Insurances for your Life

Insurances for your life, tpd, income protection & trauma [FAQ's]

Insurance gives you and your family the security and peace of mind knowing that your assets and financial future are covered, no matter what happens!

Which insurances should I have?

As a SMSF Trustee, you can hold a number of insurance policies inside and outside of your SMSF. These include:

Life insurance (or death cover) is an insurance product that pays a benefit when the person named in the insurance policy dies.
Total and permanent disability (TPD) insurance is an insurance product that pays the policyholder a lump sum or income stream if he or she becomes permanently disabled.
Income protection insurance offer fund members income protection insurance to cover a fund member in the event that he or she is unable to work for a period of time due to illness or injury.
Trauma Insurance pays a lump sum upon diagnosis of a range of serious illnesses, including heart attack, stroke and malignant cancer.

Download a list of insurance policies suitable for you. Click here for anything and everything regarding insurance.

Having cover inside your SMSF

Insurance cover through a self-managed superannuation fund (SMSF) can be very beneficial for a number of reasons.

Firstly, where a member is making salary sacrifice contributions, they can effectively pay the premiums with pre-tax money or, in the case where a member is personally entitled to a tax deduction for their contributions, they can effectively claim a tax deduction for the premiums.

In addition to this, the insurance premiums are generally tax deductible to the superannuation fund.The abolition of reasonable benefit limits resulted in the ability for members to fund larger amounts of insurance without being subject to penalty tax opening up the opportunity to move insurance into superannuation.

Trustees of SMSF's, as with any transaction or investment, need to be conscious of the various Superannuation Industry Supervision Act (SIS) requirements when holding insurance through their SMSF. Particular caution should be taken when transferring insurance into a SMSF.

Pay your risk insurances by instalments using Ezypay. Download your document, complete and return to our office for processing.

How to find out more

Robert Kirk Private Wealth Management
Phone: +61 7 3666 0126
Fax: +61 7 3666 0098
Email: info@kirkwealth.com.au