What is Income Protection insurance?
Income protection (IP) insurance is, essentially, a long-term insurance policy acts as an aid if you are unable to work because you are ill or injured. It will replace part of your income if you cannot work because you become ill or disabled, which will pay out until you are able to begin working again, or until the worker retires, dies or at the end of the policy term.
There could potentially be a waiting time before the payments begin. Generally, you will set payments to start after your sick pay ends, or after any other insurance ceases covering you. The longer you wait, the lower the monthly payments.
You IP insurance will cover most illness that mean you cannot work, no matter the length of the term you are off, however, this depends on the type of policy and its definition of incapacity. You are also entitled to claims as many times that you need to while the policy is still valid.
Do you require income protection insurance?
Study suggest that one million workers a year find themselves out of work as a result of a serious illness or injury. This does not matter whether or not you have children or other dependents – if illness resulted in your being unable to pay the bills, it is worthy to consider income protection insurance.
Those who are self-employed are more likely to need protection, or employed and they do not have sick pay to fall back on.
Our income protection insurance will be tailored to suit your individual needs as a person unable to work.