Income protection insurance for over 50s
Get peace of mind with income protection for over 50s.
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Income protection insurance can be extremely helpful if you need to take time off work due to an injury or illness, especially when you're in your 50s. From mortgage payments and health insurance to school tuition fees, it's likely you have a lot of bills to keep on top of. Find out more about your options below.
Yes. The maximum entry age for income protection insurance is generally 59 or 60. Only a handful of insurers let you take out a policy after you turn 60 so it's definitely worth getting a policy while you're still in your 50s. If you get ill, injured – or in some cases, are made redundant – it can pay you a monthly benefit of up to 75% of your income, straight into your bank account.
It's likely that you'll have to pay higher premiums than if you were younger, largely because as you get older, you're more likely to suffer from poor health. If you have a pre-existing condition, you will also likely have to pay more. In some cases, that condition may be excluded from cover altogether. This means that if you became ill with that pre-existing condition, you wouldn't be able to claim on your income protection policy.
If you're fit and healthy though, there's no reason that you can't find very affordable income protection insurance, especially if you compare policies and shop around.
If you rely on your income to pay the bills, income protection is important no matter what age you are. But it's arguably even more essential when you're in your 50s. Here's how it can benefit you.
Response | |
---|---|
Peace of mind | 33.6% |
I have a mortgage | 30.4% |
I have financial dependents | 19.2% |
I'm self-employed | 5.6% |
I'm worried about being made redundant | 5.6% |
Other | 5.6% |
All policies have general exclusions – for example, insurers do not cover any injuries, disabilities or illnesses that are self-inflicted or the result of an attempted suicide. However, if you're in your 50s, here are some of the important ones that may specifically affect you.
Some insurers place limitations or exclusions on claims related to pre-existing medical conditions. This can include chronic conditions like diabetes, arthritis and chronic fatigue syndrome as well as serious illnesses like heart attacks and strokes. It means you'll still be covered for other illnesses and accidents, but not claims related to your pre-existing condition.
If you have a pre-existing condition, make sure you read the product disclosure statement before buying and ask the insurer if you're covered for that specific condition.
While some insurers can cover you for involuntary redundancy – you'll have to pay a little extra if you want this – you're generally not covered for issues related to unemployment. This can include occupation-related unemployment, unemployed periods for seasonal occupations, voluntary unemployment and the end of fixed-term contracts.
Some insurers do not cover you for claims related to elective surgeries and treatments. In other cases, you won't be covered for elective surgery within the first 1 or 2 years of taking out a policy. This is largely because it's not considered a medical emergency and you can schedule it in advance, so it's no longer something that can be considered unforeseeable and therefore insurable. If it is a medical emergency though, or it becomes a medical emergency, you should be covered.
You'll usually find that insurers cover pre-existing conditions in one of the following ways:
Each insurer will do things a little differently, so if you do get rejected by one, it doesn't mean you're out of options. In most cases, these are the simple steps you'll need to take:
Unfortunately there's no one-size-fits-all when it comes to income protection insurance prices for over 50s. That's because there are dozens of different factors that can affect price, not just your age. These include:
You're definitely a little smarter, wiser and more wary of life and its potential hazards and hiccups in your 50s. With years of hard work already behind you, it'd be a shame to suffer a setback now. For peace of mind and financial security, you can begin comparing income protection policies here.
Read our guide to the various types of insurance available to the self-employed.
If you have more than one income protection policy they will both pay out – but don't expect to "double dip".
Income protection provides you with income replacement for sickness and illness but not for pregnancy. However, it does offer features to help you out during pregnancy.
Running a small business? Find out how to get income protection to protect your own salary in case you get injured or fall ill.
Income Protection can cover your income in case anything happens to you while travelling overseas, some conditions apply.
Life insurance and income protection serve two different purposes but can both offer valuable cover alone and when combined.
Income protection insurance are generally tax-deductible, so read on to find out when premiums are tax-deductible and how much you can claim.
NobleOak has been offering personal insurance solutions direct to Australians for over 137 years. Discover the benefits and features available on the NobleOak Income Protection policy and make a secure enquiry for cover.
Compare income protection policies available from OnePath and receive a secure quote from an insurance consultant. Find out how OnePath compares to other insurers.
Looking for the best income protection insurance but not exactly sure where to start? Compare the Finder Awards 2023 insurance winners.