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> Income Protection Insurance - UK Guide
 About this type of cover
It's easy to start taking your job and salary for granted, but in these uncertain economic times it is always wise to take precautions against unforeseen events. Imagine how your life would be affected if, through no fault of your own, you found yourself without any income. How would you pay your rent or mortgage, or even buy food to feed the family? With income protection insurance you can protect your income and your home and family in the event that this situation arises. Income protection insurance provides peace of mind during a difficult time, giving you reassurance and buying you extra time to get your life back on track.
Summary of Cover
The features and cost of cover will depend on the level of income protection insurance that you take out. You can opt for unemployment income protection insurance, disability income protection insurance, or a combination of the two. It is important that you ensure that your policy provides adequate cover for the amount of income you rely on each month. You don't have to insure your whole income, but if you need, for example, £1000 each month to cover rent/mortgage, bills, food etc. then you should ensure that you will receive at least this amount in the event of a claim.
Extras
There are a number of extras available with income protection insurance, and although you may have to pay a little extra on your premiums these could prove invaluable in the future. You can select from extras such as:
Critical Illness Cover, which can provide valuable additional peace of mind in the event that you are unable to earn money due to critical illness. The lump sum paid out is yours to keep even if you go on to recover.
Disability Cover is available in addition to unemployment income protection insurance, and gives additional peace of mind in case you are unable to work through incapacitation.
Additional Information
It is imperative that you check any income protection insurance policy before making a commitment to ensure that it provides the levels of cover that you require. Policies can differ from one insurer to another, and it is advisable to compare both premiums and features before making a decision. The claims procedure can also vary from one insurer to another. In general, the insurer will need to be sent details pertaining to your unemployment or disability. You should ensure that you are familiar with the claims procedure, which can differ from one insurer to another.
Free Extras to Look Out For
There is no guarantee that you will receive any free extras with your income protection insurance cover, but some insurers do offer extra, particularly with higher levels of cover. You should check with the insurer with regards to any additional extras they can provide, and because competition is fierce in the life insurance field you may find some excellent deals with a range of free benefits.
Saving Money on your Cover
If you want to save even more money on your income protection insurance cover there are some steps you can take to cut costs. These include:
Shop around as the cost of cover and the benefits of cover can vary from insurer to insurer, so it is important to compare the various deals on offer.
Go online as the Internet is often home to some of the cheapest income protection insurance deals around, and you can also enjoy far more choice. Some insurers offer additional discounts to online customers.
Combine your cover with valuable add-ons such as critical illness cover and disability cover rather than taking out separate policies, as this can work out much cheaper.
Further Information
You can obtain further information with regards to quality insurance cover from the Association of British Insurers on the link below: http://www.abi.org.uk/
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