Do we need income protection insurance?

We always think about sickness as a few days off work with the flu, but we don't think of what would happen if we were out of work for a longer period of time due to a major illness or an injury.

Many employers may continue to pay workers' wages if they are unable to work, although this will only be for a few weeks, after which the income is not protected. Some employers do not even have this scheme, which means that your income is not protected if you are off work for a longer period. 

Income Protection Insurance can help you manage your monthly expenditure if you are off work for a longer period due to sickness or accident. A basic income protection insurance scheme  does not cover redundancy, but some insurance providers offer redundancy cover (also known as redundancy insurance) as an optional benefit.

Self-employed people can get income insurance, but there are certain limitations on salary amounts and deferred terms.