Our estate-planning package comprises the highest quality documentation associated with Wills, Powers of Attorney and Guardianship. Estate planning can be an extremely sensitive issue involving significant emotional and financial concerns, therefore we ensure that all documents accurately and successfully reflect your intention and needs. Insurance Obtain a free Insurance consultation. Complete and submit your details to receive an obligation free consultation from an accredited insurance specialist.

Personal Details To Receive More Information Please Provide First Name: Surname: Smoker: Select Smoker Non Smoker DOB: Day 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 Month Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Year 1984 1983 1982 1981 1980 1979 1978 1977 1976 1975 1974 1973 1972 1971 1970 1969 1968 1967 1966 1965 1964 1963 1962 1961 1960 1959 1958 1957 1956 1955 1954 1953 1952 1951 1950 1949 1948 1947 1946 1945 1944 1943 1942 1941 1940 1939 1938 1937 1936 1935 1934 Gender: Select Male Female Email: Phone: Street Address: Suburb: Post Code: State: Select NSW QLD VIC SA NT WA TAS ACT Occupation: Dependents / Personal Current Annual Income: Are you : Select Single Married De-facto Dependant Spouse? Select No Yes Number of Children: Select 0 1 2 3 4 Children's Ages: Assets Home: $ Other Investments Value: $ Current Superannuation Balance: $ Liabilities Home Mortgage: $ Investment Debt: $ Personal Debt (incl credit cards): $ Current Insurance Current Life Cover (incl under super): $ TPD Cover Current (incl under super): $ Current Trauma Cover: $ Do you have income protection? Select Yes No What is the waiting period? Select 14 days 30 days 90 days 180 days 360 days 720 days What is the benefit period? Select 2 years 5 years Age 55 Age 60 Age 65 What is the monthly benefit? What is your accumulated sick leave in weeks? Comments:

Read below to learn more about Life Insurance

PERSONAL COVER

   Term Life
   Total & Permanent Disability
   Trauma Insurance
   Income Protection
   Permanent Life Insurance

BUSINESS COVER

   Keyman Insurance
   Business Expense Insurance
   Partners Buy/Sell Cover

FULL ADVICE NEEDS

   A complete Analysis of your Strategic Needs

TERM LIFE INSURANCE

Term Life is a simple financial tool but it is also powerful in what it can deliver for you. Here are some frequently asked questions:

1. What is Term Life Insurance?
2. Why do I need Term Life Insurance?
3. How much Term Life Insurance do I need?
4. What quality checks do I need?

1. What is Term Life Insurance?

It’s a personal Life Policy that pays out a Lump Sum in event of death.

Similar to car insurance – if you pay the premiums you are insured, if you don’t the policy ceases – it has no savings component.

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2. Why do I need Term Life Insurance?

Nothing could be worse than to lose a family member prematurely as the emotional and financial impact could be overwhelming.

If you have not built up the necessary assets then Term Life Insurance will provide the CASH, TAX FREE to repay debt, put food on the table, provide a school of your choice for the children, and many other benefits that makes up a lifestyle with dignity.

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3. How much Term Life Insurance do I need?

The method of calculation normally takes into account your “life values” based on any liabilities and your future earning potential and the size of your family.

The matters which will require assessment are:-

• Your debt reduction needs
• Provision for future purchases, investments etc.
• Future education expenses for children.
• Income generation requirements

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4. What quality checks do I need?

• Does my policy have an early payout in the event of a diagnosis of a terminal illness?
• Can my policy offer me a level premium as well as a stepped premium? Stepped premiums increase with your age.
• Can I claim a personal tax deduction for the premium I have paid?
• Does the policy contain provisions to increase cover without extra medical evidence to cover such events as marriage, the birth of a child or taking out a mortgage.
• Our recommended insurer will annual reviews of my policy and advise of any alternate insurers if needed.

TOTAL & PERMANENT DISABILITY INSURANCE (TPD)

• Is normally part of a Term Life Policy but can be purchased as a Stand Alone Product with certain Life Companies.
• TPD also pays a LUMP SUM in the event of Total and Permanent Disablement to the point where you are unable to ever work again.
• It is important to examine how the two major definitions, “any occupation” or “own occupation”, of your ability to perform an occupation apply to you.

