Go Amy Go
She was taken to the local hospital for examination and kept in hospital for 3 days. Her doctor was unsure of her slow recovery so other extensive tests were performed.
The diagnosis was not good. Amy, all of 25, a vibrant sales agent of 3 years had a tumour behind her eye.
The operation was successful but Amy had to forego her sport for 1 year. She was unable to drive for 6 months. Her boss was very supportive and replaced her with a temp for the time Amy was off work.
What would happen if you were unable to work? Where would you be without an income?
The ability to earn money is your most valuable asset so if your income stopped next Thursday, the last pay from your employer and the car payment was due on the following Monday plus the mobile phone bill. What would you do?
Amy’s best friend had a chat with her when she first began work about Income Protection because when she began work she had a car to pay off. Amy’s employer supplied her car and she did not have any vehicle debt at the time. She never looked at her superannuation hence did not know if there was any insurance protection in her superannuation.
About 18 months before the accident Amy decided to buy her first new car as she needed a car of her own for weekends.
Amy was off work for the full 6 months as her employment depended on her driving. She had no other income and felt terrible about depending on her parents for paying her bills and living expenses. Amy did have Medical Cover with Hospital extras but she nearly died at the extra costs.
The medical gap was around $2,500 plus the medications and therapy.
Support Staff pays
Amy’s parents were still working and had the funds to assist Amy at the time. If only……..
When Amy began her employment she had the opportunity to take out Income Protection at a very low cost. $10 per week would seem cheap but Amy decided against the idea.
The price of loss
Amy had to sell her car because her parents could not afford her car repayments as well as the mobile, extra medical expenses and living costs on top.
It took Amy another two and a half years to repay her parents. That was just the out of pocket bills not the extra food and living expenses. Amy’s boss agreed to her using the business vehicle for personal use to save her from the inconvenience of public transport.
If Amy had moved out of home and was living in a flat with the rent to pay and the energy/water bills and living expenses what would be the outcome?
Everybody that is employed and depending on income needs income protection. Protection of lifestyle and assets at the very least.