Income Protection

Financial peace of mind irrespective of circumstances

Income Protection

Income protection forms the foundation of your financial plan. It offers you financial security throughout your career irrespective of circumstances.

When we plan for the future, it is on the assumption that we will have an income and be able to provide. It doesn’t work out like that for everyone. In the event of an illness or injury preventing you from earning an income, having a policy in place that will pay a monthly income to allow you continue with your plans, meet your financial commitments, and have an income to help navigate being out of work, is more important than most give a thought to.

If you are unable to work due to an illness or injury, an insurance company can pay a portion of your income, until you are able to return to work, or until the policy ends, which for most people is towards the end of their careers.

Luckily, most people won’t ever need to claim on their insurances, but if the unforeseen happens, our money is so important in so many ways.

Frequently Asked Questions:

FAQ: How does income protection work?
Answer: Income protection pays out a portion of your salary if you are unable to work due to illness or injury. It provides regular payments until you can return to work or until the policy term ends (e.g., retirement age). Unlike specified illness cover, it is not a lump sum but a continuous income replacement.

FAQ: Do I need income protection if my employer offers sick pay?
Answer: Employer sick pay is usually limited to a set period (e.g., 3–6 months). Income protection ensures you continue receiving an income if you’re out of work for a longer time due to illness or injury. It’s particularly important if you are self-employed, as you won’t have access to employer benefits.

FAQ: How long do I have to wait before I can claim income protection?
Answer: This depends on your policy’s deferred period—the time you must be unable to work before payments begin. Deferred periods typically range from 4, 8, 13, or 26 weeks. Choosing a longer deferred period can reduce your monthly premiums, but you’ll need other savings or supports in the meantime.