Online services allowing consumers to comparison shop more easily among income protection insurance providers have made it possible for 34 percent of insurance buyers to save $550 or more. This has brought the cost of a policy down to the level where skipping two coffees a day or a couple of takeaway pizzas per week can buy you invaluable peace of mind and unparalleled protection for loved ones.

Thousands of consumers are taking advantage of the significant savings available. With the chance for consumers to get coverage for as low as $6.50 / day, anyone can afford income protection insurance, and with rising household expenses, no one can afford to skip getting a policy.

IncomeShield.com.au is a trusted online service which facilitates easy comparison shopping for vital income protection insurance. Input simple information about your gender and answer a few other quick questions about your coverage needs and you can find insurance policies offering savings of as much as 20 percent per month. Now is the time to act as you never know what tomorrow could bring.

Many people assume that they will have enough life insurance protection (including income protection insurance) through their superannuation fund but this is rarely the case.

The amount of income protection insurance that will realistically be needed by most families will be far higher than this to enable them to continue to meet everyday living expenses, even if the main earner in the household cannot work due to illness, injury or disability. Without income protection insurance, most families would find it extremely difficult to cope financially and could even spiral into significant debt and homelessness.

Buying the right level of income protection insurance doesn’t have to be anywhere near as expensive as you might think. Consumers can get impressive value for money by shopping around for the best deal. Using free comparison websites such as www.incomeshield.com.au has helped thousands of Australians to purchase enough income protection insurance for the equivalent of a cup of coffee or two per day.

At www.incomeshield.com.au, we compare quotes from 13 of Australia’s major underwritten insurers. In just a few quick clicks, consumers can start to assess their income protection insurance options. These policies are up to 30 per cent less expensive than their “as seen on TV” counterparts thanks to the lack of markups, and broader coverage into the bargain.

Thousands of Australian consumers have already made significant savings by using the likes of www.incomeshield.com.au, to compare income protection insurance policies, and it’s so simple to join them.

Their Income Protection Insurance Cover

NobleOak Life do not offer a stand-alone income protection insurance product. Instead, the

My Protection Plan Product includes income protection cover (known as Salary Continuance Cover), along with Life, Trauma, Total and Permanent Disability and Business Expenses insurance cover.

From an income protection insurance standpoint, the My Protection Plan Product includes own occupation cover (if the policyholder is unable to perform work duties relating to their occupation), with the following features:

• A maximum sum insured of $25,000 per month (or the equivalent of $300,000 per year)
• Indexation of at least 3 per cent, up to a maximum of 5 per cent per year (up to the age of 60)

• Partial Disability Benefit

• Specified Injuries and Sickness Benefit (for between 3 and 6 months but not available for policies with waiting periods of less than 90 days ; if diagnosed with one of the listed conditions)

• Recurring Disability Benefit

• Rehabilitation Benefit (for up to 6 months)
• Spouse Benefit
• Claim Increases after 12 months on claim (for the lesser of the Consumer Price Index or 5 per cent)

• Nursing Care Benefit

• Waiver of Premium (while the policyholder is on claim)

Income protection insurance is also included in the Fifty Plus Life Insurance product, with the same features as the My Protection Plan policy.

Eligibility
Salary Continuance Cover can be arranged between the ages of 16 and 60 and policies end at age 65.

Their Income Protection Insurance Cover

AMP offer several income protection insurance products:

The Flexible Lifetime Protection option allows up to 75 per cent of the policyholder’s income to be insured – up to a maximum of $320,000. Income beyond this can still be protected at a lower percentage. There are 4 cover levels: Basic, Standard, Advanced and Self-Managed Super Fund (SMSF). There are various built-in benefits attached to Flexible Lifetime Protection cover (although some of these are not available on all policy options):

• Partial Disability Benefit
• Guaranteed Future Insurability
• Rehab Costs
• Rehab Bonus
• Return to Work Bonus
• Worldwide cover
• Major Fracture or Loss feature (Advanced cover only)
• Trauma feature (Advanced cover only)
• Death feature (not available on Basic cover)
• Bedcare feature (Advanced cover only)
• Domestic & Transport Benefits (Advanced cover only)
• Accommodation Benefit (Advanced cover only)
• Family Support Benefit (Advanced only)
• Superannuation Contribution Option
• Day 1 Accident Option (not available on Basic cover)

Self-Managed Super Fund (SMSF) option does not include the Rehab Costs, Rehab Bonus or Return to Work Bonus features.

