Finding life insurance and income protection for workers in the mining industry
If you are a miner working in Australia, you are already aware of how dangerous your job can be. You may work above ground or in the underground mines, work with heavy machines and maybe even explosives. This type of work puts miners at a higher risk for an accident to occur on the job. Some of the materials used in mining, in addition to the underground environment can also put miners at a higher risk for numerous health conditions and illness. Even though mines have become safer over the years, it is still considered one of the most dangerous jobs.
These facts are one of the main reasons why it is so important for miner to obtain life insurance to protect them and their families in case of an injury or illness. Life insurance will provide financial support if you face an illness or injury that keeps your off work for several weeks or months at a time, or if you become permanently disabled. It will also protect your family financially in the event of your death. Unfortunately, many miners have a difficult time finding adequate life insurance for miners. Many insurance companies will factor in the type of work you perform on the job to determine what your risk factor is for getting injured or sick. This risk factor will determine the miner’s ability to obtain life insurance and what their premiums are.
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Is it Possible to Obtain Life Insurance if I Work in the Mining Industry?
While miners in Australia may have a more difficult time obtaining life insurance for miners, it is not impossible. There are several insurance companies in the country that provide life insurance for coal miners. Unfortunately, some of these insurance covers can be quite expensive for miners. The insurance company will take several factors into consideration when determining how much the life insurance premium should be, including the miners age, gender, type of work the miner performs, if the miner works above or underground, and what type of coverage the miner wants. Each case is reviewed on an individual basis.
In addition to high premiums, some insurance companies also limit the number of options for the miners. Most miners will be able to find adequate life and trauma insurance protect, but TPD (total permanent disability) and income protection insurance are more difficult to obtain. If miners are able to find an insurance company that offers TPD and income protection, they are likely to add on extra fees for this service, which is referred to as loading. Miners may be able to purchase bundle packages that include more options and will reduce the cover premium.
Another thing miners need to look out for when purchasing life insurance for miners is any exclusions the insurance company may include in the policy. The miner may also be capped on the amount of cover they can obtain. It is important for the miner to shop around and find the right insurance cover to meet their need and to financially protect them and their families.
Things to Consider When Looking for Life Insurance for Miners
There are a number of things that you need to take into consideration when it comes to finding life insurance as a miner. First off, although mining is a well paid job that comes with a decent income, it is also a high risk job that represents a higher risk factor to insurance firms. This in turn means that your premiums are going to be higher because the cost of cover reflects the increased risk to insurance firms. With this in mind, you should ensure that you compare life insurance for miners, looking at a range of providers and plans in order to find the best deal possible.
Another thing to bear in mind with life insurance for miners is that it is worth considering comprehensive trauma cover as part of your policy. This is something that will provide financial protection in the event that a serious trauma, such as paralysis or loss of limbs, limits your ability to work and earn your living. The high risk nature of jobs such as mining means that other forms of income protection, such as Total Permanent Disability Insurance, are not always available so being able to add trauma cover to your life insurance plan can help to provide additional peace of mind.
It is important to look at all of the different areas of insurance cover before you make your decision, as you need to make sure you choose the right plan and get it at the right price. Some of the things that you need to pay close attention to when you are comparing life insurance for miners include:
- How much the plan will cost: It is important that you are able to keep up with premium payments on the policy you choose, as otherwise your cover could become invalid, which means that your family will not be protected financially in the event of your death. With this in mind, you need to compare the cost of cover, which can vary widely based on a number of factors such as the plan and provider you choose, your personal circumstances and the level of coverage you opt for
- What the cover includes: Whilst you can get basic life insurance cover for miners, there are also some policies that come with additional features, which you can choose as optional add ons. Although this means that you will pay more for your plan, the additional peace of mind you get – and the additional protection your family will get – is often worth the small increase in premium. Make sure you compare different policies to see what they offer over and above the standard life cover
- How much coverage you get: It is also worth comparing the maximum coverage levels that are offered with different plans and providers so that you can ensure that you are able to get the level of coverage that you want when you take out your cover
Comparing all of these factors, and also ensuring that you thoroughly familiarise yourself with the main benefits and any exclusions of the various plans, means that you have a far better chance of being able to find the right plan for your needs. You can compare life insurance for miners with speed and ease online, which means greater ease and convenience for you.
Different Types of Life Insurance Policies for Miners
If you are a miner working either above or underground, there are several insurance options you should consider. Each type of insurance offers its own benefits and financial support to protect you and your family. Here is a look at the top four life insurance policy for miners you should consider.
- Life cover. Life insurance will give a lump sum distribution to your beneficiary, or beneficiaries, if you were to die. This insurance cover can assist your family during what will likely be a very difficult time by providing financial support. Your loved ones can use these funds for any reason, such as funeral expenses, pay off bills or mortgage or to save for future needs, such as retirement.
- Trauma insurance. This insurance cover provides a lump sum payment in the event of serious injury or illness. These funds can help pay for additional medical expenses, or allow a spouse to take off work for a period of time to care for his/her injured or ill partner.
- TPD insurance. Total and Permanent Disability insurance will give you a lump sum disbursement if you have a serious injury or illness. This injury or illness must leave you permanently disabled and unable to continue to work.
- Income protection. Income protection will pay you a portion of your wages if you have to be off work for an extended period of time, due to an illness or injury. Usually, the payment is between 75 and 80 per cent of your normal gross wage amount. You will continue to receive these payment for a set period of time or until you are able to return to work.
I am Covered by Worker’s Compensation, Should I Still Consider Miners Life Insurance?
