- Published on 20 Sep 2014
- - Self Managed Superannuation
Personal Insurances – When a wake-up call makes you re-evaluate things.
Every now and again something happens in your life that makes you re-assess. Recently this happened to me, but on two separate occasions and within a couple of weeks of each other.
You can be the most careful and reliable driver in the world (not saying that I’m one), but the reality is your safety and wellbeing on the roads is not in your control.
In the space of two weeks, picking up kids and driving home from childcare I have experienced near misses of another car speeding on a freeway on-ramp, losing control and inadvertently changing lanes. Luckily all of this happened in front of us and an accident didn’t eventuate.
This incident was followed up in the same month by another vehicle running a red light in front of us as we attempted to turn right . Thankfully the car at fault slammed on his brakes, stopping in the middle of the intersection, narrowly avoiding an almost fatal collision and the driver (in the wrong) had the nerve of yelling abuse at those driving within the law.
Both accidents had the potential of leaving us with severe injuries or even much worse, through no fault of our own. You see, you can be just going about your daily routine and things untoward happen. You hope it’s not you or your family members who are affected, but the reality is it could be.
Faced with these potential accidents and potential resulting scenarios of not being around or not being able to work due to accident (or illness), I immediately wondered … have I got all my financial affairs in place to ensure sufficient financial resources to meet future personal/family expenses?
There’s two basic considerations we all should be protecting ourselves and family members (financial dependents) against. Scenario 1) Not able to work. Scenario 2) Not living.
There’s really no legitimate excuse you could come up with for not having adequate financial plans in place in the event of 1) Not working or 2) Not living. Income Insurance and Life Insurance are common personal insurances that you can’t afford not to have. They are fundamental to all families. They are a necessity to ensure future living expenses can be met, education costs for kids can be covered, and all mortgages (debts) be repaid.
There are differences in policies between insurance companies, differences in tax benefits depending on how your own/structure personal insurances, and differences in costs that can be minimised (within reason).
If you feel you need to re-evaluate your personal insurances in light of scenarios not working or not living due to circumstances out of your control, don’t hesitate to make contact with us on 9596 7733.