Should Farmers Consider Income Protection Insurance?
It is a known fact that every business or industry carries with it a risk factor. Farming is never an exemption. Your farm isn’t just a business; it’s also your bread and butter. The sustainability of your farm and your family’s lifestyle could be at risk if, for instance, you suffer a serious accident or injury. A decrease in income is unavoidable, especially when you are incapacitated from working because of an injury you sustained in an accident. It can happen more than you can expect. For this reason, farmers should consider income protection insurance.
What Farmers Should Know About Income Protection Insurance?
Income protection insurance gives you the security of having a replacement for your income when you are unable to work due to an accident, injury, or illness. If you have to make a claim, you’ll be given an income, normally up to 75% of your gross wages for a certain period. You can either get paid weekly or monthly, which gives you peace of mind while you are in your recovery period.
According to the Australian Securities and Investments Commission (ASIC), income protection may be advantageous for those who may not be protected by workers’ compensation agreements. In some cases, the policy may include an optional lump sum offer payable to your beneficiaries if you pass away or suffer a permanent disability.
Why Farmers Should Get Income Protection Insurance?
Income Protection Insurance is especially beneficial when you have regular household expenses to meet every month, like utility expenses. Your healthy credit status is in jeopardy if you miss more than one debt repayment.
Knowing that you will still receive a steady income from Income Protection Insurance while incapacitated, you can focus on your recovery without having to worry about how you are going to pay the bills.