It was a sunny day in September 2012 and we were on our way to winning back-to-back premierships in the Queensland Cup. But as fate would have it, I wouldn’t make it to the end of that winning game. I was taken down in a tackle and knew immediately that I’d torn my ACL (Anterior Cruciate Ligament). I also knew what that meant — a full knee reconstruction and months of recovery.
Fortunately, I was back at work within 3 months. But, if I had been a tradesman or someone who worked on their feet all day, this recovery would have taken up to 6 months. I was also fortunate that I had private health insurance and the football club paid for my out of pocket expenses for the treatment (which were in excess of $5,000). I also had an income protection policy that paid out (after the waiting period) and ensured I could meet my day to day living expenses until I returned to work in full capacity.
I was one of the lucky ones. If I hadn’t had the financial support of my club and income protection insurance, then I would have been out of pocket tens of thousands of dollars.
Unfortunately, not everyone is so lucky. The financial burden of a sickness or injury can be devastating for some people and families. On top of the financial stress is the emotional stress of dealing with the curve ball you have been thrown.
A cushion in hard times
Long-time clients Jill* and David* received the awful news that David had cancer and was given less than 12 months to live. At this point, we stepped in to help take away some of the financial burden of this terrible news. We worked with Jill and David to plan for Jill’s financial future and managed the insurance process. Sadly, David passed away 4 months after his diagnosis. We were able to work with the insurer to have the claim paid within 3 hours of being submitted. Though our involvement during this time was not significant, it did take a bit of the financial stress off Jill and her family.
The last thing any family needs during such awful times is the stress of dealing with insurers and the tiring process of filling out forms. Financial Advisers are in your corner to ensure we get the best outcome for your family.
Lemons to lemonade
Peter* was referred to me by another client to implement his insurance. At the time, he was an active 40-year-old man with 2 kids. We put in place the necessary income protection, life insurance, and trauma cover. Peter initially pushed back on the trauma insurance stating he was fit and healthy and didn’t think Trauma was relevant to him. But thankfully after further discussion he went ahead with the recommended cover, because at the age of 43 Peter suffered a major stroke. 98% of people who suffer a stroke of that significance never leave hospital or care. Peter was one of the lucky 2% who walked out of the hospital and was back at work within 1 month.
Peter didn’t think to make an insurance claim at the time because he was back at work so soon after the stroke. He thought it had to be a life-threatening incident before he could make a claim. It was fortunate that I ran into his business partner at the football club and he explained the situation. I phoned Peter the next day to discuss everything with him and to get his hospital records. We lodged the claim, Peter was paid a lump sum payment, and he was able to buy a property with the trauma insurance money.
This is now a conversation we have with every client — if you ever have any health issues after an accident or other covered condition, you need to get in contact with us immediately and we will take over from there.
Don’t wait for a catastrophe
Many people are unable to see the real value of obtaining insurance or even getting professional insurance planning advice until some form of catastrophe strikes and they need to make a claim. It’s the ‘it will never happen to me’ or ‘it is simply too expensive so I will just hope nothing happens’ mentality. But sadly, it estimated that at least one in five Australians between the ages of 21 and 64 will be incapable of working at some point due to an unforeseen accident, injury or illness.¹
When our clients learn that their claim has indeed been paid, the relief that we see on their faces and hear in their voices are some of the main reasons that I have chosen this as a career. It’s what motivates me to go to work each day and ensure that a good risk protection or wealth protection plan is in place for my clients. I cannot stress how important it is to have a plan B. We all have some form of vision for our financial future but don’t realise how quickly that vision can be altered or taken away in an instant without an effective back-up plan.
We never know what life has in store for us, but being properly prepared ahead of time with adequate and well-considered insurance protection can provide peace of mind for those days ahead of us.
The team at WealthFit can help you be prepared and ensure you have the right wealth protection in place.
