Share on Google+ Share on Facebook Tweet Send to E-mail

So this popped up in a conversation I had recently and to be honest it scared me quite a bit. The answer is no. I cannot afford to retire tomorrow. I have a mortgage and two young children. There is no way that I could live off statutory sick pay of £88.45 per week.

So I am setting a New Years challenge! For the month of January take your salary and squirrel it all away, leaving just £383.28 for you to live on for the month. That includes your mortgage/rent, utilities, travel costs and food expenses. For me, statutory sick pay would probably cover about half of my monthly mortgage repayments and I am sure that I am not the only one in this boat!

There are two main ways to protect your earnings through insurance. Firstly, you can look down the standard route of an Income Protection policy. It does what it says on the tin: it's an insurance policy that protects your income, if you are too ill to work. You can usually insure up to 50-75% of your gross income on these policies. A successful claim could see you receive the monthly benefit all the way up to your chosen retirement age.

The next option that you have is an Accident, Sickness or Unemployment policy. Again, the clue is in the name. If you suffer from an accident, illness or are made involuntarily redundant this policy type can see up to 50-75% of your income replaced each month. These policies pay claims for between 12 an 24 months. The beauty of this is that you can have the added benefit of redundancy cover too.

Some people prefer some of the features of Income Protection so will opt for that cover, largely due to the ability to claim long term, then purchase separate standalone redundancy insurance.

Both types of income protection insurance are highly flexible and you can basically build the policies to match your requirements and budget.

If you would like to view our Advent Calendar, click Here.

Request a Callback




Contact Time:

Talk to a Friendly Adviser

Please feel free to call us on 0800 567 7450 and one of our qualified insurance advisers will be happy to assist you.

Get a Quote

Please feel free to request a quote from us using our online form. As a broker we search a fair analysis of the whole market and will always take your specific risks and concerns into account. For this reason we do not currently offer prices online but will always do our best to reply to you by email, text or phone as soon as possible.

The more information that you can provide us about your health conditions, hobbies, travel and/or occupation the better as this will help us to provide the most accurate indications of price.

Get a Quote