Super funds that offer income protection

In a (mostly) post-pandemic, pre-recession world, many Australians are thinking about their financial futures. While you may be looking at setting up an emergency savings account, or checking if your superannuation balance will be enough to cover your retirement, these might not be enough if you were to find yourself unable to work for an extended period due to illness or injury.

One way to help secure your financial future in cases like these is to take out an income protection insurance policy. If you find yourself unable to work, the insurer can provide you with regular monthly payments to help cover the cost of your essentials, such as your mortgage payments, until you’re able to return to work, or other criteria are met.

But does this mean you’d have to add the cost of income protection insurance premiums onto your household budget? Not necessarily. Some superannuation funds offer income protection insurance as one of their benefits, often as part of a life insurance policy. This means your loved ones can be financially supported if are unable to work due to illness or injury, or if you were to pass away.

For example, several of First State Super’s superannuation funds offer life insurance as part of their package, including income protection insurance. Following a waiting period of 30, 60 or 90 days, these policies may be able to cover up to 75 per cent of your monthly income for 2, 3 or 5 years, or until you turn 65. Additionally, 10 per cent of your monthly income can be paid as a contribution into your super account, so you can keep building your retirement savings while keeping your daily essentials covered.

First State Super isn’t alone in offering superannuation funds with income protection. Be sure to compare the past performance, features and benefits of different superannuation funds before making a choice, remembering that past performance does not guarantee future performance.

Compare super funds

Provider

Annual fee at $50k balance1yr return3yr return5yr return

$280

19.2%

More details

Lifecycle Age 47 & under

• Promoted
• Retail
• Life insurance
• TPD insurance
• Income protection insurance

$507

14.7%

7.6%

8.9%

More details

Lifecycle Investment - High Growth

• Promoted
• Industry
• Life insurance
• TPD insurance
• Income protection insurance

$457

15.4%

5.8%

8.3%

More details

High Growth (Lifecycle investment)

• Promoted
• Industry
• Life insurance
• TPD insurance
• Income protection insurance

$711

19.4%

6.2%

11.0%

Super - Growth X

• Retail

Load more