Self Employed Income Protection Insurance protects you from financial instability in the event you fail to work regularly due to sickness or injury.
Self-employed individuals do not qualify for statutory sick pay or other forms of government income protection therefore you must have income protection insurance.
Types of Self Employed Insurance
Depending on the benefits that each insurance have, self-employed income protection insurance can be of three kinds:
- Self-employed sickness insurance
This type of insurance protects you financially if you are diagnosed with short-term or long-term illness and cannot work regularly.
- Self-employed injury insurance
This type of insurance provides pay off in case you cannot work regularly due to some injury.
- Self- employed sick pay insurance
Self-employed sick pay insurance compensates for statutory sick pay which is not received in case of self-employed individuals.
The insurance protects you from loss of income due to illness or injury and provides up to 80% of your monthly income including tax.
Benefits of self-employed income protection.
The two main advantages of having income protection insurance are that you are provided with a monthly income until you can return to work and you have the assurance of knowing that you will be covered financially in case you are unable to work due to injury or illness.
Factors to consider before applying
The two main considerations you should make while applying for an income protection insurance when you are self-employed are your monthly income and the insurance term.
The insurers will ask you to cap a fixed amount as your monthly or annual income so they can calculate the cover you may require based on the information and decide the cost of your monthly premium accordingly.
As is the case for most insurance the income protection insurance is only active for a given period. It is important to consider the insurance term carefully as it varies insurer to insurer.
It is important to read all policy-related documents carefully and thoroughly.
We would recommend you to talk to one of our advisers for life insurance quotes.
Any quote that your adviser provides you with will take into account your circumstances, your medical history, as well as your budget!
Call 011-3733-4610 – Monday to Thursday from 11.00 to 19.00 and on Friday between 11.00 and 16.00