The AMP Elevate option offers 7 income protection plans. For non-super cover, there is the Income Insurance Premier Plan, the Income Insurance Plus Plan, the Income Insurance Plan (the most standard option), the Income Insurance Senior Plan (which is available as a conversion from eligible plans) and the Business Expenses Insurance Plan. For in-super cover, there is the Income Insurance Superannuation Plan. For those who would rather manage their income protection cover by themselves, there is also the Income Insurance Self Managed Super Fund (SMSF) Plan.

The Income Protection Plan includes benefits for Total and Partial Disability (both duties based), Indexation, Interim Cover, Premium Freeze, Recurring Disability, Waiver of Premium, Elective or Cosmetic Surgery, Rehab Expenses,Return to Work Bonus, Specific Injuries and Sicknesses and Unemployment Continuation.

The Income Insurance Plus Plan includes the same benefits as the Income Protection Plan, along with added benefits relating to Death, Family Carer’s Income, Accommodation and Home Nursing.

The Income Insurance Premier Plus option includes the same benefts as the Income Protection Plan, plus Total Disability benefits (hours, income and home duties based) and a full benefit where no appropriate work is available.

The Income Insurance Superannuation option includes Total and Partial Disability (duties based), Indexation, Interim Cover, Premium Freeze, Recurring Disability and Waiver of Premium benefits.

The SMSF is much the same as the Superannuation plan.

Optional add-ons on the Elevate options include Accelerated Accident (excluding the Senior Plan), Cover Boost (excluding the Senior Plan), Increasing Claim (excluding the Senior Plan), Accident Lump Sum (excluding the Senior Plan) and Occupationally Acquired HIV and Hepatitis B and C benefits (only available on the Premier and Plus Plans).

Eligibility

For Basic Flexible Protection Lifetime cover, eligibility starts at age 19 and runs through to 49. For the other Flexible Protection Lifetime cover levels, eligibility starts at the same age  but can be until age 54 or 59 (depending on the chosen Benefit Period).

MLC Life is now one of Australia’s leading insurers and is the second largest superannuation provider. They provide investment, superannuation and private wealth products, as well as insurance. In addition to income protection insurance, they also offer life, TPD and critical illness cover.

Their Income Protection Insurance Cover

MLC offer several options for income protection insurance:

Income Protection is a stepped down policy with basic benefits and is ideal for those on a tighter budget. Built-in benefits include Rehabilitation Expenses, Rehabilitation Bonus (of 50 per cent for Total Disability or Permanent Disability for up to 12 months while undergoing rehabilitation to get back to work but not available for in-super income protection insurance cover), Premium Waiver Benefit, Recurring Disability Benefit and Elective Surgery Benefit.

Income Protection Platinum is the broadest level of income protection insurance available through MLC. It goes beyond the Income Protection option. The definition of Total and Permanent Disability (TPD) is more flexible for Platinum cover compared to the Income Protection option. This cover option also includes the opportunity to choose a Lump Sum Benefit to receive monthly benefits as a lump sum if the policyholder becomes Totally and Permanently Disabled.

Income Protection Special Risk is designed for “hazardous” occupations. It has the same benefits as the Income Protection option, except for the opportunity to increase cover without the need for further medical evidence.

Optional benefits include Indexed Claim Benefit, Short Waiting Period for Accidental Injury Benefit, Critical Illness Benefit and Advance Payment Benefit. These optional extras can be arranged in exchange for higher premiums.

Up to 75 per cent of the policyholder’s income can be protected for earnings of up to $320, 000. For earnings above this, between 50 per cent and 25 per cent of income can be insured. Those earning in excess of $2.36 million are eligible for protecting any percentage of their income.

Key Features of Their Income Protection Insurance

MLC Life offers a Premium Waiver in which income protection premiums can be temporarily suspended if the policyholder becomes unemployed through no fault of their own.

