Trauma Insurance – include the kids
As part of managing our business risk and protecting our valuation we often use Trauma insurance – created in South Africa in the 1980′s as a new form of Personal Insurance to help families who suffered a “Traumatic Event” and needed a lump sum of money to help recover. Most insurance companies offer policies that trigger a payment when any of the 30 to 40 listed events, the most common being Cancer, Heart Attack and Stroke occurs to the insured. One benefit that may be of interest to families is Family Protection (AIA) or Child Trauma benefits. Starting from as little as $5 per month a lump sum of $50,000 to $200,000 could assist a family when an unfortunate event effects a child between 2 and 16, by suffering a listed ‘Child Trauma’ event. This could be very helpful for parents needing to take time off or need a lump sum of money to help children with the right medical treatment and time to recover. In many ways whilst we manage unplanned events and often use insurances to fund this aspect of a strategic business succession plan – having a child suffer a trauma could severely impact upon your time and energy available for the business – not to mention the stress and grief at having a sick/injured child – this funding is designed to reduce that pressure.