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Feeling Ostomistic
Saturday, October 27 2018

This is not a paid advert or collaboration, just me finding a great deal to pass on.

I have tried all year since reading the Barefoot Investor to find savings where I could through reviewing our bills and that with other providers and even had power panels installed through an interest free payment offer.

One of the bills that has been bugging me, is my pet insurance for Dusty, I know many think it is a waste of money to insure your pet but it is something that could help save big costs. With Dusty's breed of cat, we were recommended by a vet nurse to get insurance and go through Pet Plan.

We signed up a policy when he came to live with us going on 2 years ago to this date and at the time the plan was great and affordable at $36 roughtly a month. But once the 12 months were up the policy jumped up, and then up again and now is sitting around the $63 a month, almost doubling and I am no longer feeling confident with our policy. We haven't needed to use it yet but it was a large cost that had doubled for almost no reason.

So I was on Kogan the other night looking for a gift for Russ for Xmas, when I saw an advert for pet insurance and was curious. I was intrigued by the first month free, but also that the plans looked similar to what I was paying currently with Petplan but at a much lower rate. 


^^See, isn't it an adorable advert, I mean effective, but who can resist those eyes! (screen shot of their site)

I signed up and emailed to cancel my petplan and pray that Dusty doesn't get sick and needs a vet, but at least if he does we have cover.

Best of all, it is now only $39 roughly a month instead of $63 and to our budget and pocket that is a big saving!

I am interested in learning more about their mobile and internet plans, 2 years until our contracts are up but never too early to research options.

That is our power reduced, our pet insurance, our car insurance and our home and contents insurances this year, I think I have done well to make a little savings in each policy.

I always feel productive when I have done some adulting, Russ is even happier if it comes in under budget. Or when Xmas comes early...


He was so stoked and keen to stumble across his Xmas gift early from ToyDeals.com.au

Oh and as for Russell's Xmas present (the whole reason I was on Kogan to begin with), I ended up finding it on a different site for $30 cheaper, it arrived on his day off and he opened it and started setting up before I had realised, so now he has his Xmas gift and he loved it. It was a pokemon go lego like (mega construx) and was a big gyuarados (the evolved form of Magicarp) so Russ has been happy. Found it on ToyDeals.com.au for $30 plus post, but still was cheaper than most sites, quick to arrive too (couple of days too). also not a paid mention, just a damn good find!


Russ focussing as he builds his Gyarados

 
The finished Gyrados from ToyDeals.com.au

Crazy that Christmas is so close, it also means that the Share the dignity #itsinthebag promotion is on soon too, better get started on that myself. I am not anywhere near organised this year!

Disclaimer: I was not paid or asked to write about this, I found and paid for this plan myself and thought it was a great buy to pass on to you, always read the PDS to make sure the product is right for you. 

Posted by: Talya AT 01:03 am   |  Permalink   |  Email
Tuesday, June 13 2017

 

“Life is 10% of what happens to us and 90% how we react to it” 
- Dennis P. Kimbro

Facebook memories can sometimes be a double edged sword. On one side it shows you the silly and mundane status updates that have you questioning what on earth you were thinking way back when. Then there are the moments that your life changed in an instant in what feels like a lifetime ago, but was in fact a year to date. It has the power of instilling those emotions you felt at that time and can feel like a sharp stab at one’s own heart.

Sometimes it can be bittersweet and reminds me of the little ‘wins’ in life: like the time my husband got his P’s after 20 years as a learner driver and I felt immense pride for him but cried tears of relief that I now can take a step back and not be the sole driver; or that time that I drove a 4 hour round trip to spend Good Friday with my family (having had chemo the day prior) and felt so sick, but I was able to hold my nephew for the first time since his birth and he smiled and laughed with me and in that moment I felt an overwhelming sense of love and happiness, as if all is right in the world, for that boy has the most infectious smile that makes you feel so happy.

1 year = 12 months = 365 days = too many minutes and seconds to be happy

Today’s memory however, was that it was 12 months to the day that I was told chemotherapy was stopped, that I had exhausted all other options and was admitted to hospital under palliative care… I was given 12 months to live.

I remember that day clearly, I had turned up to my chemo appointment thinking it was a normal chemo day. I drove myself to the hospital and had expected to drive myself home; instead I called hubby and told him I needed him.

