Insurance for Pharmacists
No matter what age you are, having the right insurance is essential to your financial security and to protect your current lifestyle, business and retirement plans.
Are you confident that you have the right insurance in place? Guild Financial Planning advisors can work with you to review your current policies and ensure you have the right insurance in place to meet your needs, both now and in the future.
Case study: Ensuring correct policies are in place to protect your business and lifestyle
Scenario:
- Jenny is 55-year-old self-employed pharmacist, who runs 2 pharmacies.
- She has Life, TPD, No matter what age you are, having the right insurance is essential to your financial security and to protect your current lifestyle, business and retirement plans..
- Jenny was insured for over $3 million in cover on Life and TPD insurance, with an additional $500k on Trauma insurance.
- Her income protection was significantly under insured at $8,000 per month against a gross income of $280,000 per annum.
- She has a personal and business debt of $1.5 million, and 2 adult children who are also Pharmacists.
- She was paying $55,000 in insurance premiums annually.
How was Guild Financial Planning able to help?
- During discussions with Jenny regarding her goals and objectives, it was established that her main priorities were to cover her debt, and have a locum run the business for her children while giving them time to decide whether they wanted to sell the pharmacy or not.
- She was also concerned about her own welfare in paying the debt down, as well as covering living expenses if she was unable to work.
- It was determined that Jenny was vastly over insured for Death, TPD and Trauma insurance, while being extremely under insured for Income Protection cover.
- Guild Financial Planning was able to recommend that Jenny:
- Covers her debt in the event of death, while also covering the cost of a locum for 1 year to keep the business trading, while her children have time to consider their options.
- Increase her TPD cover to a total cover of $1.65mill
- Reduce her Trauma insurance to cover her salary and the cost of a locum while she was off work.
- Increase her income protection cover to 75% of her salary to ensure that she will have an income stream to cover her debt and living costs in the event of an injury or illness.
- Switch to a new comprehensive and cost-effective insurance provider.
Outcome
- Jenny now has peace of mind knowing that her debt and business are covered in the event of death or an injury or illness.
- She is now saving $27,000 per annum on insurance premiums.
Speak with your Guild representative today, to find out how a Guild Financial Planning advisor can help you tailor the right level of cover for your needs.