Choice of Definitions – What does it mean?

“Any Occupation”

Throughout the 6 months you have been absent from active employment, you have been unable to engage in (whether or not for reward) any occupation for which you are reasonably suited by education, training or experience and you will be so disabled for life.

“Own Occupation”

After you have been absent from active employment for 6 months, you continue to be incapacitated to such an extent that you will not be able to engage in your own occupation again.

“Home makers”

You have been through sickness or injury unable to perform domestic duties or child rearing and have been confined to the home for 6 consecutive months, and

You are under the regular treatment, and following the advice, of a medical practitioner, and

You continue to be so incapacitated to the extent that you are unable to engage in (whether or not for reward) any occupation for which you are reasonably suited by education, training or experience and

You will be so disabled for life or You have suffered Loss of Limbs or Sight. Or Cannot perform two of the five activities of daily living

• Washing: the insured person can wash themselves by some means
• Dressing: the insured person can put clothing on or take clothing off.
• Feeding: the insured person can get food from a plate into their mouth
• Continence: the insured person can control both their bowel and their bladder function
• Mobility: the insured person can:

a) get in and out of a bed
b) get on or off a chair/toilet
c) move from place to place without using a wheelchair

TRAUMA INSURANCE

What is Trauma Insurance?

• Also called Crisis Insurance, Critical Illness Insurance, Recovery Protection Insurance, Medical Catastrophe Insurance
• Whatever it’s called, it covers nasty medical conditions. It’s a method of insuring your lifestyle while still alive and in the process of recovery.
• It is paid in a Tax Free Lump Sum.

Why do I need it?

• No one is immune to suffering a medical condition over their lifetime.
• It’s just not possible to say “it’s not going to happen to me” or “I’m too young to have a heart attack”
• Everyone knows someone who has had a traumatic event happen in their lives whether heart attack, stroke, cancer, a by-pass, lost a limb, become quadriplegic or paraplegic from an accident.

The facts are highlighted as follows :

• Each year approximately 350,000 new cancer cases are diagnosed*
• One in three men and one in four women are expected to be directly affected by cancer before age 75*
• One in eleven women are likely to develop breast cancer*
• One in two men and one in three women aged 40 are at risk of having a coronary heart disease at some time in their future life**

* Source: Australian Institute of Health and Welfare, Cancer in Australia 1998
** Source: Australian Institute of Health and Welfare, Heart, Stroke and Vascular diseases Australian facts 2001.

How much do I need?

• Costs of immediate care – i.e. alternative or more specialised treatment in Australia or overseas outside the scope of health insurance cover.
• Employment – will you be capable or will you want to return to work immediately after recovery or spend time focusing on your health.
• Ongoing Costs – how will your condition affect increased cost of living – rehabilitation equipment or specialised care.
• Housing and Transport – would you have to modify your home or purchase a specially modified car.
• Lifestyle Changes – as a result of your traumatic and emotional crisis, would you want extra funds to go on an extended holiday or purchase a holiday home
• Debt Cancellation – would you want to pay out your mortgage.

What do I look for in a Quality Policy?

• You have the option of having a “top of the range” policy with up to 40 medical conditions or a Standard Policy.

Heart Disorders

• Heart Attack
• Out of Hospital Cardiac Arrest
• Coronary Artery Disease Requiring By-pass Surgery
• Coronary Artery Angioplasty
• Replacement of a Heart Valve
• Surgery for Disease of the Aorta
• Cardiomyopathy
• Primary Pulmonary Hypertension
• Open Heart Surgery

Nervous System Disorders

• Stroke
• Major Head Trauma
• Motor Neurone Disease
• Multiple Sclerosis
• Muscular Dystrophy
• Paraplegia
• Quadriplegia
• Hemiplegia
• Diplegia
• Tetraplegia
• Dementia and Alzheimer’s Disease
• Coma
• Encephalitis
• Parkinson’s Disease

