Insurance is almost as old as civilization itself. As men came to realize the existence and effects of risks on their everyday life, men had gradually developed insurance as a means of protection against the effects of risks, and as a means of self-preservation. Likewise, the use of insurance had slowly become very popular among the early merchants of the ancient times. The first recorded document regarding insurance was written in the Code of Hammurabi in 1754 B.C. One of the laws of this ancient Babylonian Code protected a debtor from paying his debts further in case the condition had become impossible for the debtor to pay the said loans due to his death or disability. Then at around 600 B.C., the guild system slowly came into being when the Greeks and Romans introduced the so-called “benevolent societies” that readily catered to the family of dead members. These benevolent societies had become the basis of the modern day’s life and health insurance. By the mid-1600s, a Frenchman by the name of Blaise Pascal identified a way to express and calculate risk probabilities and formulated the so-called actuary table. This table became the foundation of the very first insurance companies that were established.
A Short History of Income Protection Insurance
During the Era of Enlightenment, several types of insurance were introduced to provide services to highly specialized fields of concerns. Some of these services concern business, property, life, accident, and income protection, or disability insurances. In 1875, the very first provider of Income Protection Insurance (IPI), the Holloway Friendly Society was established in Stroud, England. This society was based on the tenets of George Holloway, the visionary M.P. from Stroud at that time. By 1925, there were forty-two ‘Holloway’ societies in existence.
Nowadays, Income Protection Insurance can be availed of principally in the United Kingdom and in some nations that were former parts of the British Empire like Ireland, South Africa, Australia and New Zealand.
Income Protection Insurance in Australia
In Australian, Income Protection Insurance can be availed of by a worker, whether he is salaried or self-employed, to provide a replacement source of income during an illness or injury. This protection guarantees at least 75 percent of a worker’s gross income as a replacement to his regular wage. Most IPI policies in Australia give more importance to the self-employed workers due to their ineligibility for the benefits of the Worker’s Compensation, which is a compensation accord between an employer and employee.
The insurers in Australia basically offer a variety of policy levels for IPI, depending on the options chosen by a policyholder during the application process. The most common options include a clause with regards to the benefit period and waiting period. Benefit period pertains to the length of time in which a claim that can be availed of by a worker for each time an injury occurs. The benefit period may vary from six months to five years or even until the age of 65 or 70, depending on the insurer’s offering. On the other hand, waiting period is an option regarding the period of time from the occurrence of the worker’s injury to the time of the entitlement of his benefit or claim. For further information, you can readily learn more about IPI by reading on Australian income protection details.
A movement to acquire professional indemnity insurance has steadily risen over the years among many different professions. It is now widely viewed as a smart move, as more people are seeking litigation to become compensated for perceived professional shortcomings. The fitness profession is one of the areas in which more people are realizing the value of this type of coverage. Yoga and crossfit instructors are certainly benefitting from this insurance as well. This is due to the fact that these are professions in which clients work in close proximity to others, and there is a higher chance of physical injury as a result.
Yoga is a physical activity which is supposed to help both the mind and the body. While it does not require a client to lift weights, it does require movements which might come unnaturally for many people. People who are new to yoga often find themselves in a place of confusion, and if an instructor does not take care to properly demonstrate and explain the moves, then a claim can be filed as a result. Some stretches require clients to twist their bodies in ways which are conducive to injuries. Smart yoga instructors thoroughly address the best ways to conduct movements to protect themselves from having to use their indemnity insurance.
Crossfit is one of the most challenging and new exercise fads available. It combines many different techniques to help clients to achieve their ultimate goals. Cardiovascular exercise and weight training are both major parts of the crossfit process. All clients are required to constantly be in a state of motion, thus putting themselves in peril much more frequently. Crossfit trainers must be aware that they are putting themselves at risk of facing a claim each time they conduct a session. Indemnity insurance help them to carry out their duties professionally.
Perhaps one of the most interesting aspects of fitness-related insurance claims, is time sensitive claims. Many clients have expectations for the time that they spend working on their bodies. When these expectations are not met, they look to others to cast blame for their shortcomings. Unfortunately, even groundless cases require fitness instructors to hire lawyers. Indemnity insurance provides coverage for these defense lawyers, so that the money does not have to come directly from an instructor’s wallet.
Other times clients bring claims of slander onto instructors. This usually occurs when someone feels as if an instructor spoke poorly of them to other members of the class, or to other instructors. This is a case that is provable in court, so you must have indemnity insurance to help you fight the claim. Additionally, it pays to be mindful of the things you say to other people, as you never know when that person might hear about what was said, from someone else’s mouth.