Income protection as contactor?

simpywimpy

My hubby is 60 next month and works abroad as an engineering contractor.

Would it be possible to get an income protection policy in case his job comes to an end?

patman99

I doubt it. Most have restrictions that won't pay out if you are on fixed-term contracts or are a temporary employee. I have this problem. Too a job after 1 year on the dole. The role was temp to start, moving to perm after 6 months. 2 years on, and still a temp. If the job ends I will not be able to claim off the PPI I deliberately purchased in rder to protect me in times of need.

HappyMJ

You can get the Accident and Sickness part of the insurance and not the Unemployment part. As a contractor they most probably won't pay out for the unemployment part, unless a contract is terminated before it's normal finishing date...and if they do pay out it'll only pay out to when it finished anyway....making it quite worthless.

simpywimpy

Does it matter that its a rolling contract?

He was also told that as his contract expired approaching 6 months ago, he will become a permanent employee after 6m as this is the law in South Africa. Will this make a difference?

InsideInsurance

How does he operate? Does he have his own Ltd company? Sole Trader? Umbrella? How long has he been with this client? How long has he been unbroken with clients?

As a contractor you are not typically a Fix Term Employee and so technically things are different. For example if you are a Ltd company then you are an employee of that not the client but then if your company loses the client it doesnt automatically make you unemployed either to be able to claim on ASU

simpywimpy

He works in South Africa as being contracted to a particular company and spends more time out of the UK than in it so I guess is more an employee on fixed term contract?