Generally speaking, income protection insurance is sold to the main breadwinner and more often than not, that has been the husband, however these days, single parent families means that women are often the main source to the household.
Most Australian life insurance companies do charge females higher income protection premiums than males, even if risk factors such as age and occupation are the same.
On average men still earn more than women, but the gap is closing rapidly, and many women now out-earn their husbands.
One of the reasons why insurance companies charge females more for income protection is because women are more likely to claim than men, and once on claim are more likely to remain off work for a longer period of time.
Women are also more likely to retire early, and often they are the ones who have to take time off to look after children or elderly relatives.
By spending less time in the workforce means fewer savings, less Superannuation, and less of an ability to recover from financial setbacks.
And since women normally live longer than men, these setbacks can be even more financially damaging over time.
Talk to a financial adviser before you take out insurance, as there are numerous ways you can reduce the cost of your premiums.
Income protection and business expenses insurance premiums are often tax - deductible.
The best way to find income protection insurance cover that suits your needs, is to speak to one of our advisers, who will help you to chose the right cover as cost effective as possible. Please fill out the form on this page.