I remember feeling so terrified, I was scared now having been given a timeframe and I didn’t know what to make of any of it. What if I did life wrong, what or how was the best way to spend each minute of the day, was there even a right way? I didn't know what to do, I just knew I wasn't done trying just yet.

But amongst all the fear felt, I also felt so much guilt. I felt that I had failed my husband, my family, my friends and myself.

Most of all I wasn’t ready for the end.

I remember crying so much that day just being held and consoled by my husband, we cried together and despite no words being spoken we knew what the other was feeling.

So I started writing my bucket list and planning how I wanted to spend the next year, particularly, my final moments. I began organising my funeral and how I wanted my life to be celebrated. I tried to include my loved ones in organising/talking about my funeral and joining me on bucketlist experiences in the hopes that it helped them somehow.

But one thing I knew for sure, was that I was determined to spend the next year living life as fiercely and to the fullest as possible. 

Choosing my legacy and how I want people to think of me:

I wanted people to remember me not for the hardships I faced but for how I chose to face life, I wanted people to not pity me but to think “hey that is one strong, badass and positive chick”. I didn’t want the next 12 months of health issues/decline and struggles to define me, I was determined to try and help others.

I feel like the last 12 months have been incredibly exhausting, I feel like not only have I struggled with daily challenges but that I also have lived the most I possibly could have too.

In the face of adversity and a time I should have been selfishly focusing on myself, I started a magazine for other young people with a stoma that has been well received all round but also what I hope will be my legacy.

But my determination to try and help others didn’t end there:

I have tried to empower people to make better choices through learning from my mistakes, I have tried to challenge people to think about how they talk to or treat someone who is chronically or terminally unwell, I have tried to help others feel less alone in sharing my story openly and I have tried to encourage others to live their life as they see fit.

The last couple of weeks I have been struggling with depression and felt myself in a downward spiral. I have been told I am dying too slowly, that I am a burden on Russ, that I am a fraud because I am not on my deathbed now; all in a matter of weeks. 

I am feeling a lot of self loathing (and as a failure) as I had hoped a year on our finances would be in a better state, that things would be less messy and more manageable for Russ to takeover. Yet, despite all the frugal efforts made, I still don’t feel things are better 12 months on. I had also hoped to be prepared enough and finish my funeral preparations by now too.... but things need a lot more working done. I also hoped to have saved/paid off my funeral too (I don’t know who I was kidding). 

I just regret not having life insurance so much, it could have made life a heck of a lot easier.

So please if you can learn anything from this story is to never just take one opinion/advice from a person who is “an authorised representative”, to always get another opinion. 

I HAD life insurance and when I stopped working I was told that my life insurance would be void if I had no EMPLOYER contributions made, that I couldn’t just make them (the contributions) myself. My insurance lapsed as a result. I later spoke to them again (6 or so months later) only to be told that the information I was told was incorrect and I could have made contributions all along and I would still now be covered or be receiving the benefits owed to me.

That one person who incorrectly advised my rights has caused so much stress and inconvenience to my life and while I have been told that person no longer works there I have been left to live with this mistake $600,000 poorer… I didn’t question the advice as it had come from someone at the company, that I assumed them to be right. 

If only someone had of told me to get a second opinion. 

Same went for my thyroid cancer, a respected endocrinologist told me there was nothing wrong with my thyroid and a week later I was in Sydney having thyroid biopsies done as it was actually cancerous, sadly in “the sticks” there isn’t always a second opinion you can get but I am lucky that I sought one in Sydney. Or that time I was told I was diabetic from a Doctor without any testing being done and started medication, it didn’t feel right and made me sick, I saw a different doctor a month later and was diagnosed with anaemia not diabetes. 

Moral to the story, if it doesn’t sound/feel right always get a second opinion. 

Your best teacher is your last mistake

Though all of these moments impacted on my life, I learned valuable lessons about myself or others around me.

If you do happen to make a mistake along the way just learn from it, don’t be too hard on yourself and be forgiving - you wouldn’t really be living if you didn’t make mistakes. Just learn from them and make yourself more informed for next time.
"A mistake is doing something once, the second time it is considered a choice."

