If you are an employee of a company you usually got insured by the company you work for through workers compensation policy, but if you are a self employed who would insured you if something bad happens? In this matter you should cover yourself for accident and sickness insurance through a private insurer.
There are several types of life insurance that you can use. Some life insurance offers some kind of investment which functioned as a retirement fund where you contribute over a certain time and get back your investment plus interest earnings at the maturity date, but if you feel like you can manage your money and savings well you won’t be needed that kind of insurance. The other type of life insurance could be useful for everyone who doesn’t have any compensation guarantee from any institutions, this kind of insurance designed to cover risk - things that could happen to you. Here are some covers that this life insurance can give:
- Income protection or disability insurance - covers part of your normal income if you are prevented from working through sickness or accident.
- Trauma insurance - provides a lump sum when you are diagnosed with one of several specified life threatening illnesses.
- Term life insurance or whole of life cover - provides your dependents with a lump sum if you die.
- Total and permanent disability insurance - provides a lump sum only if you are totally and permanently disabled before retirement.
