If you have noticed, insurers often pair up redundancy insurance with income protection insurance. If not, insurers give you discounts or offer the bundle at a lower price compared to having each type of insurance on its own. There is a very good reason for pairing up redundancy insurance with income protection insurance and even a better reason for you to start thinking of getting such insurance. Redundancy insurance might just be what you need!

Redundancy insurance is actually a counterpart of income protection insurance. Let’s compare income protection and redundancy insurance. Income protection New Zealand covers for time off from work during illness and in times when the policy holder is injured but nothing more than that. It does not cover unemployment and most definitely does not cover redundancy. With the highly erratic economy that the world has these days, employees like you can never be sure if there will come a time when they would be redundant and unemployed. In times like these, income protection insurance will no longer be of help to you. Redundancy insurance will cover your expenses until you find new work again.