How is Income Protection Calculated?

It’s a good idea to get a rough understanding of your expenses before you get an income protection quote.

You should also be aware of your choices, as these can affect how much you get and when you get it. 


For example, you can tailor your policy according to:

  • Waiting periods
  • Benefit periods
  • Additional benefits (like the Accident Benefit Option)

How much does Income Protection Insurance cost?

Here are some of the factors that can influence the cost of your income protection policy:

  • Age – any age between 18 and 60 years is generally insurable within minutes
  • Health behaviours – this can include smoking and your health history
  • Occupation – in many cases this doesn’t matter, but if you work in a risky environment this may increase your premiums. Be assured that Insuranceline Income Protection Insurance can cover a range of occupations
  • Sick leave entitlements – paid sick leave periods will cover you for short periods of time. If you don't need your income protection insurance to kick in immediately, you could choose a longer waiting period before a sickness or injury claim becomes payable
  • Savings – this will influence how long you could get by without changing your lifestyle or selling off liquid assets. Conversely, if you live from pay day to pay day, you’d want short waiting periods built in to your income protection cover

Depending on what you want your income protection to cover, premiums can be as little as a couple of dollars a day. Generally, and depending on your circumstances, you cam consider expenses like:

  • Rent or mortgage
  • Vehicle and transport (petrol for your car or fares for public transport)
  • Household expenses (bills for water, gas, electricity, internet, phone, rates)
  • Food and drink
  • Education fees or childcare
  • Entertainment (clothing, concerts, movies, DVDs)

To find out more, get an income insurance quote online or give us a call on 13 77 87.


Important Information

Qualifying Periods apply after the Cover Commencement Date for Sickness and Injury Cover and mental health related conditions.  You will not be paid a Benefit amount for Sickness, Injury or mental health related conditions during Qualifying Periods.  A Qualifying Period applies when you first take out cover, and if you increase your Monthly Benefit amount.

Please refer to the Combined Product Disclosure Statement and Financial Services Guide for more information