Income Protection Insurance Advice
Replace up to 90% of your income if you’re unable to work at your normal capacity due to injury or illness.
THE MiQ DIFFERENCE
What Makes Us Leading Insurance Advisers?
Too many financial advisers recommend insurance policies based on the commissions they receive – not what’s best for your business.
But MiQ is different.
Our approach is holistic: a detailed analysis of your succession plan to see what level of cover is required.
We’re paid by commission – but our diverse APL means there’s no incentive for us to recommend a particular insurer.
And we have access to a network of both internal and external specialists, such as accountants and solicitors, who can support your strategic objectives.
Protecting your business’s continuity starts right here, with us.
“I’m not one to leave reviews but my recent interaction with Kylie has been so pleasant and seamless, I could not, not share the experience. She has been prompt and transparent with me through the whole process, which has made it a lot less stressful, and I could not thank her enough for it.”
Our Income Protection Insurance Solutions
What We Do
Many Australians have TPD insurance, which offsets the cost of life-changing health conditions.
But what about temporary injuries and illnesses that limit your ability to work?
Even a few months of lost income can be financially devastating – particularly if you’re the main source of income for your household.
Income protection insurance provides ongoing payments at a percentage of your current income, safeguarding your financial position if the unexpected happens.
But finding the right policy matters too.
One that matches your financial circumstances and risk level.
One that integrates with your broader wealth protection strategy.
And, most importantly, one that covers you if you ever need to claim.
That’s where MiQ can help.
Income protection insurance shouldn’t be part of every wealth protection plan.
If you’re not working – for example, as a stay-at-home parent – then having income protection doesn’t make sense.
On the other hand, if you’re self-employed or the main source of income for your household, income protection is critical.
Because income protection isn’t just about replacing lost income.
It’s also about covering new medical and care expenses.
Preserving your assets and savings.
And maintaining quality of life for you and your family during an incredibly stressful period.
Talk to an MiQ advisor to find out more about how income protection insurance could support your long-term wealth objectives.
Pass on your financial legacy.
Make sure your estate is distributed in the right way – and to the right people.
Our wealth protection specialists are accredited with over [X] leading insurers.
Your Income Protection Questions, Answered
Income protection insurance provides ongoing payments if you’re unable to work due to illness or injury. Unlike other types of insurance, such as TPD, you don’t need to be completely unable to work – many income protection policies provide partial disability benefits, which can top up your income if you’re able to work but at a reduced capacity.
Most policies don’t cover inabilities to work arising from:
- self-harm or attempted suicide
- using alcohol and other drugs
- criminal activity or incarceration
- civil unrest
- overseas travel.
Some policies may have additional exclusions around dangerous occupations or risky hobbies, so always talk to your financial advisor about what a specific policy covers.
No. Income protection insurance pays out a percentage of your last 12 months of income if you’re unable to work due to injury or illness. It’s not the same thing as redundancy insurance, which pays out if you’re fired or made redundant.
Keep in mind that your income protection policy will pay out regardless of whether or not you have a job. If, for example, you were unable to work due to injury and then made redundant, your income protection insurance would still cover your lost income.
Yes, you can generally earn money if you’re receiving payments from your income protection insurance. Most policies provide partial disability benefits, which means you can still receive payments if you’re working at a reduced capacity due to injury or illness. These payments will be less than your full income protection payments, but can be a useful way to top up whatever income you do earn.
While many superannuation funds offer a basic level of income protection insurance, make sure you read the PDS before opting in. Because super fund insurances are typically more affordable than retail policies, they often contain undesirable definitions, different features, and lower cover amounts.
The best way to approach your wealth protection strategy is to take a holistic view of all your personal insurances, understand your risk profile and protection needs, and then make an informed decision based on what you can afford.
Yes, income protection insurance premiums are generally tax-deductible. Because income protection payments are classed as taxable income, the premiums can be written off.
By contrast, the premiums for your life, TPD and trauma policies are not tax-deductible, but any payouts you receive are classed as capital, not income, which means they’re exempt from income tax.
Income protection insurance is classed a taxable supply under sch 2 of the Goods and Services Tax Ruling 2002/2 (Cth) (‘the Ruling’). While most types of insurance, such as life insurance, are input taxed, income protection insurance isn’t (see line I15 of the Ruling). That means you can generally claim back GST from income protection premiums.
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