By: FMIYour clients’ income is more than just the money they earn. It’s what they use to make an impact at each stage of their lives - whether through the work they do, growing a successful business and creating employment, or ensuring their kids have access to the best education possible. That’s the message from FMI (a Division of Bidvest Life Ltd).FMI has always believed the best approach to risk planning starts with insuring your client’s income before anything else. Coined ‘Income First’, the life insurer is leading the change by calling on financial advisers to join this new standard in life insurance, which ensures your clients’ income stream will never be interrupted in the case of injury, illness or death. “The greatest risk anyone faces during their working career is a temporary illness or injury and yet Income Protection only makes up 6% of the life insurance market,” says Grace Winter, FMI Chief Marketing Officer. “We’re on a mission to change this, so that income earners have the cover they need when they need it most. We’re super-excited about the launch of our Income First campaign, which we believe will be instrumental in the shift to establishing Income First as the new normal”. FMI have launched a series of educational videos called The Patrick Chapters – the journey of one man that takes an insightful look at the different insurance needs at each stage of life and how you can adapt your clients’ cover to meet these changing needs. “Because, whether you’re an Early Earner starting your career, Adulting with a young family, juggling as a Mid-Lifer or an Empty Nester looking forward to becoming a Retiree, FMI always starts with protecting your income against injury, illness or death,” says Winter.

FMI’s 5 life stages are:

Early Earner: Mid-20’s, single with no dependants, little or no debt. Their income provides for both their lifestyle today and their plans for tomorrow. Adulting: Mid-30’s, married with kids, an average debt load that consists mainly of home and car loans. Their income is the fuel for their dependants, while they juggle building a career and family life.Mid-lifer: Mid-50’s, married with older children, relatively low or no debt. Their income holds the futures of those close to them – special family holidays, kids’ education and the freedom to enjoy the moments they’ve worked so hard for. Empty Nester: Early 60s, little debt and the kids have left home. Their income helps to build the future of their dreams – reconnecting with their spouse and exploring their passions together. Retiree: Early 70’s, no dependants, hopefully no debt. Their income allows them to make the most of their golden years, take care of their health and have enough left over to enjoy every moment. To help advisers connect with their clients, FMI has developed a series of tools which will enhance their advice process:

• FMI Future Income Calculator: Work out the value of your clients’ future income. They’ll be surprised at just how much it is.
• FMI Reality Check Quiz: Help your clients understand their chances of experiencing a temporary injury or illness, permanent disability, critical illness and death during their working career that could prevent them from earning their income.
• FMI Retirement Calculator: Calculate the impact of an injury or illness on your clients’ retirement plans and show them why protecting their income should be part of their retirement planning. Just 3 months of lost income can have a huge impact on their retirement reality.

FMI is encouraging all advisers to join them in their quest to ensure all South African income earners can continue to take care of the ones they love, and make their impact on the world around them.