This type of policy is designed to pay out a monthly benefit to replace your income if you are unable to work to accident or sickness. The timing of the first payment is set up to work alongside any sick benefits you receive and can begin after only 4 weeks right or after as long as 52 weeks. The monthly benefit is paid until you return you return to work, retire or die. The benefit can help you to pay your mortgage, bills and other living expenses. Even if you don’t have a mortgage it is important to consider income protection to protect your income and ensure you can pay your rent and bills irrespective of what life throws at you.
One of our brokers can advise you on the following choices:
How much cover do you need?
A monthly benefit can be set up to 65% of your gross income (this varies between insurers). You can opt for the maximum or a figure which is tailored to cover your mortgage plus any living expenses, or an amount of your choice
What type of cover do you need?
The monthly payment and the level of cover can be fixed at the outset for the duration of the policy or it can be linked to inflation so it rises and falls to reflect changes in the cost of living. Cover can also be arranged should you wish to protect your income against the risk of redundancy.
How long do you need the cover for?
Policies can be set up to run alongside your mortgage term, to your retirement age or for an alternative term of your choice.
As with all insurance policies, conditions and exclusions will apply.