Income Protection Insurance

Yes, self-employed workers can get income protection and it can be a hugely important safety net if you’re unable to work due to illness of injury. Income protection for the self-employed works in largely the same way as policies taken out by people who have an employer.

You can choose how much of your gross income you want to cover, typically up to a maximum of 70%. Most insurers apply a tiered approach to cover levels. Some insurers apply a maximum income cover of 55% but we’ll work with you to find the very best solution for your individual circumstances.

You can usually decide whether to opt for a fixed monthly payout, which means the payout will stay the same whenever you may need to claim during the term of the policy, or you can take out a plan that has inflation-linked benefits.

The deferred period is the waiting time after you make a successful claim on the policy, until the payout starts. Most policies will have a deferred period that could be anything from one month to 12 months.Opting for a longer deferred period is likely to mean cheaper premiums.

If you have an income protection policy that you took out yourself (not through an employer) and which you pay for personally, then the policy stays in force for the term of the cover. However, if you have income protection cover through an employer, then leaving that employment is likely to mean the cover will end.

We can tailor the policy around your sick pay. So, if you receive full pay for three months and half-pay for three months, we cam make sure your half-pay is topped up to cover your missing income and after those three months, your policy will cover your full income.