So here is to time and life, may we all take everyday as it comes and try to stop every now and then to take it all in, or smell the roses as some say. Life is so precious and I am just grateful to still be here 12 months on and living by my promise of trying to help others. So learn from my life if not for helping yourself, help someone you know.

Time and life is something that can go by so quickly and before long it is a year or 5 years later, so it is important that you make the most out of it. To be cliche and all, it really can be taken away at any time. I know I am cherishing everyday I have; as I know age, time and life are all a privilege.

Always remember:

“Life always offers you a second chance… it is called Tomorrow!”

Posted by: Talya AT 01:36 pm   |  Permalink   |  0 Comments  |  Email
Monday, October 05 2015

NB: This is a Sponsored Post

For most of the families or couples I know, live on a budget and it is often paycheck to paycheck. I know this is the case for my husband and I aswell.

It wasn't until my husband lost his job in 2012 (when his employer went into administration) and at the same time my hours had been reduced from 24 contracted hours weekly to 4 (unless I picked up extra shifts), so I had to learn quick smart a) how to budget, b) how to make the money we have from each pay count and c) how can we manage when there is more money going out than coming in.

Up until this point, I had never created a budget. But once I had, I saw how much EASIER it made managing the bills, and three years on I am still finding the success it has helped us to better manage our finances.

I wrote a list (table) of all the money that we had coming in, and all of the money that needs to go out on bills and also allowing for food. Because of how tight things were I didn't allow for things like shopping, movies, going out for dinner or date nights as these were 'luxury expenses'.

My expense list looked something like this: (NB: this is an example only)

Then there were the yearly bills like car registration and CTP Greenslip (so roughly $1000 annually) which I put $20 a week away into a seperate savings account so that we had the money there when we needed to register the car. 

Up until the last month, I have been paying the same amount in bills as I had done 3 years ago. But it got me thinking that IF I reviewed my current bills what potential savings could I find?

Reviewing the mobile phone plans:
The first thing I reviewed was my current mobile plan. I thought years ago (when I worked at a local Telstra Business Centre) that the best plans for value were the ones for business customers, so the last however many years I have been paying a lot when I was barely getting any value.  And being in the country, I needed to have the best mobile coverage so it kept me loyal to telstra.

Turns out, if I went back to being on a consumer only plan I can be paying less a month with unlimited calls, unlimited SMS and a whopping 6 GB of data (considering I went over my previous 1GB allocation each month, this was exciting). I also was given 25GB as bonus data during my first month and I could also get an iPhone 6 for less than I was paying previously!

With this new plan, it also meant that if my husband transferred his phone account into my name, and if it were on the same bill as mine he could drop down to a $50 a month plan with 2.5GB of data (when added to my data we now have 8.5GB to use each month) and he gets $1000 in call allowance too.
We saved $50 a month in my husband's plan alone, and $60 a month in mine so $110 a month in total!

Reviewing your bank accounts:
I have found before from my own personal experience and from working in a bank, that it is good practice to review your loans and bank accounts at least annually, as circumstances change it is important to ensure that the loan and products are still working the best that they can for you especially as the interest rates are always changing.

I recently reviewed our Personal Loan we took out when we purchased our car, and found that the current interest rate we have is almost 3% lower than the current rate offered.

However, while we haven't saved any money from reviewing the loan we are in the process of hoping to buy our first house and have plans to incorporate that loan into our mortgage, which will mean we save $135 each week

It is also important to give your loans a health check to make sure that you are still covered with the protection side of things, not only does it offer peace of mind if you were to become sick, to lose your job or pass away, that if you're eligible for the protection it is worthwhile having. I know I had to use the insurance side of my loan and credit card when my husband lost his job and the payments were covered for 3 months. Going off of our loan, that was a saving of $135 a week or $1620 in total that was then able to be used towards other bills.

Credit Cards and Balance transfers:
I know how hard it can be to fall into the trap of having a large credit card debt, and no matter how much you're paying in repayments each month it still feels like you're being killed by the bank's interest rates!

I have learnt over the years how to save money on your credit card, and more importantly how to make your credit card work for the best for you. (keeping in mind that advice is general based on my own experience and you should always consult financial advice and read the Product disclosure statements)


With the Credit cards, sometimes it can feel like you can never get in front of the repayments, and when times have been tough I had a balance transfer of our credit card and it helped us save so much money! The benefit of the balance transfers is usually the banks offer a promotional period say 12 months where they won't charge you interest on balance transfers during that period.

