dave dennis financial consultant. income protection.. your needs

DAVE DENNIS – FINANCIAL CONSULTANT

Income Protection……..Your Needs

What is your biggest asset ?

Is it your home ?

Your Income is an asset

Annual salary of €40,000, aged 35

Earnings to retirement = €2M

*Based on retirement age of 65

What Does Income Protection Do?

Income Protection

Insures Salary

Tax Relief

Guarantees Changing Occupation

Long term cover

Any Illness or Injury

SALARY Food

Mortgage

House/Motor Insurance

ClothingVHI

Entertainment

Light & Heat

Pension

Holidays Life CoverSavings &

Investments

Car Loan

SOCIAL WELFARE

€196pwSelf Employed

Nil

Why do I need cover ?

Over-optimism re: State Benefit

Married with 2

Dependants: €19k p.a.

Self Employed: NIL

25% believe they could survive on the State benefit

Disability on the rise Financial consequences of disability are

severe More workers & families financially unprepared

“Consumers need to take greater responsibility for their personal financial well being”

The Need has never been greater……

Causes of Disability Orthopaedic 23%*

Psychiatric 23%*

Heart & Cardiac Disease 12%

Cancer 10%

Respiratory Disorders 3%*

Multiple Sclerosis 3%

Stroke 4%

Other Illness 25%**

* These illnesses would be excluded from payment under Critical Illness** Some of these claims would be excluded from payment under Critical Illness

• One Insurer paid out over €17m in claims in 2008• Their average claim period is 5½ years• Statistically you have a 1 in 6 chance of being out of

work for more than 6 months during your working life• 90% of disabling accidents & illnesses are not work

related• You are 3 times more likely to suffer a disability than

die during your working life - have you life cover?

What are the chances……

1 What are my “necessary” monthly living expenses that would continue if my income stopped e.g. mortgage, utilities, food, medical insurance etc.

2 Would my personal savings pay for my “necessary” monthly expenses - for one month, three months, six months, longer?

3 How long would my assets last if they were funding my day to day living expenses?

4 What state benefit I’m entitled to?5 Does my employer have a sick pay plan or long-

term disability cover, how long does it pay for?

5 Questions Everyone should ask……

Have a plan in place for disability

Asset Protection

€50,000

With IP

Without IP

40 41 42 4443 45 46 47 48 49 500

50,000

100,000

150,000

200,000

250,000

YOUR INCOME

In Summary……Mortgage

Bills

Sports & Social

Children’s expenses

Holidays

Investment &Loans

Pension

Car

Liberty Asset ManagementOther Services -

• Pensions• Life Cover

• Investments• Mortgages

Thanks for your attention …..

Any Questions?

Liberty Asset Management Limited

Cherrywood Business ParkLoughlinstown, Dublin 18.mail: dave.dennis@lam.ie

call: 01 6362700 fax: 01 6362780

click: www.lam.ieLiberty Asset Management Limited is regulated by the Financial Regulator