & Hare team here.