Who is it for?
If you are worried about being able to survive without a steady income, if you feel that your savings would not be enough to continue living the way you want to, in case of a sickness or accident, be made redundant or were unable to continue to work due to an illness – you may want to consider taking an Income Protection insurance.
This is a policy that will help you take care of the bills when you are “unable to work at your current job” or “unable to work at all”, depending on the type of policy you choose to take out.
Income protection is slightly different from other types of insurance, in a sense that it does not pay out a one-off sum, but a percentage of your salary (on average 50% – 70%). In addition, you can make a claim numerous times, as long as the policy lasts and it usually pays out until retirement, death or your return to work.
There is an option of taking out a short-term income protection; however, this alternative gives you a much more limited options of cover.
You can read more about the Income Protection in this comprehensive guide developed by the Money Advice Service – click here.
And here’s an interesting analysis by Which?
If you’d like to talk to an advisor and find out more about available options, call us on 01708 504455 or email Gary Taylor on firstname.lastname@example.org
“There are other providers of Payment Protection Insurance [Short-Term Income Protection] and other products designed to protect you against loss of income. For impartial information about insurance, please visit the website at www.moneyadviceservice.org.uk”