Is the life cover in my superannuation enough?Most people have some form of life cover in their superannuation. But this can have a couple of drawbacks. In the first instance if you leave the company – maybe because your health has deteriorated – you might find it impossible to find term insurance elsewhere.Another issue to consider is the right of the superannuation fund’s trustees to overrule your decision about who your beneficiary is. There is also tax to pay on any lump sum where the payout goes to a beneficiary who is not a dependant. This is not the situation when life cover is with an insurance company. |
General Guide
Cover AmountsHaving complete protection is the ideal situation, but on the other hand you do not want to spend all of your hard earned income on insurance. Therefore an appropriate balance must be determined between cost and cover.
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