4 types of insurance you probably need to review
June 7, 2019
While it may seem negative to think about something bad happening, insurance can help provide a financial safety net if something does happen.
Reviewing your insurance cover regularly can help you avoid paying premiums that aren’t getting you the service you need. Plus it can help make sure that if something does happen, you have the right level of cover for your circumstances.
1. Home and contents
When was the last time you checked what’s covered? Perhaps you were left some expensive family heirlooms or got a shiny new engagement ring. Most home and contents policies will ask you to specify items over a certain value in order for them to be covered. Modifications to your home can also affect the policy. If in doubt, check with your insurer.
2. Car insurance
Factors like where the car is stored and driven can affect the validity of your policy. For example, if you’ve moved interstate and never updated the policy address, your insurer may not need to pay out when you try to make a claim. Keep your car insurer in the loop and make sure you report any changes to the car that could increase the value. It’s also worth ringing around regularly to check you’re still getting a good deal.
3. Health insurance
Life circumstances change so your cover may no longer be suitable. Make sure you aren’t paying for services you don’t need. There have also been changes to the system, effective April 2019, with the Government introducing new rules about private health insurance, including new tiers and definitions. As a result your policy may have changed so it could be a good time to review.
4. The insurance through your super
One of the biggest benefits of your TelstraSuper account is the insurance that comes with it. But many of our members aren’t aware that they have insurance cover or what it means to have it.
As a member of TelstraSuper you may have the following types of insurance:
- Death
- Total and Permanent Disablement (TPD); and
- Income protection cover
Insurance through super can be cost-effective, as we negotiate bulk rates with the insurer on your behalf. It can also be more tax effective as the premiums generally come straight for your super account rather than your take home pay. The downside of paying for your insurance premiums from your super account is that it can eat into your retirement nest egg.
While we all hope to never need to claim, if you found yourself unable to work for a longer period of time, would you be able to cover your bills? You should review your cover to check it’s suitable for your personal circumstances.
If you need more information on insurance cover with your TelstraSuper account speak with a TelstraSuper Financial Planning Adviser for no additional cost – it’s included as part of your membership. Call TelstraSuper on 1300 033 166 Monday – Friday between 8.30am and 5.30pm (Melbourne time) or you can request a call back online.
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