Do not let your illness get in your way of getting monthly income! Everything could happen in the blink of an eye. You wouldn’t expect when your health will be dropping or getting yourself into bad accidents. Protect yourself and your family by invest in income protection insurance policy Malaysia.
Income protection insurance pays out part of your income when you come to a situation where you cannot work cause of illness or injury. This policy is suitable for everyone, especially for people who are self-employ and small business owners. These people depend on their income monthly and don’t have any additional payment out of it. Those who have ongoing debt such as mortgages also need to invest in income protection insurance.
How Does it Work?
Income protection insurance will cover the days you are unable to work until you can get back on your feet again or as long as you retire.
The policy would not pay the same amount as your current salary, it will likely pay from 50% to 65% of your salary. This is because of the state tax needed to be paid by the insurance company. Your income protection payment is excluded from tax.
Income protection insurance covers most of the illness but remembers to check with your insurance company on their own specific policy. Some companies would not pay out on illness you had prior to signing up for the policy.
You can claim the money as much as you can as long as it is the policy’s period agreed between you and your insurance company.
Before You Buy Income Protection Insurance
If you have available health insurance, check with your insurance company on which policy is better for you to take. Check also if there is any policy for changing your insurance type or having double health insurance.
Check with your insurer on the types of illnesses they will cover. If they didn’t ask for your medical history, they are likely to cover a wider range of major illnesses.
Think about the amount of your savings that might help you to live on after you become disabled. However, savings are not guaranteed to help you after years. Having income protection insurance gives you additional monthly payments out from your savings.
Confirm with your insurer the waiting period for the policy. Most of the time, the waiting period is from four weeks up until two years. The total money you pay for the insurance may be cheaper when you have a longer waiting period.
Ask your insurer how much will you get from the policy when the time comes. This is important especially when you are selecting your levels of payment.
Read everything in the document! All the smaller fonts need to be read cautiously. This is to prevent the insurer doesn’t want to pay you out when you are injured.
Conclusion
Investing in an income protection insurance policy is a good thing for yourself and your family. We need to be prepared for everything that will come in the future.
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