Growth of the income protection market

The number of individual income protection policies taken out has increased for the first time since 2007, according to data from the Association of British Insurers (ABI).The thought of not being able to work due to illness or injury is something most people try not to think about. However, thinking about how you and your family would manage if you did lose your income may give you some peace of mind.

Income protection

ABI data showed that the number of policies increased by 2% from 1.13m in 2014 to 1.5m individual income protection policies in 2015. Growth in the group income protection market also increased, with the number of people covered by their employer increasing by 3% on the previous year.**

One million workers every year are unable to work as a result of illness. The insurance industry pays out £3.2bn every year in individual life, critical illness and income protection insurance claims, and in 2015 91.2% of all income protection claims were paid out.  In these situations, income protection can really help, acting as a safety net to replace earnings by up to 50%.

The ABI believes this increase is a result of a greater understanding of what income protection actually is. Whatever the reason behind the rise, the increase is positive making sure that people are protected, providing financial stability in times of stress and uncertainty. offer three types of income protection cover. The types of cover are –

  • Unemployment only
  • Accident and sickness
  • Accident, sickness and unemployment

It’s up to you which option you decide on and it may depend on what cover your employer already offers you – so do your homework before you start.

Get an income protection quote today and provide yourself and family with a financial safety net.