Income protection is different to any other type of life insurance because it can cover the money you earn. Let’s look at our top 5 reasons why this policy should be on your radar.
We always say the same with any type of life insurance policy, we hope you never have to use it.
But as we all know, life has a habit of throwing a curveball every now and then. So having the right protection in place is really important.
If you ever had to make a claim on your income protection policy, the monthly pay-out could make a huge difference to your life. Here are some of the top things you could use the money from your income protection policy to help pay for:
Sadly, bills don’t go away just because you can’t work, and not every illness is a physical one. This is why, one of the stand out elements of income protection insurance is that it can cover you for an illness that stops you from being able to work, including mental health conditions!
So, whether it’s stress, depression, anxiety, or another type of mental health problem, if you can’t work because of it and you’ve been signed off by the doctor - you could make a claim on your income protection policy.
With an income protection policy in place, you can move money to the bottom of the list of worries you’d have, if you couldn’t work due to sickness or injury.
One of the main reasons people don’t prioritise sorting their income protection is because they believe they can rely on SSP.
If you didn’t know already, statutory sick pay (SSP) is paid by your employer, if you had to take time off work sick for over 3 days. If you qualify, you’ll receive a pay-out of £109.40* a week, for up to 28 weeks.
This may sound like a sufficient amount of money at first. But in the grand scheme of things, these weekly payments wouldn’t get you very far. According to the Office for National Statistics, the average weekly household outgoings in the UK are £481.50 which means that on average, weekly SSP payments would cover just 22% of the average cost to run a home.
An income protection policy could cover up to 60% of your income which means that the majority of your monthly income could be covered by your policy, if you couldn’t work due to illness or injury.
With an income protection policy in place, you’ll have peace of mind that if the worst were to happen, and you couldn’t work, you could still pay for the things that matter.
The bottom line is, if you work, this cover should be on your radar.
If you couldn’t work for a prolonged period of time, you could be waving goodbye to Spotify, Netflix, Disney Plus, Amazon Prime, any treats on your weekly food shop - the list goes on.
These days, the amount of outgoings we can have seem endless, and if the unexpected were to happen and you couldn’t work anymore, any little luxuries that you have could need to be cut. An income protection policy could elevate the severity of these cuts.
Did you know that most of the UK’s leading life insurance providers offer free additional benefits** when you take out cover with them? We aren’t talking about any old benefits either.
Depending on which insurer you choose, here is an example of some of the benefits you could have access to, just to name a few:
At Busy Bee, our priority is you.
We work with the UK’s top life insurance providers, so that we can find the policy that’s most suited to you. When you choose Busy Bee, you’re also choosing ongoing support from our award-winning customer care team, trust support, and claims team.
What are you waiting for? Kickstart your life insurance journey today, and click the button below to get started with your free quote!
* Correct as of May 2023
**Benefits are not contractual and could be removed or amended at any time