Speak to an income protection expert today, call:
01392 436 193
Income protection (sometimes also known as permanent health insurance) is designed to provide you with a monthly, tax free benefit in the event of you becoming incapacitated and unable to work due to illness or injury.
This type of policy is there to support you financially in such an event, until your policy term/pay-out term ends, or when you return to work or die – whichever is earliest.
In the event of a valid claim you will have to wait for a certain period of time to pass before the monthly benefit will start to pay out - this is called your 'deferment period'.
A deferment period can be from one day, up to two years with certain providers. Typically, the longer your deferred period, the lower your monthly premiums may be.
How much your monthly pay out (your 'policy benefit') will be is agreed when you start your policy. It’s important to understand that income protection policies are not designed to put you in a better financial position than if you were able to work full time. As such, your monthly pay out amount is restricted to a percentage of your gross annual income (up to 65% depending on the insurance provider).
Income protection is different from critical illness insurance, which pays out a lump sum if you are diagnosed with an defined illness of a specified severity.
Most modern income protection policies do not include cover for redundancy or unemployment. However, there may be other types of policies available which include unemployment cover - for more information please speak to our team of advisers.
You can quote and apply for income protection by speaking to one of our expert protection advisers over the phone.
There are no upfront fees to speak to the team and recieve your income protection quotation.
Call the Cavendish Online team today on:
01392 43 61 93 (Monday to Friday, 9am - 5.30pm)
Our wealth of experience protecting countless customers, their families and their incomes, has led us to believe that the best way to buy income protection is by speaking to the experts.
Income protection is a more complex product than a standard life insurance policy. As such, we want to ensure that you are getting the most appropriate cover for your needs.
When you speak to a Cavendish Online protection adviser or consultant, they will guide you through the entire process of securing income protection - from quotation to application and beyond.
Provides a monthly payment if you are unable to work due to illness or injury.
There is a pre agreed waiting (‘deferred’) period before the monthly payments start in the event of a claim.
The policy pays out until you retire, die or reach the end of your policy term/pay out term – whichever is earliest.
Monthly payment amount (policy benefit) can be up to 65% of your gross annual income and is agreed when you take out the policy.
Covers most illnesses or injuries that leave you unable to work (subject to the type of policy, definition of incapacity and any policy exclusions).
Insurers can define the inability to work differently. Cover on an 'Own Occupation' basis is considered as the gold standard for an income protection policy.
Income protection (sometimes also known as permanent health insurance) is designed to provide you with a monthly, tax free benefit in the event of you becoming incapacitated and unable to work due to illness or injury.
This type of policy is there to support you financially in such an event, until your policy term/pay-out term ends, or when you return to work or die – whichever is earliest.
In the event of a valid claim you will have to wait for a certain period of time to pass before the monthly benefit will start to pay out - this is called your 'deferment period'.
A deferment period can be from one day, up to two years with certain providers. Typically, the longer your deferred period, the lower your monthly premiums may be.
How much your monthly pay out (your 'policy benefit') will be is agreed when you start your policy. It’s important to understand that income protection policies are not designed to put you in a better financial position than if you were able to work full time. As such, your monthly pay out amount is restricted to a percentage of your gross annual income (up to 65% depending on the insurance provider).
Income protection is different from critical illness insurance, which pays out a lump sum if you are diagnosed with an defined illness of a specified severity.
Most modern income protection policies do not include cover for redundancy or unemployment.
There are two main types of income protection:
‘Limited Term’ or ‘Budget’ income protection where the monthly benefit is restricted to a certain period of time (typically 1, 2 or 5 years) in the event of a valid claim. There may be restrictions on the number of times you can claim or how more than one claim for the same incapacity may be treated. These policies typically cost less than a ‘Full Term’ income protection policy, so may be a good option for those looking to keep costs down.
‘Full Term’ income protection is a policy where the monthly benefit is not restricted to a certain period of time. In the event of a valid claim, a full term income protection policy will provide a regular monthly payment until your policy term ends, when you return to work or when you pass away – whichever is earliest.
The cost of income protection insurance is typically impacted by: