Disability insurance guards your greatest asset - your ability to earn an income. It defies logic not to insure your income if you are dependent on it to maintain your lifestyle. It's worth noting that 84% of people with disabilities first become disabled before the age of 65.
In most New Zealand homes, the difference between ordinary subsistence and actual want is only a few weeks. Life is more expensive when you are disabled than when you can work. For those starting again after immigration, where two incomes are crucial to recouping lost capital, it is essential to insure your incomes to cross-support each other.
In additional to a monthly disability income, it is essential to have lump sum disablement benefits paid if you become permanently disabled, or suffer one of the common diseases such as heart attack, stroke and cancer. Lump Sum Disability cover pays off any debts, so your Income Protection can do the job of paying for your lifestyle instead of covering mortgages and other large debts.
ACC is sponsored by the Government of the day and is highly susceptible to change according to the whim of politicians. Furthermore, ACC only pays for accidental disablement, not ill health. The reality is, most disabilities result from sickness.