There is something very special about the summer holidays. Perhaps it has to do with being away from work and surrounded by family. Or possibly it’s something to do with the fact that you finally have ‘time’, and time is a commodity that can be difficult to come by during other parts of the year.

Using that time wisely by taking the opportunity to pull back and reflect on what’s important is a very sensible idea. Financially speaking, it’s a great time to take stock of the type of insurance cover you have and determine whether you have the right amount of insurance coverage to support your family and suit your lifestyle.

Adding to the importance of such a process is the surprising fact that the festive holiday period is also a time of accidents. Emergency departments in Australian hospitals report an average visitor rise of nine per cent during the period. Amongst many other reasons, this is due to falls from ladders as amateur handymen do work around the house, accidents on the roads, higher risks of heart attack as food and alcohol take their toll, and injuries from newly acquired sporting equipment such as trampolines, skate boards and cricket bats.

Here is what to think about when considering insurance, family financial security and peace of mind:

Life insurance – This provides your family with a means to pay off any debt, particularly mortgage debt, and provides a certain standard of living for your partner and children for years to come in the case of your death. How much debt would need to be paid off and how long would you like to provide an income for your family? Seek professional advice on how much you need – it might be more than you think.

Income protection insurance – This usually covers around 75 per cent of your usual income for a set period of not being able to work as a result of injury or sickness. It can be organised to pay out over certain periods of time and to commence after a specific period of illness. What types of funds do you keep in reserve in case of a rainy day? How big is your emergency account? How long could you survive if your income suddenly and unexpectedly dried up? Are there people around you such as parents or a partner who could support you financially if you no longer had money coming in? Income protection is frequently overlooked by can provide an important safety net when you need it most. Also, many people don’t realise that income protection is generally a tax deduction, which helps to make it more affordable.

Total and permanent disability (TPD) insurance – TPD insurance is designed to provide cover in the situation that you are permanently disabled or, become of injury or illness, are unable to work or earn an income. This kind of insurance provides financial support not just for your family, but also to help with the medical care and support you may need on an ongoing basis.

While people often don’t think twice when insuring their house or car, the above types of insurance which can cover the irreplaceable things in life, often become important when it’s too late and an accident has occurred. Financial protection for you and your family may be more affordable than you think.