Life Insurance And Critical Illness

dunstonh

Are there any income protection/critical illness policies out there that will cover self employed people?

All of them.

Does income protection also cover unemployment or is this a completely different policy.

"proper" income protection is called permanent health insurance (PHI). It only coveres accident and sickness. Not unemployment. This one goes through to your selected end age which is best at 65 but can be 60, 55 or whatever. The MPPI policies and budget income protection plans (those that pay out for 12 or 24 months) are far less likely to pay out than a PHI. Mainly as the PHI is underwritten at point of sale. The budget plans are underwritten at point of claim. PHI cannot be cancelled by the insurer and you can get guaranteed premiums. Budget plans can be cancelled by the insurer and have premiums adjusted.

Yes, I agree but it was an IFA that sold me the accident and sickness policy that I currently have in place.

PHI plans are typically more expensive and involve more work. MPPI plans are the simple option. The advice process of most firms would have PHI fall under a different category (income protection rather than mortgage protection). If you were using a limited advice process and the IFA wasnt very experienced then they may only look at mortgage related plans rather than thinking outside of the box and having a more holistic approach.