A successful income protection claim rests on your ability to provide relevant evidence of a serious injury or illness. For example, your insurer may require:
Your employer may also be contacted by the insurer, so they can back up any evidence you provide, as well as establish what your regular duties are.
The payment you receive is initially determined when you apply for income protection. It can be comprised of up to 70% of your pre-disability income plus 10% for a superannuation contribution. In total, up to 80% of your salary can be covered by your policy, although you can insure yourself for less.
The amount you’ll be paid each month may be affected by workers compensation, Centrelink benefits, and other sources of income you may gain access to during this period. You may also be paid less if you are only partially disabled (but still able to work), as opposed to being fully disabled.
There is also the matter of what type of contract you’d like to select for your monthly benefit.
Subject to the terms of your policy, you’ll have to go through a waiting period before you may be eligible to claim (waiting periods can vary from days to months, even years). Your first payment is generally paid one month following the completion of this period. If you want to continue receiving this payment, you may need to provide ongoing proof of your injury or illness.
Proof of your condition may require several forms to be filled out and submitted monthly. Need more information? Learn a little about the process of getting income protection.
The information provided here is general only and does not consider your personal objectives, financial situation or needs. Before you decide to purchase a product, it is important to read the relevant PDS.