ensuring our clients and their families are financially protected with the design and implementation of a bespoke risk management plan
At Reedy Advisory, we design risk management plans capable of financially protecting our clients from injury, illness, death or disability in a cost and tax effective manner. When putting together a risk management plan, we undertake a 'Needs Analysis' that assists us in identifying the types and levels of insurance cover required to mitigate the client's risks. The following types of personal insurance might be recommended: Life, Total & Permanent Disability, Income Protection and Trauma.
Life insurance pays out a lump sum benefit in the event the life insured passes away. This type of insurance can be paid for by superannuation but there are tax and cash flow considerations when structuring Life insurance. It is also important to ensure a beneficiary is correctly nominated on the policy and other estate planning issues have been considered.
Total & Permanent Disability (TPD) insurance pays out a lump sum benefit in the event the life insured is unable to work due to total and permanent disablement. This type of insurance can also be paid for by superannuation but there are tax and cash flow considerations when structuring TPD insurance. There are features such as 'Own Occupation' versus 'Any Occupation' that requires the guidance of an experienced insurance adviser.
Income Protection insurance pays out an income stream for a fixed period of time (benefit period) after the life insured has been unable to work due to sickness, injury or disability for a set period of time (waiting period). Income Protection can also be paid for by superannuation but there are tax and cash flow considerations when structuring Income Protection insurance.
Trauma insurance pays out a lump sum benefit in the event the life insured experienced a trauma event. A trauma event is a specified list of medical complaints that can be found in the relevant insurer's Product Disclosure Statement. The most common trauma events include heart attack, stroke and cancer.
Insurers manufacture personal insurance products with an array of features being offered at varying prices. Some features might be beneficial, while others may not. To ensure we recommend a product capable of mitigating the unique risks our clients are exposed to while ensuring a competitive price, we will undertake a comparison of all personal insurance products available in the marketplace. To reduce the impact of insurance premiums on cash flow and to minimise tax, we also provide advice on structuring the policies. After our risk management plan has been presented and consent to proceed has been provided, we will prepare the documentation required by the insurer to implement the policies.
In the unfortunate event of needing to claim on the policy, our team recognises that this can be a difficult time for our client and their family. For this reason, we streamline the claims process by being a single point of contact for both the insurer and the client. From our experience, this increases the chance of a successful claim, expedites the claims process, reduces unnecessary paperwork and provides our client with the space and time to deal with the underlying reason for the claim without the added pressure of handling the administrative process.
