Most of us don’t realise just how quickly the money could run out if anything happened to us or our partners as a result of long term sickness, injury, a critical illness or if the main breadwinner died. The average UK household would only financially last 29 days before being totally reliant on state benefits, friends or family. For families of a working age (18-64 year olds) this reduces to just 14 days. You can work out how close you are to the breadline here.
While people like yet 50% of people know someone who has suffered a serious illness or injury, and 2 million UK adults are currently claiming sickness and incapacity benefits. One of the main reasons people choose not to take out insurance, is that they think the state will take care of them or their loved ones if they were to become disabled, critically ill or die. However, this guide from Legal & General shows just how little support the government provides; and some benefits take up to 39 weeks to be paid from when you apply.
Many people think that income protection is not affordable, but for the price of a daily cup of coffee, or meal for two, a 30 year old could protect themselves with a policy that pays £1,500 per month*. If you are unsure what cover you have in place, or if you don’t know what cover you need, contact Warren & Co who can advised you on what type of policy is best for you.