Income protection insurance could help to keep your lifestyle on an even keel
- 4TH OCTOBER 2007
Losing your income suddenly could come as a big shock, you have to find the money to carry on living your lifestyle the way you are accustomed and continue paying your essential outgoings. However, if you should come out of work due to an accident, illness or involuntary redundancy, then income protection insurance could help to keep you on an even keel.
Income protection insurance could give you an income to replace your own up to a certain amount which is tax free and which would start to payout once you have been out of work for a pre-defined period of time which could be anywhere between the 31st day and 90th day. The cover would then continue to provide you with an income for up to 12 months, though some policies pay for up to 24 months.
You can take out an income protection insurance policy to protect your income against coming out of work due to suffering from an accident or sickness only; for unemployment only; or for accident, sickness and unemployment together which is why the cover is also called ASU insurance. However, you have to be aware that there are exclusions in all income protection insurance policies which could stop you from claiming. Some of the usual exclusions which are in all policies include being of retirement age, suffering from an illness at the time of taking out the policy or only being in part time work.
You do have to shop around for the best deal when it comes to getting the cheapest income protection insurance premiums and the cheapest policies can be found with the specialist in payment protection. One such specialist is British Insurance; they are one of the most ethical providers in payment protection and can help you make huge savings on the cover while at the same time backing up the products they sell with years of experience.
