self employment insurance

salmonking

hi all,
can some of you give me advice on an insurance that will cover my mortgage due to illness.im self employed so I would be interested in an insurance that would cover me if im out of work also,if there is such a thing.thanks

kingstreet

You should consider income protection, otherwise known as permanent health insurance, which pays a monthly benefit while you are unable to work due to accident, or illness, after a waiting period you choose.

These can be 4 weeks, 8 weeks, 13 weeks and so on. The longer the wait, the cheaper the premium.

You can have the benefit paid for a short period, but the best plan, based on "own occupation" would normally be written until your normal retirement age.

You can cover unemployment with some providers using a separate contract, while others may insist that you be "liquidated" by a creditor before you could make a successful claim, so be careful.

An IFA would be helpful in establishing the options and how best to address them.

dunstonh

ditto above. However, do be aware of PPI versions of plans making out they are income protection from their marketing. They are not "proper" income protection plans that are being described above.

salmonking

so I can get unemployment cover even though im self employed?.i had a big operation in November and wish id of thought of this sooner!thanks

kingstreet

An operation would not be covered by unemployment cover, that would come under the income protection, or permanent health insurance I mentioned.

If you were still unable to work at the end of the waiting period you chose, you'd claim until fit enough to work again, or the end of the term whenever that may be.

Unemployment cover is for ceasing trading and claiming JSA, or being liquidated by creditors in the worst case scenario.