We did this on our bankwest credit card for $5000, and we were able to budget and pay it off in a whole year! We set a minimum of $50 a week payment and if there were weeks where we had the $100, we would pay that amount.

By doing a bank transfer we were able to save ourselves paying 19% interest p.a on the credit card, and it means that we now saved ourselves approx. $915 p.a in interest!

Reviewing our Home insurance:
A few months back, I was speaking to a friend about "adult things" which included talking about insurances and stuff. She told me that she was paying almost HALF of what I am paying, and she was the same age just different suburbs.

I always put down the fact that our insurances cost more than my friends was that it apparantly "floods" and a "high crime area", so I never thought anything more of it.

So I started to shop around and get quotes, and while I found a few that were happy to offer a cheaper rate it came at the risk of "due to the known risk of flooding, we will insure your property excluding flood". Knowing my luck (since I am not THE MOST LUCKIEST person that it would flood).

So I went back to our existing insurer whom we were currently paying $3000 a year in premiums, and said we were looking at going elsewhere unless they could help us with a better quote.

They came back and said as we were only renting we could have just contents insurance. Imagine my surprise when it came in at only $612 a year! That was less than $60 a month and less than $15 a week! We were paying $250 a month before or $60 a week!
So we saved ourselves over $2300 a year!!

Reviewing our Private Health Insurance:
I know in the past when things have been a little tight, my private health insurance (along with my car and home insurance) were some of the expenditures I was willing to let go. Not because I felt I didn't NEED them, because I did but because it was an expense I couldn't justify between meaning if we have insurance for this week or if we ate food this week.

There was no doubt the struggle was (and for many) real, and I know how important it is for your money to be spent in the best way possible for yourself and your family.

One thing I recently learnt, was that I needed to review my Private Health Insurance more regularly than every 5 years!

I have been with my current provider for going on 5 years, and I thought I was happy with the cover being top hospital and no extra's and that I thought at $70 a fortnight I was getting a great deal.. I was happy until a couple of recent circumstances where 1) they would only cover my chemotherapy IF the drug was on the PBS, and 2) they no longer cover aneasthetics and I had a $1000 bill from the aneathetists for putting in my port. After speaking with the aneathetists secretary she explained that my health fund WAS the only fund they have to charge to the client.

So I was on a mission and enquired through Health Insurance comparison with the type of cover I have now and what I pay, and wanted to find out if there were comparative policies that:
1. covered aneathetiscs
2. was top hospital cover and covered surgeries
3. Had a partnership with the hospitals I frequent
4. Included ambulance cover

The consultant was SO helpful and talked me through my existing policy and comparing policies that were better.

He came back with a plan through AHM that was $3 less a fortnight, included extras like optical/dental/chiro/physio/remedial massage. Or if I wanted just the extras for my husband it was only an extra $10 a fortnight of what I am paying now!

Not only has Health Insurance Comparison helped me to save a lot of money such as $1000 aneathetists bill for 1 hour for admissions I needed it... and if it were based on my surgeries this year it could be over $20,000 a year it helps me to save! PLUS the rebates with extras like dental and optical too!

Hot tip: If you are done having children and no longer require having pregnancy or birth related inclusions, remove these from your policy and you will already be saving!

Thank you Health Insurance Comparison for such a seamless process to help compare the right health insurances for myself, and for helping me to save money on future surgeries. Don't forget to compare, save and go in the draw to win a year's health insurance for free!

So while you might feel loyalty to a particular company, you also need to feel loyal to your wallets and if you can shop around and find a better deal on other areas of your financial spending (power/gas/phone/internet/loans) you can afford to go on that nice holiday, or better yet buy that pair of shoes you WANT but probably really don't need...

or better yet... do what I am doing and using all of the savings and money you would otherwise have spent on bills towards purchasing your first home!

Thank you for reading my 5 top things to review when you're living on a budget to help save yourself a lot of moolah!

