Does hearing the the words Life Insurance, TPD, Trauma and Income Protection make you run for the hills?
It is our job as advisers to ensure our clients achieve their individual goals. To do this more safely we have to make sure there are sufficient risk management structures in place.
The biggest objection to implementing insurance policies is often the cost of the premiums. Sometimes as advisers we end up feeling like old-school life insurance salesmen!!!
To put this into perspective I recently I had a client who was diagnosed with cancer. Luckily for him it was not terminal and he has since made a full recovery. I received a call from his wife the day he had been diagnosed by his doctor. She said “Remember that policy we set up a while back? Does it cover for cancer?” My response was “Yes”.
Whilst her main concern was for her husbands health, her second concern was “Are we going to be OK financially?”. 3 days later we had the claim forms from the insurance company. 5 days later the insurance company had paid the claim and the funds were in the clients bank account. As per their original plan the insurance proceeds were enough to pay off their mortgage. This allowed the client to concentrate on his health and not have to worry about the finances. As an adviser it really hit home that insurance policies are paramount as a risk management procedure.
Life throws curve balls, personal protection policies ensure that you can still achieve your financial goals, and more importantly concentrate on getting your health better, after all your health is your wealth.
Authorised Representative of AMP Financial Planning Pty Limited