The cost of income protection insurance is dependent on your circumstances and lifestyle. Men tend to pay more than women, as they make more claims. If you have a risky job, such as working on a building site, you are likely to pay more.
You will also find your insurance costlier if you are in poor health and/or have an unhealthy lifestyle (such as drinking heavily or smoking.) Premiums are also lower if you are willing to wait for a period before you receive your pay out and if you are willing to do other jobs, which might be more suitable based on your illness.
For example, you may not be able to work on a building site, but you may be happy to work in an office. These aspects will all be taken into consideration when determining the cost of your income protection insurance. The insurance company will be able to provide you with an income protection quote.
If you are unsure about how much cover you need to take out, you should consider your monthly income and how much you would receive in state payments. You also want to factor in any regular expenses you have, as well as any extra costs associated with your illness, such as medication and extra costs for heating etc.
If you need some advice on income protection insurance and the potential costs of taking out a policy, our advisors at Finance Surgery will be happy to offer you any assistance you need