Posted by: Talya AT 06:18 am   |  Permalink   |  0 Comments  |  Email
Monday, October 05 2015

NB: This is a sponsored post

Sometimes in life, things happen that can be unexpected and often out of our control. But if we are prepared and have a contingency plan in place, it can help us to navigate through those difficult times with a bit more ease.

A contingency plan, is a plan that is designed to be implemented during a future event or circumstance. A contingency plan is also sometimes referred to as a back up plan or a risk management plan.

In my life, I have several of these risk management plans that I have shared with those that it most affects, and in each of these plans it explains in detail the steps that need to be taken.

Some contingency plans you might have (or need) in your life may include:

1. A will
This is probably (in my honest opinion) one of THE.MOST.IMPORTANT  risk management plans you can have in place. A will not only explains your wishes for your belongings and assets, but also can be important if you have young children to detail whom you wish to care for them in your absence.

If you have a blog or an online business (digital assests), there is also now an added clause that allows you to explain what is to happen to these when you die. You may wish to have your social media accounts closed, or request to have these left open as a memorial; or in my case I have specific instructions regarding my blog such as the hosting is to be continued to be paid and my site is to be continued to remain active for a resource that my younger sisters or anyone needing a safe place to turn to, can still do so. I even have a blog post (unpublished) and content that is to be updated to my site when I do pass away, so that others know that there won't necessarily be someone to answer any queries directly.

But your will should be updated every 2-5 years, as life happens and circumstances change, it is important that these are reflected in your will.

2. A funeral plan
You might have specific instructions in your will on where you want to be buried or cremated, or how you wish to pay for your funeral, or you might have been super prepared and met with a funeral home and have your funeral already pre-paid and planned out so that when you did pass away your family were able to grieve and be there for each other as opposed to making funeral arrangements.

I know that talking about your funeral wishes can be rather morbid, personal, upsetting and confronting to our family and friends, but it might help you feel at ease when times are tough and you are battling some serious health obstacles that you know your wishes are known.

For me, I know this is something I have done, and it was really hard being only 24, but the reality that I am faced with is one that is uncertain and I know when the going gets tough that this is a plan that might need to be actioned.

I have told my husband (and have it in writing and in my will) that I am to donate my body to science due to my rare disease and progression of said disease so that they can use my body and tumours to study and hopefully I can be part of a cure moving forward. I wish for my remains that aren't needed to be cremated, and for a joyful ceremony to be conducted at the botanical gardens where everyone is to wear bright and happy colours, and where it will be a celebration (a memorial service as you will) rather than a saddened atmosphere.... after all, I am a happy and bubbly person!

Up until I got sick, I had always wanted to be an organ donor. But knowing now that my organs and body parts wouldn't be able to be used by another I decided instead to donate my body to the organisations studying my disease and making a cure.

3. How you will pay your mortgage and bills if you were to lose your job?
When you take out a loan, credit card or mortgage you will be asked if you wish to take up loan protection. A lot of people are reluctant as they see it as an additional expense, and in truth we think that our jobs are secure and we are safe.

The reality is that you can never be too safe or secure in a job, and from my own personal experience it is something I realised was important to have in place.

My husband and I had always had protection on our loans in case we got sick or lost our jobs and was arranged through our loan provider. We had this for one of our car loan. Then in early 2012, I found ourselves applying for a quick fix finance loan for $15k to consolidate a couple of credit cards and a loan I had to take out to pay for my colonoscopy (which was $5k). 

My husband and I thought we were safe in our jobs, he had been working for a national company for 5 years and I working for a bank for the past 18 months. We were on really good incomes and planned to only have this loan for a couple of months so we could pay it in one loan and have a bit more breathing room. Because we only planned on having it temporarily we declined the loan protection.. our interest rate was 40% so we knew it needed to be paid quick smart.

Three days later, I was told my contracted hours were being reduced from 24 to 4 a week due to the bank doing a massive job cull and reshuffle and there wasn't the hours there.... it was okay, I knew we would be fine as we still had my husband's job...

The next day we got a phone call saying his employer had gone into administration and that they were closing in a month.

HOLY CRAP!  We now had $15k of debt that wasn't covered and we had no idea how we could make the repayments at 40% interest... we regretted the decision 4 days earlier to decline that loan protection.