All companies in Australia are required to provide worker’s compensation for all of their workers, including miners. Many miners feel that this protection offered by worker’s compensation will be enough to provide for them financially if they ever need to be off work for an extended period of time due to an illness or injury. While the worker’s compensation insurance offered by employers can be a great benefit that offers financial support if you are injured on the job, it may not be enough. You must consider if this protection is adequate enough or if your family would require more financial support if you were unable to work.
Worker’s compensation will cover 90 per cent of your weekly earnings if your are injured on the job. How your weekly earnings are calculated depends on where you live. For example, in Queensland overtime is factor into your average weekly earnings, while in NSW is it not. There is also a cap for how much you will be paid on a weekly basis, and in NSW that cap is just of $2,100. Recent changes in the worker’s compensation laws focus on putting the worker back to work as soon as possible and you may be required to return to work on a part-time basis or risk losing your benefits.
The first thing you need to realise is that if you are injured or become ill anywhere else other than the workplace, your worker’s compensation will not cover your injury or illness. This would result in loss of wages with no financial support available to help you until you can return to work. Also, if you die anywhere else other than work, your family will not receive a disbursement, unless you have life insurance for miners.
You also need to consider the increased costs associated with an illness or injury that may not be covered under your worker’s compensation policy, such as transportation, and over-the-counter pain medications. Worker’s compensation also has a cap on what the maximum they will pay for medical coverage and you will be responsible for anything over that amount. After taking all of these things into consideration, you may determine that additional coverage is required.
Life Insurance and Income Protection Assessment for Miners
When applying for a life insurance for coal miners or an income protection insurance policy, the company will most likely assess your risk factor. This risk factor will help the insurance company determine what the likelihood is that you may be severely injured, or even die, on the job. This assessment is extremely important and will be used to calculate your insurance premiums. It is important that you provide the insurance company with as much information as possible. It is also necessary to be very honest with your answers because any discrepancies could cause a problem when you file a claim.
The insurance company will look at several basic factors including you age, gender, where you live and where you work. They will also want to know the specifics about your job, such as what your job title is and what specific duties you perform at work. When asking these questions, the insurance company is trying to determine if you work above or underground, do your work directly or indirectly with any type of explosives, do you perform hard or soft rock mining, and if you work with any heavy equipment or machinery. This information is used to determine if you are a high or low risk miner.
They will also want to know about your experience working in the mining industry and how many years you have worked with the same mining company. Naturally, the more experience you have the lower your risk of injury. If your work schedule pulls you out of town for weeks at a time, they will also want to know exactly how your schedule work and how many weeks on and how many weeks off do you get.
Can I Obtain Life Insurance if I Work as an Underground Miner?
If you are a miner who works underground, there are still adequate life insurance options available to you. While your job is considered to one of the most high risk jobs in the country, there are a couple of life insurance companies located in Australia that offer life insurance for underground miners. Some miners have been told by financial counsellors that they will be ineligible for life insurance. While this may have been true several year ago, it is no longer the case.
You want to find a reputable insurance consultant that has experience in finding life insurance solutions for miners. This consultant can look over your specific situation and help you determine what time of insurance options may be the right ones for you. He/she can also help you sort through the different insurance companies to find ones that offer life insurance for underground miners.
The insurance companies will still factor in your exact job duties and if you use explosive and/or heavy equipment during the course of your workday. If you do, then your premiums may be slightly increased due to these additional risks. You should have no problem finding sufficient life and trauma insurance in Australia even if you work in the underground mines. However, TPD and income protection insurance are harder to locate and may be quite expensive. You need to review your options and determine what will fit into your budget, yet still meet your financial needs.
What about Life Insurance for Miners Working Above the Ground?
If you are a miner who works underground, there are still adequate life insurance options available to you. While your job is considered to one of the most high risk jobs in the country, there are a couple of life insurance companies located in Australia that offer life insurance for underground miners. Some miners have been told by financial counsellors that they will be ineligible for life insurance. While this may have been true several year ago, it is no longer the case.
You want to find a reputable insurance consultant that has experience in finding life insurance solutions for miners. This consultant can look over your specific situation and help you determine what time of insurance options may be the right ones for you. He/she can also help you sort through the different insurance companies to find ones that offer life insurance for underground miners.
The insurance companies will still factor in your exact job duties and if you use explosive and/or heavy equipment during the course of your workday. If you do, then your premiums may be slightly increased due to these additional risks. You should have no problem finding sufficient life and trauma insurance in Australia even if you work in the underground mines. However, TPD and income protection insurance are harder to locate and may be quite expensive. You need to review your options and determine what will fit into your budget, yet still meet your financial needs.
How to Compare Life Insurance and Income Protection Quotes for Miners
If you are shopping around for life insurance for miners, the first thing you want to do is evaluate your current situation and determine how much protection you and your family would need in the event of an emergency. Consider you lost wages, additional medical expenses, and transportation cost. Determine what type of insurance protection you need, such as life, trauma, TPD, and income protection. This will help you know what type of insurance to look for.
When comparing different life insurance for miner’s options, the first thing you are likely to look at is the price. Keep in mind that the costs of life insurance for miners is going to be substantially higher than insurance for those with lower risk jobs. You certainly want to find an insurance cover that you can afford, however, lower rates may not provide adequate protection. You also want to compare the type of coverage provided. This way your can compare price to coverage offered in the plan to help you find affordable life insurance that is sure to meet your financial needs if an accident, injury or illness occurs.
You want to pay close attention to any exclusions within the policy. These exclusions may limit your ability to process a claim under certain circumstances. Read through the entire terms and condition of each insurance cover you are considering. This will be where any limitations, waiting periods, or exclusions are listed. Insurance covers with a lot of exemptions and limitations may be less expensive, but they also may not provide the financial support you need, when you need it. Talk to an insurance consultant who can help you work through this process, explain all the policy benefits and conditions, and help you find a plan that will work for you and your family.
