You can claim a deduction for the cost of premiums you pay for insurance against the loss of your employment income. Only the premiums you pay to protect your income are deductible. This is known as income protection of continuing salary cover.
You must include any payment you receive under an income protection policy in your tax return.
You can’t claim a deduction, if the policy
- you take out is through your superannuation fund and the premiums is deducted from your contributions
- pays you a capital sum to compensate you for injury.
For example, you can’t claim a deduction for:
- life insurance premiums
- trauma insurance premiums
- critical care insurance premiums.
What is Income Protection Insurance?
When you are injured or become ill and are no longer able to work, payments are made so that you can continue to pay your bills and help cover your living expenses. You can receive up to 75% of your pre-tax income up to $10,000 a month for a specified time if you are unable to work due to illness or injury.
Why is income protection insurance important?
Paying bills can be stressful if you’re struck by an unexpected illness or injury. Suncorp Income Protection Insurance provides peace of mind with regular monthly payments for a period of time to help keep your life on track if something goes wrong. There’s also built in financial assistance when returning to work and extra support for childcare to help protect your family.
How much does income protection insurance cost?
Help take control of your finances with Suncorp Income Protection, which you can tailor to suit your budget. How much you pay will depend on a few things, like your job, lifestyle and medical history, and the cover amount for bills and lifestyle costs. Get an income protection insurance quote online to see how you can personalise your policy.
Accidental Injury Benefit
Designed to help you and your family with the financial strain of accidental injury, this will backdate the benefit payment to the date of your accidental injury, if it results in:
- Being totally out of action for the duration of the claim waiting period
- Remaining totally out of action beyond the end of the claim waiting period and eligible to receive a benefit or partial benefit
- The total benefits paid on any claim is up to the maximum claim benefit period nominated on your policy. The Accident Benefit Option is available if you take out Income Protect Plus Cover with a 14 or 28 day claim waiting period.