Eligibility

The definition of Total and Permanent Disability (TPD) varies depending on the cover level. For the standard Income Protection option, the policyholder is usually required to become totally disabled and unable to earn any form of income. With the Income Protection Platinum option, the policyholder can still work for 10 hours per week without jeopardising their income protection benefits due to the more flexible rules surrounding TPD.

TAL have won various awards for their income protection insurance. This includes Best Featured Income Protection Insurance from the Money Magazine Best of the Best Awards from 2011 to 2014 and Cheapest Income Protection Insurance from the same awards in 2013 and 2014. They were also voted Income Protection Award 2013 by the Association for Financial Planners/Plan for life Awards and Best Income Protection (Accelerated Protection) 2013 at the AFR Smart Investor Blue Ribbon Awards.

Their Income Protection Insurance

TAL have three tiers of income protection insurance: Standard, Premier and Optimal.

The Standard Income Protection Plan includes :

• Total Disability Benefit

• Partial Disability Benefit

• Death Benefit (a lump sum equal to 6 times the insured Income Benefit, up to a maximum of $50,000)

• Inflation Protection Benefit

• Concurrent Disability Benefit

• Recurrent Disability Benefit (if disability recurs within 12 months of returning to work)

• Premium Waiver Benefit

• Family Support Benefit (up to a maximum of $3,000 per month for a maximum of 3 months if an immediate family member needs to give up work to care for the policyholder)
• Housekeeper Benefit (up to a maximum of $3,000 per month if a non-family member has to care for the policyholder)
• Extended Care Benefit (if the policy has been held for at least 10 years and a claim has not been made in the previous 13 months, TAL will keep paying beyond the plan end)
• Bed Confinement Benefit (if confined to bed for at least 3 days during the waiting period due to Total Disability)

• Elective Surgery Benefit

Blood Borne Diseases Benefit (for medical professionals)

The Premier Plan also includes:

• Child Care Benefit (up to $500 per month for the outside care of children aged under 12)
• Child’s Critical Illness Benefit (up to 3 times the insured Income Benefit if the policyholder’s child suffers a specific medical crisis, up to a maximum of $25,0000)
• Rehabilitation Benefit (50 per cent of rehab expenses can be covered)
• Overseas Assistance Benefit (to cover the cost of emergency transport back to Australia from abroad if Total Disability occurs for more than 30 days)
• Accommodation and Transport Benefit (to cover costs of up to $250 per day for up to 30 days if Total Disability occurs and the policyholder must travel over 100 km for treatment)
• Job Security Benefit ( 1 month benefit can be paid to the policyholder’s employer if Total Disability occurs for 2 months)
• Involuntary Unemployment Benefit (up to 3 months of waived premiums if the policyholder becomes unemployed through no fault of their own)

The Optimal Plan allows the policyholder to insure up to $30,000 per month of their income and includes additional built-in features such as Recurring Claim Benefit and Inflation Protection Benefit.

Their Income Protection Insurance

OnePath’s income protection insurance product is EasyProtect, which allows the policyholder to insure up to 75 per cent of their income in the event that injury or illness affects their ability to earn an income.

EasyProtect includes Major Illness and Injury Benefit, which allows up to 75 per cent of pre-claim income to be protected. This is capped at a maximum of $10,000 per month for standard risk occupations and $3,000 per month for special risk occupations. It also includes a Recurrent Disability Benefit (in which waiting periods are waived if disability recurs within 6 months of returning to work) and Indexation (to keep pace with inflation, unless specifically declined or unless the policyholder reaches the maximum monthly Income Benefit or maximum insurance sum for Total and Permanent Disability Benefit).

Eligibility

EasyProtect income protection insurance is available to permanent residents of Australia or New Zealand, who are aged between 18 and 59. Policyholders must be working at least 20 hours per week as an employee or self-employed business owner and have been in continuous employment or self-employment for 12 months in the previous 24 months before buying income protection insurance.

No medical tests are required for a successful application. A few health-related questions may be asked but health checks are not requested. Although pre-existing conditions will not affect the likelihood of being accepted for EasyProtect cover, they will have an impact on whether claims will be successful. Any pre-existing conditions in the previous 2 years before buying income protection insurance will not be covered and cannot be claimed for if they lead to disability and inability to work.

Customer Rewards

OnePath have a strong partnership with Quantas, which can be beneficial for policyholders with Quantas Frequent Flyer membership. Customers will earn 1 Quantas Frequent Flyer point for every $1 spent on OnePath insurance premiums. This extends across their range of insurance products, including income protection insurance.

New customers are eligible for a one-off cash back Healthy Living Bonus if they do not make a claim in the first year of their cover.

Their Income Protection Insurance

Essential Care is  the most basic level of cover and is accident only. Because of this, it offers discounted premiums compared to other cover levels. It is only available as part of Income Care except as an in-super product with the Total Care Plan Super or the SMSF Plan.

Income Care offers policyholders to protect up to 75 per cent of their income in the event of illness or injury preventing them from being able to work. It includes optional extras such as Recurrent Disability Benefit, Reward Cover Benefit (up to $1,000 of accidental death cover after 3 years of cover), Rehabilitation Expense Benefit and Unemployment Cover Benefit (to assist with the costs of minimum loan repayments for a maximum of 3 months). The latter two benefits are not available for in-super policies. It also includes Business Overheads cover.

Income Care Plus is the broadest income protection policy available through CommInsure. It offers the same benefits as Income Care policies, with extra Rehabilitation Expense benefits and Home Care, Specific Injuries, Medical Crisis, Family Support and Transport benefits.

Key Features of Their Income Protection Insurance

CommInsure’s income protection policies are customisable in terms of waiting periods, benefit periods and the level of income that can be insured. The maximum is 75 per cent but policyholders can choose to protect a lesser amount than this in exchange for lower premiums, for example.

For both Income Care and Income Care Plus policies, premiums are waived if Total Disability or Partial Disability benefits are being paid out. There will also be no premiums for up to 6 months if the policyholder becomes unemployed or experiences financial hardship.

There is Automatic Indexation on policies to keep pace with inflation.

Eligibility

Successful applicants will be in full-time or part-time employment for a minimum of 20 hours per week. Those who are in “heavy risk” or “specialist risk” occupations will usually be refused Income Care Plus cover.

Their Income Protection Insurance Cover

There are several types of income protection insurance available.

Income Protection

This is the most basic form of income protection insurance and includes plenty of key benefits, such as:

• Total Disability Benefit
• Partial Disability Benefit
• Elective Surgery Benefit
• Rehabilitation Expense Benefit
• Rehabilitation Program Benefit
• Return to Work Benefit (following Rehab Expense Benefit or Rehab Program Benefit)
• Recurrent Disability Benefit
• Death Benefit
• Change of Waiting Period Benefit (waiting periods can be decreased without medical checks if employment status changes)
• Counselling Benefit (if in receipt of TDB)
• Nursing Care Benefit
• Specified Injury Benefit
• Crisis Benefit
• Transport Within Australia Benefit (if Total Disability occurs away from home but within Australia)
• Transport from Abroad Benefit (if Total Disability occurs while abroad)
• Accommodation Benefit
• Family Care Benefit

Income Protection Plus

This includes the same core benefits as regular Income Protection but also has built-in benefits to assist the policyholder financially during their recovery from disability.

Optional Benefits

On top of the built-in benefits, policyholders can choose to have optional additions to their cover, such as:

Accident Benefit: This offers protection if an accident leads to disability during the waiting period.

Needlestick Benefit: Medical professionals can be covered for up to $1 million, with the insured sum payable if diagnosed with occupationally acquired HIV or Hepatitis B or C.

Children’s Benefit: This benefit is payable as a lump sum (up to a maximum of $200,000) if the policyholder’s child is diagnosed with one of the listed conditions.

Home Duties

This option provides monthly benefits for full-time homemakers if they become severely disabled due to illness or injury and cannot carry out their normal domestic roles in the home. This type of cover includes some key benefits such as Severe Disability Benefit, Recurrent Disability Benefit, Death Benefit and Crisis Benefit.

Business Overheads

This option is designed for meeting the everyday costs of running a business while not able to work full-time. It includes several key benefits such as Total Disability Benefit, Partial Disability Benefit, Elective Surgery Benefit, Recurrent Disability Benefit and Death Benefit.

Key Features of Their Income Protection Insurance Cover

A prominent feature of BT’s income protection insurance cover is the automatic increase in benefits year-on-year to avoid falling behind inflation.

Customers who hold multiple policies with BT can benefit from a 5 per cent reduction on their premiums.

Eligibility

Entry age is generally 17 years of age or above. Exit age varies depending on the type of policy that is purchased.

In 2014, they have won several awards for their AIA Vitality product. This includes being the AFA Plan for Life winner of the Risk Product Innovation Award and the Canstar winner of the Innovation Excellence Award.

Their Income Protection Insurance Cover

They have several types of income protection insurance cover, including Accident Only, Essential Benefit, Advantage Optional and Income Plus Optional policies.

IP Accident is the most basic option and is only available to part-time or full-time employees. Self-employed individuals can apply if their business operates on a full-time basis.

Essential Benefit is aimed at part-time workers and homemakers.

Built-in benefits of AIA income protection cover include:

Carer’s Allowance – This benefit will provide 25 per cent of Income Protection benefit (up to a maximum of $2,000 per month) if the policyholder has to give up work to care for a sick child.

Retirement Optimiser – This benefit will provide up to 5 per cent of your pre-disability income as super contributions to a nominated super fund.

Complimentary Interim Accidental Death and Income Protection Cover while your application is being processed.

Benefit Indexation – This means that the sum that the policyholder is insured for will rise year-on-year. This will either be in line with the Consumer Price Index or by 5 per cent – whichever is highest.

Waiver of Premium from the end of the waiting period to the end of the Benefit Period (or until you recover) in the event of Total Disability.

HIV/AIDS Cover – This benefit will provide cover if the policyholder becomes disabled as a direct result of HIV or AIDs. It is not available on Accident Only policies.

Rehab Expenses - This benefit will cover the costs of rehabilitation to get the policyholder back into work. Costs of up to 12 times higher than the insured Monthly Benefit will be covered.

Recurrent Disability - If the policyholder suffers a recurrence of previous disability or a condition closely related to it within 12 months of returning to full-time employment, waiting periods will be waived.

Severity Benefit – An extra one-third can be added to the agreed Monthly Benefit if the policyholder is on claim for more than 6 consecutive months and becomes totally disabed and unable to carry out more than two Activities of Daily Living (up to a maximum of $30,000).

Death Benefit – If the policyholder dies, their nominated beneficiary receives an amount equivalent to 6 times the agreed Monthly Benefit (up to a maximum of $60,0000).

Worldwide protection on a 24/7 basis for protection whenever it is needed.

Needlestick Injury Benefit - This benefit is only available to policyholders in occupation class AA and protects those who become infected with HIV or Hepatitis B or C while performing their job duties and experience a reduction in income as a result. This benefit is not available to those with Accident Only policies.

IP Advantage Option includes:

Specified Injury Benefit if the policyholder experiences a listed event leading to paralysis or limb loss and Total Disability cover.

IP Plus Optional includes:

A No Claims Bonus (a one-off extra of up to 15 per cent on top of the agreed insured amount for not making claims for 5 years and to be paid for 12 months while a claim is being paid out on).

A Recovery Crisis Benefit if the policyholder is diagnosed with one of 41 listed crisis events.

A Cosmetic/Elective Surgery Benefit if total disability occurs after cosmetic or elective surgery or after organ donation.

A Terminal Illness Benefit, in which payment of death benefits are forwarded if the policyholder is diagnosed with terminal illness.

A Bed Confinement Benefit if the policyholder becomes disabled and is confined to bed for at least 3 days during the waiting period.

A Family Care Benefit if the policyholder becomes completely reliant on the care of a family member.

Eligibility

The minimum age for applying for AIA’s income protection insurance cover is 16, while the maximum age varies from 50 to 60 depending on occupation class.