Social Security is The Reason You Need Personal Insurance
One of the advantages of living in a first world, developed nation is that we have universal health care and a social security system that provides basic levels of care for all Australians.
Yet, sadly, there is a persistent belief the social security system extends to providing financial support, not only to yourself but to your extended family, in the event of long-term serious illness, accident or death. Unfortunately, this is not the case and this common belief means that people may not sufficiently plan for the unexpected, nor put in place personal insurance strategies, and they don’t allow for liquidity in their estate or investment planning if something tragic happens to them.
The following is a list, broken down into categories, of the things the government or social security will NOT cover for people and their families:
Medical Expenses
- Pay for special medications or treatment
- Pay extra money for health emergencies
- Pay a lump sum for a defined event or illness
- Cover a person’s final death expenses such as funerals, medical expenses or hospital occupancy
Family Debt
- Pay off a mortgage to ensure the family does not need to move out during such hard times
- Pay off credit card or store debts
- Pay extra income to a widow
- Pay extra money for children’s education or health needs
- Provide and pay for children’s education expenses
- Pay local government, water, gas or electricity rates and costs.
It is important to remember the social security system will not deal with these issues and even where it does supply financial support it will fall short of a properly constructed protection plan, which can do all the above when purchased, completed and owned properly. Putting the right amount of money in the right hands in the quickest time is an economic responsibility.
Speak to us today, we are here to assist and provide you advice in this regard.