Welcome to CGS Insurance Brokers

FMI Income Protection

Income Protection is essential because it :

• Covers the policyholder's most important asset, namely the ability to generate income;
• Provides small business owners with the consistent monthly cash flows required to fund their ongoing savings and expenditure commitments;
• Pays benefits in the event of a temporary disability;
• Pays benefits in the first six months after date of claim, a period during which Capital Disability products won't pay a cent; and
• May offer tax deductions in respect of premium contributions paid.

How can you make sure that you have adequate Income Protection cover?  FMI offers a range of income protection solutions to small business owners under their Business Person Elect (BPE) policy.  The Temporary Income Protection (TIP) offers financial security in the event you are unable to preform "duties of own occupation" for up to 24 months, while Permanent Income Protection (PIP) dovetails with TIP for uniterrupted income protection cover up until a selected retirement age.  Another FMI innovation, the Business Overhead Protector (BOP), covers a pre-approved list of business expenses during the incapacitation of the owner.

FMI' comprehensice Income Protection products offer additional benefits too :

• Claims are handled on the policyholder's ability to work rather than loss of income;
• Premiums are waved whilst in claim;
• Policies come with a 5-year rate guarentee; and
• Policies pay R250/day towards a driver in the event the policyholder is unable to drive.

The goal is not to replace Capital Disabiliity cover with Income Protection, and vice versa.  Each of these covers is important in it's own right.  The ideal solution is to sell your client a mix of cover : Capital Disability to take care of immediate needs and Income Protection for ongoing peace of mind.

Further to this, a higher proportion of accident claims in 2009 were from the below age of 30

(Distribution of accident claims via age bands)

• Younger than 30 = 40 %
• 30 - 39 years = 38 %
• 40 - 49 years = 29 %
• 50 - 59 years = 18 %
• 60 - 69 years = 21 %
• Older than 70 = 20 %

Top 5 Reasons for claiming :

1. Shoulder disorders
2. Back disorders
3. Cancer
4. Knee disorders
5. Hand disorders

With a 99.7 % Temporary Income Protection claims payout ratio in 2009, can you afford not to place your cover with the leaders in income protection?

Extracted : FMI marketing material