Income Protection

Why should I have Income Protection?

To provide an income in the event of you being unable to work due to sickness or accident.

Statutory Sick Pay is payable for employees, however the self-employed do not qualify for this benefit. Statutory Sick Pay is currently paid at a rate of £88.45 * per week for 28 weeks, after which time you must apply for Employment and Support Allowance (which recently replaced Incapacity Benefit).

Employment and Support Allowance is paid at a rate of £73.10 per week [£57.90 for under age 25] for the first 13 weeks followed by £102.15 per week [provided you attend regular interviews] or £109.30* per week [if your disability or illness severely limits what you can do].

* Rates are correct @ 19/09/2016

What is Income Protection?

What is Income Protection?

Income Protection is a product that provides an income should you be unable to work due to illness or injury.

Cover is limited to 50 - 65% of your gross taxable earnings as there must be an incentive to return to work.

Under current legislation the benefits paid are tax free.

How much will it cost?

How much will it cost?

The monthly cost depends on different factors - age, health, occupation, lifestyle, family history and how long you can afford to wait before you receive any benefit, and the actual level of benefit required.

There are many providers offering different Income Protection contracts. To select the best contract to suit your needs contact our experienced advisers.