Compare Income Protection Insurance in Australia

Income protection can replace part of your earnings if illness or injury stops you working and you meet the policy’s claim conditions. Covermate Life helps employees, contractors and business owners compare policy features and request quotes from participating Australian insurers.

Request an income protection quote

 

What does income protection cover?

An eligible claim may provide regular benefits while you remain disabled under the policy definition. The amount and duration depend on your cover, earnings evidence, waiting period, benefit period and any offsets. Income protection does not automatically replace your full salary or cover every reason you cannot work.

 

Waiting period and benefit period: what is the difference?

The waiting period is the initial period that must pass under the policy before benefits become payable. The benefit period is the maximum duration benefits can continue for an eligible claim. Check when payments accrue and when they are actually paid; do not assume the first payment arrives on the day the waiting period ends.

Compare these periods with available sick leave, savings and regular commitments. A lower premium may come with a longer wait or a shorter period of protection.

What income is used to calculate a claim?

Ask which earnings the insurer counts and what period it uses. If your pay includes overtime, bonuses or commissions, check whether those amounts are included and which payslips or other records you would need. If you work for yourself, ask how the policy treats business expenses and fluctuating earnings. The monthly amount shown on a quote can differ from the amount payable after earnings are assessed and any offsets apply.

 

What to compare before choosing a policy

• Monthly benefit and the earnings used to calculate it.

• Disability definitions, occupation assessment and eligibility for partial benefits.

• Waiting period, benefit period and claim-payment timing.

• Exclusions, medical loadings and any limits applying to particular conditions.

• Offsets for other income or benefits, where the policy provides for them.

• Premiums now, future changes and how long cover can continue.

 

Income protection for self-employed people

If you run a business or work as a contractor, ask what financial evidence is required and how variable earnings are assessed. Business revenue is not necessarily the same as your insurable personal income. Prepare details of your work duties, employment arrangements and earnings when requesting quotes.

Explore cover for self-employed workers and business expenses insurance. Business expenses cover serves a different purpose from replacing personal income.

 

Check existing cover through super

Review your super fund’s insurance statement and policy terms. Compare the current benefit amount, waiting period, benefit period, exclusions and conditions for keeping cover. Premiums deducted from super reduce retirement savings. Ask how multiple policies interact before paying for overlapping cover.

 

How the quote and application process works

1. Tell Covermate Life which cover you want to explore and describe your work.

2. Compare available policy features and quotes from our insurer panel.

3. Provide the insurer’s requested income, health, occupation and lifestyle information.

4. Review the final premium, terms, exclusions and commencement date.

We provide general advice and application support. Our comparison does not include every insurer or policy. An estimate or submitted application does not confirm that cover has started.

 

Income protection FAQs

 

Does income protection cover redundancy?

Standard income protection is designed for eligible disability caused by illness or injury. Do not assume it covers redundancy, unemployment or a business downturn. Check the policy wording.

 

Does a medical condition prevent me from applying?

Applications are assessed individually. An insurer may offer standard terms, a higher premium or exclusions, defer a decision, or decline cover. Read more about pre-existing medical conditions.

 

How is income protection different from TPD and trauma insurance?

TPD insurance and trauma insurance pay lump sums for their defined events. Income protection provides regular benefits for eligible disability claims. One policy does not automatically replace the others.

 

Explore your income protection options

Covermate Life is based in Bondi Junction and assists people across Australia. Request a quote or ask our team a question.

General advice only. We do not consider your objectives, financial situation or needs. Read the relevant PDS, policy schedule and our Financial Services Guide before deciding. Confirm replacement cover is accepted and active before cancelling an existing policy.

Further reading: ASIC’s Moneysmart guide to income protection.