Any of us could lose our jobs at any moment because job security is not guaranteed in today’s economy. However, if you get yourself covered with redundancy income protection, you can at least be guaranteed of some income after your job finishes.
Redundancy Insurance can also go by the names of Salary Insurance or Loss of Job Insurance, but they all mean the same thing. If your employer makes you redundant (and it wasn’t your choice), then this income protection will pay you money every month, starting one month after your redundancy.
Main Features of Redundancy Income Protection
Starting off with your first payment that comes one month after your redundancy, your will receive insurance payments for up to 6 months after that whilst you’re looking for new work. This is often a vital lifeline for many people, who are tied up in many financial obligations, such as mortgage, bills, and car payments.
Furthermore, many people choose to get themselves covered with income protection insurance as it means a less stressful time whilst seeking new employment. Basically, a person does not need to change any financial arrangements as they can meet their regular payments, and that means no need to move home or possibly sell a car.
Having this kind of income coming from insurance payments also means you can take a little more time to find the right job, and you won’t have to fall into the trap of taking the first job that comes along as a necessity. We all know that it can take several months to find a new job, and so with money coming in from insurance, you can stay on top of expenses and buy yourself time.
The Benefits of Redundancy Income Protection
The Work and Income Department of the New Zealand Government (WINZ) currently provides little over $210 per week as unemployment benefit for people aged over 25 years old (rates vary according to your age, marital or parental status). Unfortunately, this isn’t enough for most people to keep up with their payments if they are ever made redundant.
It’s not a good idea to wait until the day you are suddenly made redundant and then seek insurance, as that would be too late. If you have a lot of financial obligations now, then it pays to think of your future and get yourself covered in all eventualities.
It’s definitely worth asking for a no-obligation quote, to see how much payment you’d be guaranteed, and how much that would cost you. Remember that most policies say you cannot be made redundant within the first six months of having the policy, so it’s always best to apply as soon as possible.
Ease Insurance have been servicing customers since 2001 and is a leading arranger of life, income and health insurance. We have clients all over New Zealand, which is why we have set up a freephone number you can call, which is 0800 141 889. Our offices are located at Suite 6a, 114 St Georges Bay Road, Parnell, Auckland 1052, or you could send us an email at firstname.lastname@example.org. It is also possible to use the contact form on our website, leave your request with us, and we’ll get back to you.
- 22 Feb, 2018
- Andrew Ball
- 0 Comments