Lesson learnt, never be unprepared again! I have since made sure that our loans, credit cards are covered and that my husband has income protection through his life insurance, which our friends over at Life Insurance Comparison can also help with!

4. What were to happen if you were no longer able to care for yourself and you needed to move into a residential facility or home?
I know we often don't like to think of what will happen when we get older, or what were to happen if we were to become permantly incapacitated, but this is a plan we should certainly talk to our family about and express our wishes while we still can.

While we might want to always stay living our life out in the home we love surrounded by family, this might not always be as easy as we wish. If there is round-the-clock medical care we need this can become rather expensive to organise to happen in your home and it might be easier on ourselves, our family and our carers if we were to live in a residential facility where we had the help and support we need.

It is also important to consider the safety aspect, will this be safer for me as a long term plan? And the finance side of things needs to be discussed to, whether you can afford it or how you plan on paying it. This could be something you incorporate into your retirement plan to accomodate for additional later-in-life medical costs.

5. How will you or your family survive if you became sick and unable to work or if you unexpectedly passed away?
I decided it was best to leave the most important contingency plan for last, which is of course, talking about our life insurance.

We protect our homes in the event of flood/theft or fire, and we protect our cars in the event of a crash, but surprisingly we often don't think about insuring number #1 (ourselves).  I know I thought of insuring my husband before I decided to insure myself, which by the point I enquired I was 19, recently diagnosed with FAP and was told that if I "got to 40 without cancer and had a total colectomy, I could then be insured".

I always assumed that life insurance was only of benefit when we died to help pay for things like our mortgage or help support our families.

But DID YOU KNOW that you can access insurance if you were to become sick or disabled? Well it can! Our friends over at Life Insurance Comparison, helped to explain in a guest post for us how Life insurance can help you while you're alive and when you become ill or disabled. I really reccommend having a read, as I know I (and a lot of my readers) found it rather valuable and learnt something new about the importance of insurance and how it can help them!

This post was sponsored by:

 

Posted by: Talya AT 12:53 am   |  Permalink   |  0 Comments  |  Email
Tuesday, June 30 2015

NB: THIS IS A SPONSORED GUEST POST

In life, we all have our regrets and in hindsight wished we could go back in time and with the knowledge that we know now and not repeat the same mistakes again. I have many of these moments where I wished I did things differently or better and one of them was going to see a financial planner when I was 18 or 19 and something that was in place before I was married.

You see, not long after my wedding my dad broke the news that he was terminal with bowel cancer and that his type was caused by a rare disease called Familial Adenamatous Polyposis (FAP), which was caused from a mutation of the APC gene (a tumour supressor gene) and that it was also genetic. I underwent tests and was confirmed that I too had this disease, and as I was a newlywed I decided to apply for life insurance and was rejected on the grounds of the condition and as it is something that I have seen numerous insurers about and none can find an insurer willing to insure me as I am at high risk of cancer and more than likely will die earlier than healthy/normal peers my age.

Then I got sick in 2012 with severe endometriosis and required surgery to remove a 15cm round mass off of my ovary along with the lining of said ovary and removing/excising hundreds of sites of endometriosis. My surgeon said it was one of the most severe cases he had seen and especially in someone who was only 21. Because of the extent of the damage I was placed in a medically induced menopause which was truly horible. It made me so sick I was unable to work as I had these insufferable migrains and the nausea and hot flashes were cruel.

The week I stopped working was the week I was told that my bowel was turning cancerous and needed to have my bowel removed. So either way I would have been forced to stop working as I was told I needed 12 months off of work to recover, and then I was diagnosed with pancreatitis in 2013 which meant every other week I was in hospital for 7-10 days undergoing treatment for that, and then the desmoid tumours were diagnosed along with the thyroid cancer this year has meant that I haven't been able to return to the workforce as I am just not well enough to be considered reliable for work.

I can tell you the last 3 years have been hard financially, emotionally and physically and one thing I wished I had in place was life insurance to help me financially while I can't work, and money has been so tight and often stressful. I am just thankful my husband can work so hard to provide for us and support me while I am unable to work.

I really wished I had some sort of security in place, and it is something I hope through my mistake you will consider.

So I asked our friends over at Life Insurance Comparison to help explain how life insurance can be used while you're alive and become ill or disabled, and Sally has written a great guest post for us on this topic.

