Income protection, commonly known as IP can provide monthly tax-free payments that replace part of your income. These payments help ease any financial hardship if you're not able to work.
With so many options to consider, it can seem very confusing. So, to help you out we've answered some of your most common questions. For more specific advice about the options available for your circumstances, why not get in-touch with one of our friendly advisors.
Income protection cover usually pays out until you are able to start working again or until the end of the benefit or policy term. You can claim multiple times during the term of your policy. You can also take out budget income protection which usually costs less but the payment period is limited for each claim.
In the UK nearly a million people find themselves unable to work because of serious illness or injury every year (ABI 2015). If you become unable to work, would you cope by surviving on your savings, sick pay or on state support? If not, it is likely you will require an alternative way to continue to pay your essential bills and it may be worthwhile considering income protection.
No, they are not taxable. Income protection policies are designed to give you a tax-free monthly income if you cannot work due to an accident or sickness.
You will receive the tax-free income until you return to work following the accident or illness.
Everyone's situation is unique, Oviso will help tailor your protection policy by considering several factors, such as your existing employee benefits, individual savings etc to ensure the policy starts when you financially need it.
To find out more about mortgages, personal insurance, business insurance and protection or to discuss the options available for your circumstances, contact our team of advisors
