What is income protection?
Income protection pays a monthly amount if illness or injury stops you working. Unlike critical illness cover, it isn't tied to a short list of conditions — it covers almost any medical reason you can't do your job, from a bad back to cancer to long Covid. Payments continue until you're back at work, you retire, or the policy term ends. It's the closest thing to insuring your salary itself.
Why sick pay rarely goes far enough
- Statutory sick pay is a small fixed weekly amount, and only lasts up to 28 weeks.
- Many employer schemes reduce to half pay or nothing after a few months.
- The self-employed have no sick pay at all — time off work means no income.
- Long-term conditions can keep you off work for years, not weeks.
How it's tailored to you
Two choices shape the policy. First, the deferred period — how long you wait before payments start, which you'd usually match to your employer's sick pay or your savings (from one month to a year). The longer the wait, the cheaper the premium. Second, the length of cover: short-term policies pay for a year or two per claim, while full-term policies keep paying right up to retirement if needed. We'll find the balance that fits your circumstances and budget.
Especially important if you're self-employed
If you're a contractor, director or sole trader, income protection is often the single most valuable policy you can buy — there's no employer safety net at all. It's also worth pairing with the right mortgage strategy: we can look at your whole picture together, rather than treating the mortgage and the protection as separate conversations.
What it typically costs
Premiums depend on your age, health, job, the cover amount, the deferred period and the term. White-collar roles in low-risk occupations are usually insurable for a sensible monthly outlay — often less than people expect. Because the market varies so much, comparing policies properly (not just on price) is where advice earns its keep.
Common questions
What is income protection insurance?
It's a policy that pays you a regular monthly income if you're unable to work because of illness or injury, until you can return to work or the policy ends. It replaces a slice of your salary — usually up to around 60% — so the mortgage and bills keep getting paid.
Isn't sick pay enough?
For many people, no. Statutory sick pay is a small fixed amount and only lasts 28 weeks, and many employers' sick pay schemes are limited too. Self-employed people get neither. Income protection is what fills that gap for as long as you need it.
What's the difference between income protection and critical illness cover?
Critical illness cover pays one lump sum if you're diagnosed with a specific listed condition. Income protection pays a monthly income for almost any illness or injury that stops you working — including things like back problems and mental health. They protect you in different ways, and many people have both.