Personal Protection

How would you cope if your spouse or partner were to die or suffer a critical illness?

Would you be able to pay the mortgage? Would your family have enough money to maintain their lifestyle? If you were off work on long term sick, would you be able to survive on the statutory sick pay of £88.45 per week? What would you do when this ceased to be paid after 26 weeks? How would you manage if you or your partner were made redundant?

Death, serious illness or injury and redundancy can happen at any time and without warning and protection policies can be used to ensure that if the worst was to happen, you and your family would have financial security during these times. Protection does not have to cost a lot, and you may be surprised how little it can cost. Even a small amount of cover will assist you and your family in times of need…

Please note that with insurance based on an assessment of health it is unlikely the policy will cover existing medical conditions. You should always refer to the policy documents and seek advice to learn what is and isn't covered.

Personal Protection Types

Life Cover

Life assurance gives you peace of mind that your family will be taken care of should you die.

There are numerous types of life cover policies available and ParnabyEvans can help you decide which is right for you. From paying off your mortgage, to providing a lump sum or an income for your dependents, ParnabyEvans can help you ensure all your needs are covered. Level term cover will offer the same level of benefit throughout the policy, whilst decreasing cover will reduce year on year throughout the term of the policy. Decreasing cover is usually used to protect a repayment mortgage.

Critical Illness cover

Critical illness cover pays out a tax free lump sum in that you suffer a specified critical illness such as some forms of cancer, a heart attack, Multiple Sclerosis or a stroke

Each policy provider will specify exactly the range of illnesses covered by policy. Benefits are paid out on diagnosis of the illness. This type of cover is cheaper the younger you are so it is highly recommended that you apply for cover sooner rather than later. This cover can be used to protect all or part of your mortgage debt, and also to provide a lump sum or annual income for you and your family.

Income Protection

This type of policy offers you the security of knowing you will have a replacement income as long as required, should you suffer a long term illness or injury.

The policy is designed to pay out after a certain number of weeks (4, 13, 26 or 52) and this would be tied in with your employer sick pay benefits to ensure the policy is only providing cover when needed. In the event of a claim a monthly income would be paid, after your chosen deferred period, until you either returned to work, reached the policy end date or died. The rate of statutory sick pay is £88.45 per week and payable for a maximum of 26 weeks. An Income Protection policy would give you peace of mind that should you be off work for longer than this, you would have an income to ensure your monthly bills were met.

Redundancy Cover

If you lost your job would you be able to fund your mortgage and other household bills whilst you sourced alternative employment?

Redundancy cover can offer you up to 12 months income to assist with your mortgage and household bills whilst you find another job. This type of policy would pay out after 30 days unemployment and would continue to pay the monthly benefit until you returned to work or for a maximum of 12 months. For Accident, Sickness & Redundancy cover we offer products from a limited panel of providers.

 

Please note that payment protection insurance is optional. There are many providers of PPI and other products designed to protect you against loss of income. For impartial advice about this kind of insurance you can visit the Money Advice Services website.