Ageas Income Protection

Romum

Hi my husband has been to an IFA (not whole market I don't think) or possibly it was just a broker not sure however, they have found us an Income Protection Policy from Ageas. I have read through policy and seems OK if a little vague on 'incapacitated' the crucial word in the policy. I just wondered if anyone had any feedback on this compay, especially when making a claim - any problems etc?

Also is there any pertinent questions I should be asking them before committing? e.g. when proving income at point of claim does income include dividends etc that type of thing that would not probably occur to us until we are trying to claim.

He is self employed and this cover is not for a mortgage specifically but to keep us going and cover basic bills if he is unable to work for several months. It is 'own occupation' we have been quoted for.

many thanks

ACG

There are 2 main types of cover:
Own Occupation - this will pay out if you are unable to do your own occupation (the better policy)

Any Occupation - this means it will pay out if you are unable to do any occupation.

Ageas are a fairly reputable company, ive heard good and bad things about them although i have never used them personally. The bad things were from a rep of another life office so i kind of take that with a pinch of salt.
Income is usually based on your last 1-3 years wages and can include dividends (as far as im aware).

Income Protection isnt aimed at covering a mortgage, its aimed at covering lost income, you can then choose to do what you wish with it - pay your mortgage, food, rent etc...whatever you like.

InsideInsurance

If he is self employed he wont get dividends as he and the business are one and the same. If he were the classic director of a company in which he was also the majority shareholder then dividends comes into play and I am yet to hear of an insurer that doesnt factor it in.

magpiecottage

Romum wrote: »

Hi my husband has been to an IFA (not whole market I don't think)

If he is not whole of market he is not an I FA because the "I" stands for independent.

OshayAway

You need a good IFA who will do their research on this. Insurers vary on their view of dividend income and the effect on claim.

kingstreet

If he's a director, he should probably be looking at a contract taken out by the company. This would mean the premiums are treated as a trading expense. The downside is the benefits would be payable to the business, rather than direct to the individual, so he'd miss out on the tax-free nature of benefits paid on an individual plan.

Look for "Executive PHI" options, so these can be considered along with individual plans.

Romum

Many thanks to everyones advice/opinions. He is a director and majority shareholder so looks like dividends will count. Interesting about the Executive PHI option will look into this.

cheers