Loss of Income Protection
You wouldn’t drive your new car out of the showroom without first insuring it. Nor would you go on holiday without first ensuring you are properly covered in the event of a burglary or other disaster. But when it comes to protecting our income, there are many who simply shrug their shoulders and say: “it’ll never happen to me”. Is that a risk you want to take? Consider, for a moment the following example. You are aged 30 and earning R30 000 p.m.
You will work until you turn 65. What are you worth? We’ll assume no salary increases for the rest of your life in order to make the calculations simple. The income you will generate is a whopping R12 600 000! The unexpected can strike at any moment and it is vital to be prepared for it and to plan for situations where your income is at risk. Protection against loss of income is one way of ensuring your future.
If you run a small to medium-sized business, you know, if something happens to you it could mean the end of your business. Loss of income protection is not a luxury; it is a business-necessity. Consider the consequences for your business and your family should you require extensive medical treatment. It could ruin your cash flow and jeopardise your entire operation if you are unable to work for a lengthy period. Will your business handle such a setback? It’s a tough question that you need to answer. There is a simple, elegant, solution.