You’re a Partner in a mid or top tier Law firm. You are generating a high income that supports and underpins your family’s current and future lifestyle aspirations.
Your hard work in establishing and retaining important client relationships and your billing capacity allows you to earn the income that you do.
Your ability to stay healthy and continue to deliver this output, particularly over a period of time is therefore in all likelihood your biggest financial asset. More significant than your house, super or share portfolio.
Do you have your most important asset covered and if so is it arranged in the best and most appropriate way specific to your role?
It is quite likely your firms Partnership Deed details the cessation of income after a period of time out of work due to illness or injury. It’s important that you have a plan in place to replace that income once that period ends. When considering income protection for Partners at Law firms, these are often the things that we see as important:
It’s quite likely that you are the major income earner in your family. In the event of your unexpected passing, do you have sufficient life insurance in place that will leave your family in the same position they are currently in – i.e. this might mean a level of insurance that will allow them to replace your income for as long as you are planning on working.
Other important things regarding your life insurance:
You’re no doubt paying more tax than what you would like. Are your policies structured in such a way that allows for maximum deductibility of the premiums?
If it is likely that you will hold some of your insurances for the next 8 years or longer, have you explored level premiums to manage the cost of your insurances over the long term.