Income protection insurance is a form of insurance that can help replace lost income due to illness or injury. It’s available for both employees and the self-employed in Ireland. Income protection insurance providers generally offer two types of policies:
If you’re completely unable to work because of an illness or injury, you might be eligible for a lump sum payout from your income protection provider (up to 85% of your regular earnings). This will help with the costs associated with being off work such as paying household bills and childcare fees while also ensuring that your family doesn’t need to rely on social welfare payments while they wait for their finances to get back on track again after they return from taking time off work due to illness/injury
What is income protection insurance?
Income protection insurance is a form of insurance that pays a monthly benefit if you are unable to work due to illness or injury. It’s designed to replace a portion of your income if you are unable to work for an extended period of time, such as due to illness or injury.
Income protection policies vary in terms of what they cover and how much they pay out each month, but generally speaking, there are two types: short-term disability insurance and long-term disability insurance. Short term income protection policies typically last between one and five years while long-term policies last longer than five years (usually up until age 65).
Why is income protection insurance important for self-employed people?
The reason why income protection insurance is so important for the self-employed is because they are at a higher risk of suffering a setback in their career than employees. For example, if you have been working as an employee for ten years and then decide to go out on your own, you may be more likely to suffer from a setback if you do not have any sick leave benefits or short-term disability coverage through your employer.
In addition to this increased risk of suffering from setbacks due to lack of benefits, it’s also true that many people who become self-employed take longer than others when recovering from illnesses or injuries. This means that even if someone has access to health insurance through their employer (and this isn’t always the case), there could still be gaps between them receiving treatment and being able to return back into work again once fully recovered – which would cause financial stress on top of everything else!
Who should have income protection insurance and why?
If you’re self-employed, there are a number of reasons why you should consider income protection insurance. If your business is based on commission or if it’s seasonal, for example, then having an income protection policy in place can help protect your finances from short-term fluctuations in earnings.
There are also some other situations where this type of cover could be useful:
- If you have a gap in employment history (for example, because of illness) and want to ensure that future employers won’t be able to find out about it when they run a credit check on you;
- If your family relies heavily on the money that comes into the household via salary or wages; and
- If retirement planning is something that’s important to you and having access to an income stream would help make this happen sooner rather than later
How much does income protection cost?
To find out how much your monthly income protection premiums will be, you will need to get in touch with an insurance broker. They will be able to tell you exactly how much the policy costs and give advice on whether or not it’s worth buying.
Income protection insurance is usually paid monthly, so make sure that you have enough money available for this when deciding on which level of cover is right for you.
What are the top compensation amounts for different groups of people?
Income protection insurance amounts are based on age and income. The type of policy you choose will also affect your compensation amount, as well as other factors like whether or not you smoke.
The higher your salary, the higher income protection insurance will be.
How do I get an income protection quote?
In order to get an income protection quote, you will need to contact an insurance broker or company directly. You can also get a quote from comparison websites. However, it’s important to remember that these sites aren’t regulated by the FSA or any other financial regulator so it’s always best to check with your chosen provider before purchasing a policy through them.
There are many market leaders in this field such as InsureYourIncome who offer some great products for self-employed people looking for income protection insurance cover.
Find out if income protection insurance is the right choice for you.
Before you get an income protection quote, there are some things to consider.
- Do you have dependents? If so, how old are they and do they require full-time care? If not, how much money would it cost for someone else to look after them if something happened to you?
- How much could your business suffer if you were unable to work? What would happen if the business closed down completely due to lack of funds or manpower (assuming that it’s not just a small side hustle).
- How long do think it will take for your injury or illness recovery period before returning back into full swing again once treatment has been completed successfully without any setbacks along way such as further injuries requiring additional surgeries etc…
Conclusion
If you’re self-employed, it’s important that you have the right self employed income protection ireland. In this article we’ve looked at the different types of income protection insurance and how much they cost. We also covered some of the benefits of having this type of cover and what kind of people might benefit most from having an IPP policy. If you think income protection is something that could help protect your business against unexpected losses or other financial difficulties then check out our guide on how to get quotes online