Redundancy income insurance

Financially_Backwards

So I was told by a financial advisor that no company is offering income protection insurance in light of the coming financial crisis.  In the 2008 crisis we let 50% of our workforce go, and this crisis will be bigger. I need to know if there’s any options for me to protect myself as i have a mortgage and negative equity, and my trade is very specialised with just a handful of people earning what I earn to do my job, so even if I got a new job it will be probably half my income. 

Ideas?

Vestraun

No, I would think it would be very unlikely as it’s now a known event. 

sharpe106

It would be pretty costly if there was one.

Financially_Backwards

So I could lose my house?

sharpe106

I doubt very much anybody would insure now, why would they? They know it is a likely event. Best thing you can do in the meantime is try to cut your spending so your savings last you longer if you do loose your job.

Fire_Fox

Unfortunately, as in all recessions/ depressions, some will lose whatever it is they have invested in. Even in good times individual circumstances can change dramatically and unexpectedly (eg. accident or significant injury). The government has long expected us to have a 'back up plan' to cover our elective borrowing, such as car loans, credit cards and mortgages.

Hopefully you are currently employed and earning, hopefully you have a decent 'rainy day fund'. You can also ask your mortgage lender for a payment holiday, cut back really hard on your outgoings (read the MSE forums), strive to add to your savings whilst are earning, later on take in a lodger under the 'rent a room scheme' for a tax-free supplementary income stream.

dunstonh

So I was told by a financial advisor that no company is offering income protection insurance in light of the coming financial crisis.

Correct.   Its not a coming crisis.  Its already a financial crisis.    So, even if they hadn't have been pulled from sale, you wouldn't be covered if you bought one now.