Protection insurance is important to protect your family budget if you are unable to work due to illness or accident. If you are unable to earn a regular salary, your insurance may provide a monthly income to cover your living expenses . This means:
- Financial support – help to cover your regular monthly outgoings
- Peace of mind – allowing you to focus on getting better
- Regular payments – designed to replicate your regular salary.
How does income protection insurance work
Income protection can provide a fixed monthly benefit amount or cover a portion of your income after deferral. Benefits may be paid per eligible claim for a specified period of up to 12 months or until retirement.
Cost of living insurance is a type of income protection insurance that covers part of your income if you are unable to work due to illness or injury. This will allow you to pay important bills like your mortgage, rent, and other expenses like utilities and groceries so you can focus on your recovery.
How much do you get each month?
You will be paid between £500 and £1,500 per month, depending on your eligibility, and tax-free for up to 12 months with each successful application. Money helps you maintain your standard of living and support your loved ones.
How long does the policy last?
You pay a fixed monthly premium for the term of your policy, from 5 years to 52 years or until you reach 71 years of age.
What’s a deferred period?
The period from the first day you become unable to work until you become eligible to receive a pension. When purchasing the policy, she can choose 4, 8, 13, or 26 consecutive weeks as the grace period.
The longer the deferral, the cheaper the premium is usually, but the longer you wait to start paying your benefits. Everyone’s situation is different. When considering which deferral period will best meet your needs, consider how long you can afford financially if your income is lost or reduced due to illness or injury. please give me.
Do you need Income protection insurance?
a period of time due to illness or injury. Can you continue to pay your bills with your statutory sickness benefit or savings? If not, it’s worth considering. Disability insurance provides financial support if you are unable to work due to an accident or illness. You will not be covered if you are unemployed or laid off. When deciding whether you need income protection insurance, you should consider your savings, how long your employer continues to pay, and any government benefits you may receive after your employer stops paying.
