Income Protection

giddykipper

Hi there

I wonder if anyone could help, I'd like to take out some income protection because I work in the housing industry and its looking a tad dodgy at the moment, it would just give me peace of mind.

Thing is a) I know nothing about it at all and b) I'm in a dmp so need to get one as cheap but as effective as possible.

With being in a dmp I couldnt afford to be even 1 month without a salary so one that pays out after 31 days would be good and one that starts with immediate affect.

So does anyone know of a good, reliable company that provides this service, or could someone just give me some tips to help me choose one.

Thanks very much

Jo x

dunstonh

What sort of income protection are you after? proper income protection (budget, standard or comprehensive) or budget payment protection, unemployment only?

Is you occupation high risk (as in manual labour)?

What sickness benefits are in place at present?

giddykipper

Thanks for your reply. My occupation is a PA in the construction industry but based at head office so not high risk.

I'd like the income protection to cover the necessities like mortgage, council tax, utilities, insurance ....... around £1100 would cover all that.

As for sick pay from work, I've just asked our M/D and he said its descretionary so basically not to rely on it, so only guaranteed satutory sick pay.

I've had a quote from Ant insurance for AS&U and its come out at £32 per month which I thought was quite cheap (but what do I know) with a 90 day exclusion period, after that I can claim after 31 days off work but it goes back to day 1.

payless

Ant are cheap - products sold direct without advice ( ONE FACTOR WHY THEY ARE CHEAP) they suggest if you need advice you get an independent adviser , although not sure they actually allow advisers to arrange their plans ( if thats the case, sounds a bit of a cop-out disclaimer)

in terms of insurance firms I guess they are fairly new -2000 , underwritten by Assurant who I believe are much more established

I've no personal experience of their claims handling.

dunstonh

Ant are cheap and for payment protection its fine. However, for income protection its useless (as it only goes 12 months unlike PHI policies which go until the selected end date, typically retirement).

As a PA, you may well find permanent health insurance (PHI) is better value for money compared to payment protection insurance.

giddykipper

Thanks for your replies, what about the unemployment aspect? The housing market is a bit dodgy just now.

thanks

Jo