Income Protection

If you find yourself unable to work, how long could you and your family survive on your savings or sick pay from work?

Permanent health insurance is a long-term policy that is designed to pay a regular income should you develop an illness or injury that prevents you from earning. It will continue to pay-out until you are able to return to work, retire, or until the policy ends.

What does Income Protection cover?

Permanent health insurance will cover most illnesses or conditions; for example, a bad back that leaves you unable to work, whether it is in the short-term or the long-term. However, the cover will vary depending on the type of policy and its definition of incapacity.

You can decide on the level of cover you want. For instance, the percentage of your gross annual salary you would like to receive if you claimed, how long you would like the policy to pay out for and the deferred period—the waiting time before a policy pays the replacement income, which can often be coordinated with employer sick pay arrangements. You can claim as many times as you need while the policy lasts and because it’s permanent, the insurance company can’t cancel the policy for health or other reasons, so long as you’re prepared to maintain the premiums. In addition, any premium reviews will not reconsider your state of health at the time of review.

Your occupation and the work that you do, your age, health and deferred period needed will determine the right plan for you. This is a complex insurance and if you are unsure about the level of coverage you need, your GPP adviser can search the whole of the market for the best offers and help you to select the solution that’s right for you.