Protecting Your Most Precious Asset
- By Wayne Lennan
- •
- 26 May, 2020
- •
Is it worth the risk?
When it comes to insuring children, you may think it won’t happen to my children. Or maybe you are unaware that you can insure your child or you simply don't understand how insuring your child can help the situation.
For example childhood cancer. On average, about 750 children aged 0-14 are diagnosed with cancer in Australia every year. This places Australia within the fifth highest incidence rate of childhood cancer among countries in the G201.
Some positive news for Australians is that the five-year survival rate in Australia between 2003 and 2012 was at 84%, which is equal to, or better than recent survival estimates from throughout North America and Europe, and we are estimated to have the lowest mortality rate among the G20 countries1.
With a high incidence rate and five-year survival rate, being able to access the best possible treatments can make a big difference.
The effect of a child becoming sick or injured can greatly impact many facets of your family life, from emotional to financial hardships.
It may be very important to ensure you are able to get the best possible medical attention for your children, but it can also be important to look beyond the medical costs and potential adjustments to your home. Being able to take the family on a holiday once your child has recovered, or in the unfortunate circumstances where a child's treatment has been exhausted, allowing some normality back into a child's life, and providing memories for all can be something to consider when taking out child cover.
Something else for you to factor in is the potential impact on your ability to work and more importantly, what emotional impact does this have on you? Taking time off work to take a child to treatment for lengthy periods negatively affects finances and may lead to difficulties in maintaining employment. Having to be there for your sick or injured child and seeing the impacts on your finances can lead to increased stress, which you may hide to 'be strong' for your child. Add to the mix having other children to look after, and you can find yourself really struggling.
This is where Child Cover can help. Child Cover pays out a lump sum of up to $250,000 if your child were to suffer a specified Child Cover Trauma condition or dies (37 specified Child Trauma Cover conditions). Importantly, you can decide how to spend the lump sum payment. More than one child can be covered on the policy, so long as they are insured for the same amount. The tax free lump sum payment can be used to meet additional expenses when you need it most.
You could use the money towards the following;
- Time off work to fully care for your child
- Accommodation stays so you can be close to the hospital
- Home or car modifications
- Meeting financial commitments, such as mortgage, child care or school fees if you are unable to work
- A nanny to help care for your child
- A much-needed family holiday once your child has recovered
If you have Private Health Insurance you may think this covers your family if your children have a medical problem. Private health insurance only covers hospital stays and some medical/extra expenses. It won't cover all rehabilitation costs, alteration to your home or long term nursing care.
So ask yourself, are you protecting your most precious asset? Is it worth the risk?
If you would like more information please don't hesitate to contact me for your free review of your insurances on 0412 49 42 43 or view my website www.insuranceforliving.com.au.
References: