Think HBR

Personal insurance is not ‘set and forget’

Ian Morante
Fund Secretary
NSF Super
 
The topic of insurance is not new – but it is still not necessarily a top priority for a lot of people. If you were to do some online research on insurance, you would soon see that having ‘adequate’ insurance cover is a common theme. There are also different types of insurance available, and ways to apply for cover.
Many people may not even be aware that they probably have some amount of Death and Total & Permanent Disablement (TPD) insurance cover by default, within their superannuation account – and the premiums are usually deducted monthly, directly from their super account.
This type of cover means that if you pass away or become permanently disabled and unable to work again, you or your beneficiaries can receive a lump sum insurance benefit, to help out financially during that time of need.
The question of whether that insurance cover is exactly the right cover for you, or provides ‘adequate’ cover for your circumstances, is something that needs proper attention. As al-ways, it may help to get some financial advice from a qualified expert to help determine what cover is right for you.
What is just as important is to understand that insurance should not be a ‘set and forget’ arrangement – as your life and circumstances change, so will your insurance needs.
Dealing with any of these common life events should trigger a review of your insurance arrangements, to make sure they are still providing adequate cover for your current needs:
• Marriage
• Birth or adoption of a child
• Taking out or increasing loans
• Death of a spouse
• Divorce
• Becoming a carer of a family member
• Children starting school or higher education
• A significant salary increase
The simple message is that regardless of who your super is with or what your circumstances are, getting your insurance arrangements right and reviewing them regularly is important – and may provide just the right support when you need it most.
 
For further information contact NSF Super on 1800 025 241 or email enquiries@nsfsuper.com.au.
 
This article contains general information only and has been prepared without taking into account your financial objectives, situation or needs. It may, therefore, not be right for you. Before you make any investment decision, we suggest you consult the relevant Product Disclosure Statement.
Ian Morante Ian Morante

Ian Morante is CEO of Nationwide Super. Ian has over 25 years’ experience in the superannuation industry and holds a Bachelor of Commerce from Newcastle University, a Diploma of Financial Planning, a Diploma of Financial Services (Super), an Advanced Diploma of Financial Services (Super) and is a Fellow of the Australian Institute of Superannuation Trustees.

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