Income Protection – 6 Reasons to Take out a Policy

Income Protection

In the UK, one million people each year are unable to work following a significant injury or illness (ABI 2017). Finding yourself in a position where you cannot earn an income, and are unable to live off your savings or sick pay, can leave you in a compromising situation. Income protection insurance, unlike critical illness cover which provides a single sum for certain illnesses, will ensure that employees continue to receive an income for as long as it is needed.

Here are 6 reasons why companies should establish income protection policies within employee health and wellbeing programmes:

  • Covers most illnesses

It’s not the same as critical illness insurance which covers only a definitive number of illnesses in one ‘lump sum’ payment.

  • Long term benefit

Income protection insurance will ensure employees continue to receive payments until they retire or are able to return to work.

  • Unlimited claims

Employees can claim as many times as they need to. This is opposed to the one-off ‘lump sum’ that critical illness pays out.

  • Cost effective

Reduces the impact that long term absence costs have on the company. What’s more, it’s cheaper than the cover an employee would be able to access independently.

  • Attract and retain the best employees

Offering income protection insurance as part of an employee benefits package will ensure a company has the best talent in the competitive employment market

  • Rehabilitation for employees

Support and advice is given in addition to financial support to help employees return to work smoothly, and sometimes sooner, benefitting both the employee and the employer.

To learn more about income protection, contact BDHL– Total Health and Protection Insurance in a Changing World: BDHL are a boutique, independant insurance broker working in the UK, Channel Islands and across the world.

Phone: +44 (0)1892 891 900