What is income protection insurance?


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Income Protection insurance can offer a replacement income that is normal if a person is not able to work because of sickness or injury. Typically, a policy pays out once they have been off work for six weeks (often known as a deferred or waiting period) and may cover a proportion of their salary until they return to work, reach State Pension Age, or if they die while asserting.

While the monetary benefits are generally the primary reason people decide to protect their income, GIP and Income Protection for people frequently arrive with a broad assortment of additional value support. And it is not just for employees. Employers can have access to support tools and specialist advice. This sort of support – for both employee and employer – comes as part and parcel of this policy and does not cost a cent extra.

So what are some of the typical built-in benefits?

Employee and Employer Assistance Programme

Commonly referred to as an EAP, with GIP policies it provides advice, information and technical assistance on a scope of work and life difficulties. These can include health and money matters, grief, relationships, family, and key man insurance. It may also supply phone or face-to-face counseling and cognitive therapy.

The employer can access services like more counsel and advice for supervisors around taxes, employment law, and disability legislation.

Some Income Protection policies provide access to an EAP similar while not universally accessible. It might not be comprehensive but will offer an entry-level of information and service tools.

Vocational Rehabilitation

GIP is complemented by rehabilitation. While the advantage ensures that the ill or injured worker has financial security and peace of mind, specialist Vocational Rehabilitation Consultants (VRC) will help the employee make a secure, and importantly, sustainable return to work when prepared.

Might have their own vocational and medical expertise, or my partner. VRCs have qualifications across a range such as a Physiotherapy, Occupational Psychology, Occupational Therapy, and Nursing.

Some of the things a VRC may do are:

  • Suggesting ideas that are practical to Assist recovery
  • Acting as an intermediary between the employer and the worker
  • Highlighting potential barriers that may prevent the employee
  • Suggesting alterations to the office or the employee’s workstation
  • Creating a return to work plan

Some GIP policies also allow early intervention, allowing companies to flag situations where they believe a worker who’s still at work could be struggling with a health issue.

Calling on specialist VRC support early can help prevent workplace absence by handling short-term issues before they get long-term health issues, affecting productivity and performance.

Some Income Protection policies might supply an employee help to go back where they think the person’s circumstances indicate it would be beneficial to work.

Individual Income Protection

Individuals may get Income Protection from an insurer, and, sometimes, directly through a broker or IFA. Not all insurance companies sell Personal Income Protection and should speak to an IFA. The IFA will have the ability to suggest potential providers, and policies that match the individual’s particular conditions.


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