private insurance and universal credit

newbee007

Hello,

I am helping with my friends universal credit application and have small doubt about one thing, I hope someon will clarify that.

He stopped working because of his medical condition some time ago. He had private insurance and that company pays him now around 560 pounds every month. Universal Credit aplication asks about his work and income. He is not working and does not earn any money since his condition went bad. Does private insurance money count as income in this case? He is also geting around 70 pounds from PIP every week. Thanks for looking through it and for any help.

teddysmum

The information is easy to find :
https://www.moneyadviceservice.org.uk/en/articles/universal-credit-an-introduction#how-does-other-income-affect-universal-credit

pmlindyloo

This is from the decision guide

Certain insurance payments
H5086 Payments received under an insurance policy which is insuring against the risk of
1. losing income due to
1.1 illness or
1.2 accident or
1.3 redundancy or
2. being unable to maintain payments on a loan in respect of owner occupier
payments which would qualify as housing costs for UC
are taken fully into account
.
1 UC Regs, reg 66(1)(h)

How long ago was he working? Are you sure he isn't entitled to contribution based JSA/ESA instead? Is he fit for work?

newbee007

Hi, thanks for replies
He is not fit to work, as he had stroke (3 months ago) and now he is not able to do even things around his home. He was self employed.

sammyjammy

Please answer the question from pmlindyloo, your friend may be entitled to ESA based on NI he has paid in tax years 14/15 and 15/16 instead which wouldn't take the income into account.