Many people struggle to keep on top of their essential outgoings, such as mortgage and rent, if in any case, they lost an income due to illness or an accident.
Income protection is a long-term insurance policy to ensure you get a regular income till the time you retire or can return to work. Here you will know how it works when you need it. Your insurance broker can give you the best advice on income protection insurance.
How Does An Income Protection Insurance Work?
Income protection insurance:
provides regular payments as a replacement part of your income if you can not work due to illness or an accident
pays out till you start working again – or you retire, die, or reach the end of the policy term – whichever is sooner
gives coverage to most illnesses that have made you unable to work – either in the short or long term.
(depending on the type of policy and its definition of incapacity) You can claim it as many times as you need to while the policy lasts.
When do I need income protection insurance?
When you can not work due to illness or an accident, you might assume that your employer will give you some level of income.
Very few employers can support their staff for more than a year if they’re on sick leave from work. Discuss with your employer what he can provide for you if you’re off sick.
It totally depends on the level of savings you have made, the loss of an income is a really serious issue that can
soon leave you unable to pay essential household bills, such as mortgage/rent and utilities.
It can be especially difficult if you’re self-employed and so have no sick pay to fall back on.
The premiums may vary and different insurers may have very different criteria. So it’s worth doing a bit of research before purchasing one.
For more details Visit at: https://www.einsured.ca/