People often take the view of ‘she’ll be right’ when it comes to personal insurances and protecting their wealth. They often have the view that ‘it will never happen to me’ or ‘what’re the chances?’. The following article highlights some alarming statistics that really emphasise the importance of reviewing or implementing personal insurances for you and your loved ones.

When accumulating wealth and funding your cost of living during your working years, one of your biggest resources is your capacity to earn an income.

When you are fit and healthy, you may sometimes take your financial and physical/mental health for granted. Or, in general, you may hold a more permanent ‘bulletproof’ mindset.

These states of mind often quickly change when you are confronted with an illness, especially one you are not prepared for. Moreover, this illness has the potential not to only affect you, but also your loved ones.

Below is a snapshot of compiled data on a range of health conditions and ill health in Australia. More specifically, it details the prevalence and/or incidence of these health conditions, the risk that a person has of developing them and the cost burden both direct and indirect.

Cancer – e.g. prostate cancer, breast cancer, bowel cancer and skin cancer

  • The average lifetime cost of cancer is $126,280 for those aged 15-64 (cancer sufferers)
  • There are 380 new cancer diagnoses per day; 40% of these people are aged 25-64
  • 5 year survival rates for cancer can range from 16% (lung cancer) to 95% (prostate cancer)
  • Anticancer drugs not on the Pharmaceutical Benefits Scheme (PBS) can cost more than $5,000 a month

Depending on the circumstances, risk factors may include tobacco use/exposure, obesity, ultraviolet radiation and physical inactivity.

Cardiovascular disease (CVD) – e.g. coronary heart disease, stroke and heart failure

  • 1 in 6 people will be affected by CVD
  • The average lifetime cost of a stroke is $32,411
  • There is 1 death every 12 minutes due to CVD

Depending on the circumstances, risk factors may include high cholesterol, diabetes, obesity and physical inactivity.

Diabetes and kidney conditions – e.g. diabetes (Type 1/2) and chronic kidney disease (CKD)

  • The average annual cost of CKD is $3,897
  • The average annual cost of diabetes is $2,341 (Type 1) and $1,220 (Type 2)
  • There are 9 deaths per day attributed to CKD
  • There is a 40% chance of being affected by CKD after the age of 50
  • The average number of days off work per year are 18 days (CKD) and 11.8 days (diabetes)

Depending on the circumstances, risk factors may include hypertension, diabetes, tobacco use/exposure and obesity.

Musculoskeletal conditions – e.g. back problems and pain, arthritis and osteoporosis

  • The average cost of osteoarthritis is $1,220 per year
  • The average cost of osteoporosis is $1,155 per fracture
  • The average cost of rheumatoid arthritis is $2,189 per year
  • The average cost of back problems and pain is $6,096 per year
  • The average number of days off work per year due to osteoarthritis is 72 days
  • The average number of days off work per year due to osteoporosis is 12 days
  • The average number of days off work per year due to rheumatoid arthritis is 38.4 days
  • The average number of days off work per year due to back problems and pain is 21.2 days
  • 40% of forced retirements are due to back problems and arthritis
  • 60% of people affected by musculoskeletal conditions are of working age (25-64 years)

Depending on the circumstances, risk factors may include age, family history, injury, obesity and underweight (osteoporosis).

Mental health conditions – e.g. affective disorders (depression), anxiety disorders (panic and post-traumatic stress disorder) and substance use disorders

  • The average annual cost of affective disorders is $184
  • The average annual cost of anxiety disorders is $190
  • The average annual cost of substance use disorders is $219
  • The number of days off work per year due to affective disorders is 75.4 days
  • The average number of days off work per year due to anxiety disorders is 53.5 days
  • The average number of days off work per year due to substance use disorders is 40.2 days
  • 35% of people with depression or anxiety seek treatment
  • 45.5% of people will be affected by a mental health condition in their lifetime

Depending on the circumstances, the predominant risk factor is due to stress.

A lot of the time these health concerns arise when you least expect it. If you need help to make sure you and your loved ones are covered, give us a call on (08) 8172 9122 or contact us at info@affinitascapital.com.au.