Body Organ Disorders

• Cancer
• Benign Brain Tumour
• Blindness
• Chronic Kidney Failure
• Major Organ Transplant
• Severe Burns
• Loss of Speech
• Loss of Hearing
• Chronic Liver Disease
• Chronic Lung Disease
• Sever Rheumatoid Arthritis

Blood Disorders

• Occupational Acquired HIV
• Medically Acquired HIV
• Aplastic Anaemia

Other Events

• Serious injury
• Critical Care
• Loss of limbs and sight
• Loss of Independent Existence

Some events covered under Standard Trauma Cover

• Aortic surgery
• Cancer
• Coronary artery surgery
• Heart attack – myocardial infarction
• Heart attack – out of hospital cardiac arrest
• Heart valve surgery
• Stroke
• Kidney failure
• Major organ transplant
• Paralysis that is one of:

Diplegia
Hemiplegia
Paraplegia
Quadriplegia
Tetraplegia

• Please do not ask us to advise you on the medical wordings as we are not qualified to do so. Take the trouble to see your doctor and ask him the relevant question.
• A good policy is likely to pay a portion of the benefit in advance, upon diagnosis of some degenerative diseases, with the remaining benefit being paid once the full medical definition has been satisfied.
• Some policies will allow the repurchase of life cover, if you have taken out Life and Trauma together, once you have survived your trauma condition for 12 months.
• Some policies allow you to repurchase trauma cover, excluding the condition on which you have claimed upon, after 12 months.

INCOME PROTECTION

What is Income Protection?

• You may have heard about it but don’t fully understand it and don’t know whether you are adequately covered or not.
• Put simply, it’s a way to ensure you get paid an income in the event of your inability to work as a result of a sickness or injury. It covers you for this occurrence anywhere in the world*: 24 hours per day.

* Some restrictions apply since September 11, 2001 .

• It will help put food on the table, petrol in the car, help pay your mortgage, pay school fees and maintain a reasonable standard of living.

Why do you need it?

What’s your greatest asset?

• Car
• Home
• Ability to earn Income

Which one of the above do you generally think of insuring first. Your car is worth $50,000, house – approximately $250,000 (building costs only), your ability to earn income for say 25 years at $50,000 per year, indexed, is around $2,000,000!!!

What about Workers Compensation/Sick Leave

• Many people feel that income protection is only for the self employed but if you are an employee, how long will your generous employer continue to pay you sick leave if you can’t work – 3 months, 6months etc.

How long can you survive on your savings?

• Work Cover does not pay a huge lump sum any more if you are substantially incapacitated. In fact over 50% of claims are for sickness and Work Cover does not pay for non work related sickness.
• Work cover only covers you at work or to and from work and most serious injuries happen outside of work.
• Do yourself a favour and find out about how much you are able to claim under your Work Cover Scheme and what are the restrictions – you may get a shock.

How much will I need?

• Most income protection covers will only allow you to cover 75% of your gross salary.
• For self-employed people it is 75% of gross income less business expenses.
• Proof of income will be required up front to save the problem at claim time. For self employed persons Add Back Calculations are made to substantiate correct income, similar to calculations for banks when applying for a home loan.

Some Specific Terminology you will need.

• Benefit Period – the maximum length of time you will get paid. It can vary from 2 years to until age of 65.
• Waiting Period – the excess period before claim payment. From 14 days to 730 days.
• Agreed Value Contract – pays what’s on the policy, even if your income decreases, suitable to self employed.
• Indemnity Contract – pays 75% of your last 12 months or in some cases average of last two years – suitable for employees whose income does not fluctuate wildly.
• Non cancellable Contract – the insurance company cannot cancel the contract for repeated claims or if your medical condition changes once the policy is in force – you can cancel by not paying premiums.
• Duties based definition vs. Income based definition vs. hours based criteria
• Look to a policy that is suited to your occupation, age, income. We will advise you of the differences.
• Plus Contract vs. Basic Contract

The table below gives you an idea of the benefits available under each Contract – we will discuss your requirements to help you make the appropriate decision.

PERMANENT LIFE INSURANCE

What is Permanent Life Insurance?

