Protection Policies Assurance

Question 1

Critical Illness

Answer 1

Tax free lump sum in diagnosis of serious illness/disability such as cancer, heart attack/stroke
Can be stand alone

Question 2

Income protection insurance IPI

Answer 2

Replacement income unable to work die to disability or illness

Can be written to agreed term such as retirement

Pay regular monthly income

Paid until recovery

Can’t be cancelled by issuer for poor health long as premiums were paid

Benefits paid after deferral period (waiting period) 4-13-26-52-104 weeks depending on occupation
Longer deferral, less premium

Question 3

Accident sickness and unemployment ASU insurance

Answer 3

Pays income to unable to work due to accident/illness

Tax-free income if person can’t work through accident or sickness

Redundancy coverage is a option

Annually renewable- can be cancelled by insurer

Max age to take out and to receive benefits

Benefits limited to 50-60% of income

Contains deferral period; typically 30 days

Benefits cease after 1-2years