How Life Insurance Can Help If You Become Ill or Disabled

Wondering how you'll pay the bills if the main earner in the household gets ill, has an accident or dies can be a hugely stressful experience that can be avoided through life insurance. At Life Insurance Comparison, we're here to help you to navigate the often confusing world of life insurance so that you can get the right protection for your needs. We'll work with you to buy the right amount of cover and the most appropriate type of product to support your family if the worst happens. 

When you first think about life insurance, what comes to mind? If your initial thought was to with death, you may be unaware of the full benefits of life insurance. Many people mistakenly believe that life insurance only comes into its own if the policyholder dies but it can actually be an invaluable form of financial support if you become seriously ill or disabled and cannot work as a result. None of us want to think about the idea that we might be unlucky enough to experience this but it pays to be prepared.

In this post, we look at the ways in which life insurance can offer peace of mind if illness or disability occurs during the lifetime of the policy.

Life Insurance and Illness

If you become ill and are unable to work because of this, the subsequent stress could make your situation worse. Even if your lack of income is only a short term proposition, you could be under severe pressure to make ends meet if you don’t have savings to fall back on to tide you over. Fortunately, life insurance can provide an income to ease financial stress.

The exact nature of this income depends on the type of life insurance product that you buy. Income Protection Insurance will provide regular monthly payments that can be anything up to 75 per cent of your usual salary, which can be used for day-to-day living expenses while you are not working due to illness or an accident, while Trauma Insurance offers a lump sum payment if you are diagnosed with one of the medical conditions that are covered by the policy.

You’ll therefore need to think carefully about the kind of life insurance protection that you would want to have in place if you were to become seriously ill or disabled. Would you prefer to have a regular income stream coming in each month that can be used regardless of the situation? Or would you rather receive a lump sum payment if you diagnosed with a serious and traumatic condition such as cancer, a heart attack or stroke?

Life Insurance and Disability

Life insurance can also help if you become disabled and cannot work. In particular, Total and Permanent Disability (TPD) cover provides a lump sum payment if you become permanently disabled and this stops you being able to work. This type of life insurance cover is usually needed if a professional has confirmed that you will never be able to work again due to a new (and not pre-existing) disability. 

How Much Life Insurance to Buy?

Underinsurance is a huge problem in Australia in general, and this is definitely true for life insurance. This is because many of the Australians who do have life insurance don’t have enough cover to provide full peace of mind if the worst were to happen. You may already have some degree of life insurance through your superannuation fund but this is usually extremely basic and does not offer much protection at all. To be safe, you’ll need to have additional life insurance cover in place to fully meet your needs so that you are not caught out financially if you need to rely on the income.

With Income Protection Insurance, you’ll want to safeguard as much of your salary as you can afford (up to 75 per cent of it) so that you can still experience a good standard of living while you cannot work.

With Trauma or TPD cover, you’ll need to make sure that your lump sum payment is substantial enough to cover everything that you would want. You’ll therefore need to think about how much you would realistically need for regular outgoings and also factor in medical and rehabilitation expenses (if you don’t have health insurance that would cover some or all of these latter costs). Trauma insurance is generally the most expensive type of life insurance but it can turn out to be the most cost effective if you need to call on it.

Ideally, you should look to buy as much life insurance as you can realistically afford so that you are less likely to be underinsured. If you want the lump sum payment to be able to act as a long term source of income, this will obviously be more expensive to buy but would be very useful if you are unable work for over a year due to serious illness, an accident or temporary disability.

Thank you Sally and Life Insurance Comparison for explaining how beneficial it can be to have Life Insurance while you're alive! If you found this post helpful (or any on my blog) please feel free to leave a comment below.

 
Posted by: Talya AT 04:20 am   |  Permalink   |  1 Comment  |  Email
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~  Living with Familial Adenomatous Polyposis - Effects of FAP  ~

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Talya Goding - Feeling Ostomistic   talya@feelingostomistic.com.au  |  0447 426 860

Thank you for stopping by Feeling Ostomistic. It has taken a lot of courage to share my story and I ask that you show me and my site/blog respect and courtesy. Views expressed in this blog are my own and I am not a nurse or a doctor. If you need medical advice please seek your medical practitioner.

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