• It used to be called Whole of Life Insurance.
• It has a growing cash value over the term of the contract (usually to age 95) – the longer you keep it the more cash value it accumulates.
• Somewhere around the 14 th year of the policy the accumulated savings amount is equivalent to the premiums you have paid over the 14 years – from then on you are in front.
• Premiums remain the same over the life of the contract and some portion is devoted to the cost of the Life Cover and some towards the savings component.
• The principal purpose is the provision of long term cover so that it is there permanently. It is used as a complement to Term Life cover.
• The secondary features are that it is a growing asset and does have a cash value which can be drawn against for urgent needs, even to pay the premiums if you are short.

How do I know if I need it?

• Ask our team to provide you with a long term strategy that includes a combination of short Term Life Cover and Long Term Permanent Cover and decide with our help its affordability and its purpose in your strategy.
• It is more expensive than Term Life Cover but its strategic purpose is totally different than Term.

KEYMAN INSURANCE

What is Keyman Insurance?

Key Executive or Key Employee Life Insurance is insurance purchased by a business on the life of an owner or employee, whose services contribute substantially to the success of the business. The Company is the owner and pays the premiums and therefore is the beneficiary of the policy.

Because complete control of the policy vests with the company, the insurance may be considered simply as a company owned asset.

Keyman Employee Insurance has many uses but there are three main purposes:

The Protection of the Business – The cash received from an Insurance Policy on the death of the Key Employee will assist the company in the preservation, stability and continuation of the business, protecting other employees from losing their employment and will also assist in recruiting an outsider comparable to the deceased employee.

Finance – A special advantage of Key Employee Insurance is that it constitutes an emergency reserve, apart from all other assets, which is not subject to business fluctuations. It could also be used to stimulate confidence in creditors.

Provision for the Key Employee or his dependants – Key Employee Insurance may also be used to provide or supplement a retirement benefit for the Key Employee or to finance a benefit in whole or in part to the widow or other dependants of the Key Employee on his or her death.

How to effect Key Employee Insurance

The employer takes out a policy on the employee’s life and pays the premium. If the Key Employee Insurance is effected by a registered company, the company should pass a resolution to effect the insurance and such resolution should contain the necessary details regarding the insurance policy and the purpose for which the policy has been taken out.

The Types of cover

Three major Lump Sum covers should be considered

• Term Life Insurance
• Total & Permanent Disability Insurance
• Trauma Cover Insurance

Income Tax in relation to Key Employee Insurance

As mentioned earlier every Key Employee Insurance Policy will cover a purpose. It is the purpose that determines the tax implications.

In certain circumstances the tax payer can claim a deduction under section 51 (1) of the Income Tax Assessment Act. This section allows a tax payer to deduct from assessable income “losses and outgoings” to the extent that they are incurred in gaining or producing the assessable income or are necessarily incurred in carrying on a business for the purpose of gaining or producing such income.

It is important for the employer to determine what the purpose of the benefit will be for. Before any determination can be made of the deductibility of the premium or the assessability of the policy proceeds for Key Employee Insurance, it is necessary to determine whether the purpose for which the policy was effected was for a revenue or capital gain purpose.

The general ruling is, if the purpose is for revenue i.e. covering loss of profits, cost of replacing the Key Employee, providing a gratuity to the employee’s dependant:

• Premiums paid are Tax Deductible
• Proceeds are Assessable Income

From this it necessarily follows that whatever is determined, as the amount of insurance required, consideration will have to be made as to the amount of Tax to be paid

e.g. If the policy is for $1,000,000; tax of $300,000 will be paid

(Company Rate of Tax 30%)

If the policy is put into place for Capital Purposes i.e., capital protection, repayment of a loan, to replace lost goodwill, to offset or stabilise a liquidity problem:

• Premiums are not Tax Deductible
• Proceeds are not Assessable Income.

