Many Homeowners Don’t Have Income Protection
Only 2 in 10 UK homeowners have income protection¹, even though it’s
likely to be needed at some point in a person’s life. Take a 35-year-old
woman who is a non-smoker – for her, there is a 4% chance of death,
but a 34% chance that she will be unable to work for 2 months due to
illness².
Don’t rely on savings or sick pay
With income protection, you wouldn’t need to use savings if you were off work.
Besides, 42% of working adults think their savings would only last them for up
to a month³. Most salaried employees are entitled to £109.40 per week for up to
28 weeks in statutory sick pay, which may not be sufficient. Meanwhile,
freelancers would not be eligible for any help from the state, making protection
particularly vital for them.
The difference between the types of insurance
Even if you have critical illness insurance, income protection is strongly
recommended. Critical illness policies usually only cover specific illnesses, while
income protection can help if you are signed off sick due to any injury or illness.
Life insurance, on the other hand, is there to help your loved ones in the event
of your death. But income protection directly benefits you, regardless of whether
you have loved ones to care for.
As with all insurance policies, conditions and exclusions will apply.
1 Royal London
2 Risk Reality
3 Legal & General