Cover any outgoings
Short term income protection
insurance does not only cover mortgage payments, it can
also be used to safeguard your rent payments, utility and council
tax bills or even your monthly food costs.
Unemployment only, Accident and Sickness only or
Unemployment, Accident and Sickness insurance
Unemployment cover will give
protection in case of redundancy or other involuntary unemployment,
as well as having to quit your job to become a full time carer for
a member of your immediate family.
Accident and
Sickness covers you if you are unable to work due to an
accident or illness. Most of our customers choose
Unemployment , Accident and
Sickness cover.
Variable excesses: 0, 30, 60, 90 or 180
days
The excess period is the period after which
eligibility for the monthly benefit will start if your claim is
accepted. For example, a 30 day excess period means you have to be
off for 30 days before you are eligible, and wait a further 30 days
before you receive your first payment. Zero excess is also called
‘Back to day one’; although you have to wait 30 days before you are
eligible you will then be paid back to the first day you were off
work.
Benefit of up to £1,500 or 50% of your gross
income, whichever is less
Think about the outgoings you have each month
that you cannot avoid. The benefit paid does not attract income
tax, which is why there is no need to cover your full income.
Short term income protection -
cover period: maximum 12 months
This is a short term
income protection insurance cover, and
payments are made for up to a maximum of 12 months.
Initial exclusion period for unemployment cover,
which may be waived if you are transferring cover
The initial exclusion period of 120 days may be
waived if you are
transferring cover. Make sure the cover basis is
the same, you have held your insurance for at least six months
and there is no gap in cover.
We work with a number of insurers
The insurer you receive a quote from depends on
your age and the cover you have selected. Full documentation and
eligibility criteria are available during the application process.
Please read it carefully.
Monthly cost
We calculate the cost of our Payment Protection
Insurance as a monthly cost for every £100 of monthly benefit. This
number explains how much this insurance costs you each month for
every £100 in benefit that you would receive each month if you made
a successful claim for accident, sickness or unemployment.
For example, if the number is £5 this means that for every £5
that you pay as a monthly premium, you will get £100 for each full
month that the claim lasts (after the waiting period on the
policy). This number can be used to make comparisons with the cost
of insurance from other providers. You should also compare the
cover offered and the way in which benefits are paid out.
A typical monthly cost for British Insurance Income Protection
is £4 for every £100 of monthly benefit. This cost is based a 30
year-old looking to receive £1,000 a month from an accident,
sickness and unemployment policy, opting for back to day one cover
who will pay £40 a month with British Insurance. The monthly cost
is inclusive of Insurance Premium Tax at the current rate of
6%.
Eligibility
Please note that this is provided as an
overview. It is important that you read the eligibility you are
presented with when completing an application.
Your age is between 18 and 64
To get cover under this insurance, you have to
be over 18 and under 64. If you are close to 65, cover will
automatically terminate when you reach the age of 65 and any
benefit payable under the policy will terminate when you reach 65
if it has not terminated before that date. If you have reached the
statutory retirement age, your application may be declined.
You are living and working in the UK
It is a condition that you are permanently
living and in paid employment in the UK for at least 16 hours per
week and eligible to register as unemployed.
Your work is permanent
You cannot apply for this Income
Protection Insurance if your work is temporary (including
agency work), casual, seasonal, irregular, a period of
training/apprenticeship or for a specific task.
You have worked for the last 6 months
You can
apply for this payment protection insurance if you
have worked continuously for the past six months.
Maximum insured benefit
The sum insured under this policy and any other
similar insurance policies must not exceed 50% of your monthly
earned income before tax. If you exceed this limit benefit will be
reduced.
Medical conditions
You may not be covered for any accident or
sickness that occurred before the start date of your policy, and
that recurs after you have bought it. Check out the policy wording,
which is available throughout the application process
Contract workers
If you are looking for Unemployment
Insurance and are a contract worker (as defined by this
insurance) please read the contract worker section in the policy
wording, which is available throughout the application process,
carefully. The underwriters require contracts to be of a minimum
set length and/or to have been renewed at least once. Furthermore
unemployment will not be covered beyond the date the contract would
have otherwise expired naturally and non renewal of a fixed term
contract will not be covered unless specific conditions of the
policy are met.
Self-employed
If you are looking for unemployment insurance
and are self-employed (as defined by the policy wordings
for your selected insurance) please read the self-employed
section in the policy wording, which is available throughout the
application process, carefully. There are additional requirements
you will need to meet to support a claim, including having
involuntarily ceased to trade and advised HM Revenue and Customs of
this.
Initial exclusion period
There is a 120 day initial exclusion period for
unemployment or Carer Benefit. This means that you are not covered
for unemployment that arises from any programme of job losses, any
departmental or company re-structure, or merger with another
company, announced by your employer before the start date
of your policy, or within 120 days after the start date
of your policy. This may be waived if you are transferring
your cover from another provider.
Apply when your job is secure
You cannot apply if you are aware of impending
unemployment, whether or not you have received official
notification, or your employer has announced any job losses,
departmental or company restructure or merger with another
company.
Monthly cost
We calculate the cost of our Payment Protection
Insurance as a monthly cost for every £100 of monthly benefit. This
number explains how much this insurance costs you each month for
every £100 in benefit that you would receive each month if you made
a successful claim for accident, sickness or unemployment.
For example, if the number is £5 this means that for every £5
that you pay as a monthly premium, you will get £100 for each full
month that the claim lasts (after the waiting period on the
policy). This number can be used to make comparisons with the cost
of insurance from other providers. You should also compare the
cover offered and the way in which benefits are paid out.
Amending your policy
You will be able to amend your policy cover by
phoning the telephone number in your policy documentation. Please
note that the eligibility criteria are also applicable to
amendments to your policy.
Cancelling your policy
You can cancel for any reason during the initial
30 day cooling off period and after that by giving at least 14 days
notice in writing to the administrator.
Cover operates on a monthly basis and continues for each month
you pay your premium. Please note that cover cannot continue after
you retire from employment, when you reach the age of 65, you die
or if you stop paying the premium. If you have a Mortgage Payment
Protection Policy and you no-longer have a mortgage, you will need
to notify the underwriters to cancel your policy.
What if your circumstances change?
It is very important that you inform the
underwriters, (or their administrators) of any changes to your
personal circumstances, such as a change to your address or
employment status. This is not a complete list and if you are
unsure as to whether something is relevant, you should always
disclose it. Failure to do so could invalidate a future claim.
Further information about what to do if your circumstances change
may be seen in the Policy Wording.
Amendments to your policy by the insurers
Insurers have the right to review premiums and
if they change they will give you at least 30 days notice in
writing at your last known address.
Cancellation of your policy by the insurers
Insurers can cancel by giving you a minimum of
30 days notice in writing to your last known address.
Monthly cost
We calculate the cost of our Payment Protection
Insurance as a monthly cost for every £100 of monthly benefit. This
number explains how much this insurance costs you each month for
every £100 in benefit that you would receive each month if you made
a successful claim for accident, sickness or unemployment.
For example, if the number is £5 this means that for every £5
that you pay as a monthly premium, you will get £100 for each full
month that the claim lasts (after the waiting period on the
policy). This number can be used to make comparisons with the cost
of insurance from other providers. You should also compare the
cover offered and the way in which benefits are paid out.