Valuation of Key Employee

The most difficult evaluation of any Key Employee case is just how much the company will lose in the event of the untimely death of a Key Employee. In an old established company where earnings usually depend on a large number of “Key Employees” one death may not mean a great loss. But in a situation where a new company breaking new ground, especially in new technology, a Key Employee’s early demise could affect future earnings by many millions of dollars. When assessing the value of a Key Employee it is now becoming more important to establish the reasons for insuring the Key Employee. The following are some examples of reasons for Key Employee Insurance:

• To offset the loss of a Key Employee’s services.
• To offset the loss of any unfinished business incurred by his or her death.
• To offset the loss of clientele attracted to the firm by his or her personality and ability.
• To offset the loss of employee unity and working harmony which is held by his or her good management and understanding.
• To offset the loss of future expansion of the firm.
• The loss from other stabilising and profitable efforts on his or her part.
• The need to cover loss in credit standing of the corporation for example: repay corporate loans which have been extended because of the Key Employee’s abilities.
• To cover the cost of seeking and training a Key Employee replacement.
• To make provision for this Key Employee and to protect his widow and other dependants.
• To insure the human life assets of the business, in order that there is continuity and the ability to repay debts in accordance with the law.

BUSINESS EXPENSE INSURANCE

What is Business Expense Insurance?

• It’s a way of protecting the ongoing viability of your business for those fixed and recurrent expenses that occur if you cannot work through a sickness or injury.
• Income Protection is in place for your personal and family expenses and is not designed to cover expenses of a business.

If you are not able to work several things are likely to happen:-

• The performance of the business would deteriorate
• The fixed expenses would continue

What Fixed Expenses are Covered?

These are some of the fixed Business Expenses that are covered

• Rent
• Mortgage/loan payments on business
• Electricity, gas, water, heating, cleaning and laundry
• Telephone
• Insurance premiums
• Leasing of equipment and motor vehicle
• Property of rates and taxes
• Depreciation expense for plant and equipment
• Membership fees to professional bodies
• Accountant’s and auditor’s fees

Salaries and associated costs (e.g. superannuation contributions, payroll tax, worker’s compensation) for employees not producing revenue.

Note:- Personal remuneration, depreciation of real estate, costs of goods or merchandise, equipment, fixtures or fittings, cost of implements of profession, and salaries of employees who would continue to produce revenue during the disability of the life to be insured, cannot be covered.

PARTNER BUY-OUT INSURANCE

What is Partner Buy-Out Insurance?

Partner Buy-Out insurance is the “funding” portion of a two step process in putting together a Buy/Sell Agreement between two or more persons for the orderly transfer of the portion of equity which currently belongs to each partner/shareholder.

The two steps:-

Funding – a method other than cash or borrowings used to purchase the other parties equity in a business.

Unlike a sale in the ordinary course of a business, the continuing proprietor might be unable to raise the necessary finance to buy his partner in the event of a major insurable event i.e.

• Death
• Total & Permanent Disability
• A medical condition (Trauma) not resulting in Death or Total & Permanent Disablement.

Transfer

This is the legal agreement between business proprietors dealing with the orderly transfer of equity in the event of, for instance, death, disablement or critical illness.

Buy/Sell contracts are usually prepared by lawyers and reflect the inter-relationship between business entities and the principals, the insurance needs, the value of the business and the equity position and the terms under which any transfer of equity is triggered.

Why do I need Partner Buy-Out Insurance?

At some stage of a business an event will occur (apart from bankruptcy or exit) which will result in the requirement of business partners to raise capital to effect a buy-out of the outgoing partner.

This is done either by:-

• Raising Capital
• Funding the buy-out by insurances.

The choice is yours.

How much cover do I need?

This is normally calculated in a joint discussion between a Business Valuer, the Accountant, the Partner and the Insurance Broker if he/she is sufficiently qualified to provide this advice.

Our recommended insurer is a qualified CPA and Bachelor of Commerce (Accountancy) who can assist with determining the level of cover required.

FULL ADVICE NEEDS

The needs of single persons are different to married persons. The needs of married couples, with children, are different to married couples without children and so on.

If you don’t know how much cover you need, or if you don’t know what kind of cover you need, complete the information requested and our recommended insurer we will call you to discuss your current situation, your current cover (if any) and your future requirements. Once they have done they will provide you with a statement of Advice, which will include (among other things) a recommended Level of Cover.