New product launched to fill redundancy insurance gap for Australian workers

MELBOURNE, Australia - June 15, 2015 - PRLog -- Income Security Founder and Principal Mr. Wally Ripper has announced the release of a new innovative redundancy insurance product which is designed to assist Australians who could find themselves facing the financial impact of retrenchment and job loss.

Analysis of labour force data in a recent Weekend Australian article (April 25, 2015) revealed that a record 1.2 million Australian workers did not expect to be working with their current employer in a year’s time – and of those expecting to leave their job, 20% said they feared being made redundant.

The new standalone redundancy insurance product, Income Security Insurance, addresses a redundancy insurance gap that exists in the Australian marketplace.

Commenting on the new insurance product, Wally Ripper said redundancy is not age specific and with job uncertainty a concern for many working Australians, the introduction of the product to fill this marketplace need, is well timed.

“For the younger person with a new family and significant financial commitments to middle aged employees or those approaching retirement, the problems are identical i.e. finding the money to pay for those bills that don’t stop with unemployment.  Where will the money come from to pay for the electricity, gas, telephone, groceries, school fees, on top of rent/mortgage costs?”

Outlining some of the key features of Income Security Insurance, Wally Ripper said the product will pay a monthly benefit of between $1,000 to $7,000 to employees who are made involuntarily unemployed and are looking for work.

Benefits can be paid for up to 3 months, 6 months or 9 months.  There is also a choice of waiting periods: 30, 60 or 90 days.

A key feature of the product is that cover can be applied for online quickly and easily with no paperwork or medicals required and with premiums starting at less than 70 cents a day!

“The range of options means that each individual can structure the cover to suit their budget and personal circumstances.  The cost can be reduced by taking out a shorter benefit period or a longer waiting period.  For example a 90 day waiting period might be suitable if you have savings to draw on or if you could receive a substantial redundancy payout,” said Wally Ripper.

Another feature is an optional training benefit which will reimburse the cost of retraining up to $2,500 to assist the return to the workforce.

Wally Ripper cautions that some consumers might mistakenly believe that they already have cover for involuntary unemployment under their loan protection or income protection policy.  He goes on to point out that not all of these policies include cover for involuntary unemployment.

“Most income protection policies are designed to cover loss of income due to sickness or injury, not involuntary unemployment.  It is very important that consumers check their existing policies to see if this risk is covered or not.”

Income Security Insurance premiums are generally tax deductible like income protection premiums.

The quoting and application process is fully online so within 5 to 10 minutes eligible applicants can apply and pay for their cover on the dedicated Income Security Insurance website www.incomesecurityinsurance.com.au

There are some eligibility criteria which must be met and full details of these are set out in the Product Disclosure Statement that can be obtained from the Income Security Insurance website.

The underwriter of the Income Security Insurance policy is Avea Insurance Limited, a general insurance company with over 30 years’ experience in specialist insurances.

Wally Ripper concluded by saying that employment insecurity will continue to grow as businesses large and small respond to international competition and the introduction of new technology, streamlined work practices and companies outsourcing jobs overseas.

“Dealing with redundancy can be stressful, challenging and daunting as an unemployed person adapts to the adversity of job and income loss.  In addition, there is the toll measured in a person’s health and mental well being during this period”.

“But by taking steps now to review your existing insurance cover and determine how losing your job would impact you financially, you can consider the benefits of Income Security Insurance for redundancy protection.”

ENDS

Released by Income Security          www.incomesecurityinsurance.com.au

Media Enquiries:          Mr. Joe Perri
        Joe Perri & Associates Pty Ltd
        Telephone / fax:          +61 3 9324 0362
        Mobile:          + 61 412 112 545
        Email:          jperri@joeperri.com.au