Not to be confused with income protection insurance which generally covers partial loss of income from being unable to work due to illness or injury redundancy insurance offers limited financial protection in the case of involuntary redundancy. Your income protection insurance sum assured will increase on each anniversary date every year by the same percentage as the new zealand consumer price index cpi. Redundancy insurance in new zealand is an optional income protection add on benefit that pays a maximum 4 000 per month for 6 month after a 30 day waiting period that begins on the date you became redundant.
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