About 73% of Australians have no income protection (IP) policies and do not have any plans to get one, according to a survey by comparator Finder.

The survey in August of more than 1000 respondents shows just 16% currently have IP cover and another 11% are without it but are planning to invest in cover.

Finder released the survey findings today ahead of changes that IP providers have to implement on Friday as part of sustainability measures imposed by the Australian Prudential Regulation Authority (APRA).

APRA announced the moves last year, giving the industry one year to prepare for the implementation of income at risk and income replacement ratio measures. It however extended the third measure, policy contract term, to October 1 next year.

The measures are aimed at shoring up the sustainability of the IP product line, which has lost $3.4 billion in the last five years.

In one of the changes coming into effect on Friday, benefits for new individual disability income insurance policies must not exceed 90% of earnings at time of claim for the first six months, and 70% thereafter.

Finder Head of Consumer Research Graham Cooke says the changes will also see guaranteed renewable policies come to an end, meaning insurers will now be able to revise the terms and conditions of a policy every five years.

He urged Australians who are planning to get an IP policy to act before Friday.

“Anyone who would struggle to get by without their pay should seriously consider income protection insurance,” Mr Cooke said.

“It’s usually available whether you work part-time, full-time, or if you’re self-employed, and premiums are generally affordable.”