Risk Planning

Updated on 3rd February'2014

  • Are you aware of pre and post retirement risks?
  • Are you insured against Total Permanent Disability?
  • Do you have income protection insurance?
  • Is your life partner's financial future secure if you pass away before they do?
  • Do you have trauma insurance?

Make Sure You & Your Partner Are Covered For Life

There is no telling what may come tomorrow & the unfortunate, but inescapable truth about retirement planning is that you may not live to enjoy your savings; or, you may be incapacitated in some way with medical expenses exceeding your savings.

You need to consider the following four Insurances on your income to ensure an adequate & comfortable lifestyle, should the worst case scenario play out;

  • Life Insurance (to protect your life partner & dependants)
  • Total Permanent Disability- in case you become disabled in some way & need lifelong palliative care
  • Income Protection
  • Accident Cover
  • Trauma

As part of your financial plan we will work together to find a suitable amount of the insurances listed above against the premiums being paid. I make an assessment of the most cost effective strategy to provide adequate to cover you & your loved ones.

Pre-retirement Risks to manage

These affect your Human Capital, which is your potential to earn & accumulate wealth to fund your retirement;

  • Expense risk; The impact of living expenses that may be higher than expected or incurred through misfortune
  • Savings risk; Inflation can have a serious impact on retirement savings & is difficult to both predict & manage
  • Market risk; The effect of the recent GFC on superannuation savings illustrates market risk perfectly
  • Mortality risk; If you’re retirement is planned with your partner the early death of one partner is significant

Your Human Capital depreciates as you age & decreases swiftly once you’ve retired. Although you may have investments geared toward income generation this is far more vulnerable than employment to market risks.

Post-retirement risks to plan for

These are risks to your financial capital, which is the value of your savings & wealth;

  • Expense risk; Living expenses, the stability of the consumer price index, unanticipated medical & care expenses
  • Market risk; Income & savings assets are vulnerable to market forces. Diversification offers some protection
  • Longevity risk; There is always the possibility that you’ll live longer than expected; & unable to afford it
  • Bequest risk; Oversights such as an invalid will pose a threat to your dependants & bequest plans

With my advice & assistance we can plan & protect your financial capital against these risk factors & insure your income, your medical costs & your partner.

Contact Me

M:  0430 47 27 18
E:  david.moses@aquariuspwm.com.au
W:  www.aquariuspwm.com.au

Postal address in WA
PO Box 2086 Ellenbrook WA 6069

 

Postal address in NSW
PO Box 59 Forestville NSW 2087