Income Insurance: New Zealand faces an underinsurance crisis

The results of a recent survey of 1000 New Zealanders gauge their attitudes toward income insurance are far from stellar.

Intended to check whether any progress had been made on a $650 billion underinsurance problem identified in 2013 by the Financial Services Council, the Trade Me study showed very little change four years on: While 88% had vehicle insurance and 74% had home insurance, only 51% had life insurance and just 41% health insurance.

Income Insurance – Protect the most valuable asset with income protection cover

Personal risk insurance – such as life and income insurance is often perceived as less necessary than insuring personal assets – it couldn’t be further from the case.

Having an income protection plan in place promotes increased certainty and confidence in the future. It removes the mental burden of how to afford living expenses and provide for your loved ones. All things considered, income insurance is one of the most beneficial policies you can take out, and something the income insurance brokers at Ease think all workers should have.

Income Protection Cover made simple and affordable

While it’s definitely important to have insurance for your large assets, we’d argue the greatest asset you have is you and your ability to earn money for you and your family.

There’s less worry with an income protection plan. At a time of heightened stress, the individual and their family should be able to focus totally on finding new employment, not stressed and making hasty decisions in order to pay the bills.

It’s understandable that income protection cover is an afterthought to many. We so often think about getting a job and beginning employment that we don’t often think about what could happen to us while in it.

Income Replacement Insurance protects your loved ones and lifestyle

While people understand the message that they should protect their belongings, it’s still difficult to face up to the what-if scenarios that might necessitate income replacement insurance.

To change the situation, people had to be forced to consider how they might cope in a disaster scenario. We need to get people to have these conversations about income insurance: “what would I do, how would the kids and I cope if you weren’t able to work?”

The best part is that income protection insurance is affordable. With many coverage choices on offer, talking to Ease Insurance Brokers makes it simple to compare and choose the right income protection plan for you.