Guide to Income Protection Insurance for Contractors

Why Contractors Need Income Protection

As a contractor, if you don't work, you don't get paid. Unlike permanent employees, who have sick pay and other safety nets, you're on your own. That's why income protection is essential.

Key Features of Contractor Income Protection

Income protection helps maintain the lifestyle you're building. It can:

• Replace up to 65% of your income during serious illness or disability.
• Provide a monthly payout after your chosen waiting period.
• Protect you until retirement, ensuring long-term security.

Why we’ve partnered with Broadbench Ltd

Navigating income protection insurance can be overwhelming. That’s why we recommend Broadbench. Their expert advisers specialise in contractor-specific solutions, offering whole-of-market advice tailored to your unique needs. From risk mitigation to tax efficiency, they simplify the process, ensuring you get the right coverage without the hassle. And the best part? There are no fees for their service—Broadbench is paid by the insurance provider if you choose a product.

How Income Protection Works

As a permanent employee, you may have had 3 months of paid leave during illness. As a contractor, you face financial risk from the first day you're unable to work. Income protection safeguards your standard of living by providing monthly support if you're out of work due to illness or accident.

Free Review for Existing Policies

Already have income protection? Our preferred partner, Broadbench, will review your coverage for free to ensure it's still relevant for your current situation, family, and goals. If your policy doesn't match your needs as a contractor, it might not be worth having.

Waiting Periods and Premiums

The waiting period is the time you wait before payouts begin. A longer wait means lower premiums, but make sure you're financially prepared to cover yourself in the meantime. Your advisor will help you balance cost and coverage.

Still unsure? Speak with a Broadbench specialist

Broadbench’s experts ensure you get competitive premiums from top providers who truly understand contractors. Consider how life would change if a serious illness prevented you from working. Can you afford to be unprotected?

Talk through income protection options with a specialist to ensure you and your loved ones are secure in case of accident or sickness. If your current cover doesn’t guarantee that, it’s not worth having. Let Broadbench help you find the right protection.

For more detailed information and to book a no-obligation Welcome Call please fill in the form below.

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You may also be interested in…

For more detailed info on the different policies designed specifically to help contractors protect their income, check out these detailed guides:

• Life cover insurance.

What is Life Insurance? Life insurance is an essential insurance policy for contractors as it can replace the employee death in service benefits that you left behind as an employee;

• Relevant life insurance for contractors.

Relevant Life Cover is a tax-efficient life insurance policy, set up by the company and pays out a tax-free, lump sum on the death (or diagnosis of a terminal illness) of the person insured;

• Critical Illness insurance cover.

Critical illness cover is designed to pay out a lump sum on diagnosis of a range of serious illnesses, unlike life insurance which pays out only on death or diagnosis of a terminal illness.