If you’re single, you might not see the value in life insurance.
However, you might now know that life insurance not only refers to a specific type of cover that provides financial support for your loved ones if you pass away, but it also refers to a range of products that cover you when you’re seriously ill or injured.
These products can include trauma insurance, total and permanent disability cover and income protection, as well as life insurance. These other products can provide you with a different type of cover (either a lump sum or monthly benefit payment) if you became seriously ill or injured and, and in most situations, unable to earn an income.
If you’re single or living without any dependents, here are some of the ways a life insurance product can help provide financial security when you’re ill or injured and off work for an extended period of time.
Income protection can provide you with up to 75% of your income if you become sick or injured and unable to work for an extended period of time. This can help you continue to cover everyday living expenses such as bills, groceries or loan repayments.
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If you have any loans, credit card debt or a mortgage, there is comfort in knowing that you would still be able to cover these expenses if you were ill or injured and unable to work for a long time.
Income protection can provide you with the confidence that you would be able to cover many of your expenses until you can recover and get back to work.
Although many people have health insurance to assist with the medical costs that come with being seriously ill, it’s important to know that depending on your level of cover, you may still need to cover some of your treatment costs.
Trauma cover provides a lump sum payment if you are diagnosed with a condition covered under your policy. The range of conditions covered by trauma cover will depend on what product you purchase but can include conditions such as cancer, heart attack or stroke. With this type of cover in place, you would have financial support when facing a serious illness or injury, which can be used to cover ongoing living expenses or any costs associated with your medical treatment.