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.
comparethemarket.com 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.