Household expenses, school fees, and credit card bills can feel like a never-ending struggle. While these financial obligations might be manageable when you have a steady income, the unfortunate reality of unemployment, illness, or an accident can dramatically affect your ability to pay these bills. This is where the importance of income protection becomes evident.

The Impact of Unexpected Life Events

Unexpected medical bills and a sudden loss of income not only increase your expenses but also elevate your stress levels. This is a situation no one wants to face. At Mont Blanc Financial Services, we are dedicated to ensuring our clients are prepared for the unexpected. Our Income Protection cover is designed to secure your financial stability when you are unable to earn due to accidents, unemployment, or illness.

The Rising Need for Income Protection in South Africa

Sanlam, a leading insurance provider, reports that more South Africans are likely to claim insurance payouts for death, funerals, sickness, and income protection now than in previous years, largely due to the Coronavirus pandemic. Unfortunately, this trend continued into 2021, with disease, accidents, and unpredictable unemployment remaining prevalent.

Young Professionals and Income Protection

Statistics highlight that income protection is particularly beneficial for young professionals. In 2020, 59% of all Covid-19 related Sanlam income protection payouts were to individuals younger than 39 years old. Although young professionals might not always prioritise protecting their income, Sanlam Product Development Actuary Karen Bongers emphasises the importance of this mindset shift. The long-term loss of income due to illness or injury is the single biggest financial risk young people face throughout their working lives.

The Debt Dilemma

Additionally, a concerning statistic from PayCurve reveals that almost 80% of South Africans sought unsecured loans to meet their monthly financial obligations. A study by DebtBusters showed that 1.6 million South Africans took advantage of payment holidays, resulting in debt repayments amounting to R20.7 billion.

The Critical Need for Income Protection

These figures, combined with the reality that seven out of ten people will experience at least one injury or illness during their working lives that will prevent them from earning an income, underscore the critical need for income protection cover. Despite this, it remains underutilised.

Secure Your Future Today

Your ability to generate an income significantly impacts your security within society. Protecting your financial situation and health is crucial to safeguarding yourself and your loved ones from events beyond your control. Income Protection provides a safety net, allowing you and your family to weather unforeseen events and enjoy peace of mind.

Don't wait until it's too late. Secure your financial future with Mont Blanc Financial Services' bespoke Income Protection cover. Contact our experienced brokers today at 0800 467 873, and let us help you protect what matters most. Call now to learn more and get started!

Mont Blanc Financial Services - is an Authorised Financial Services Provider. FSP 8271