Income Protection Insurance
Income Protection Insurance: Buying a home and getting on the housing ladder is a fantastic experience, but being a home owner comes with additional responsibilities. You are required to make your monthly mortgage payments consistently and if you cannot work due to ill health, you will be expected to still make those payments.
What is income Protection Insurance?
Income Protection Insurance pays you a monthly income for a defined period of time, if you cannot work to replace your salary so you can continue paying your bills and your mortgage. Many people wrongly assume there is government assistance if they fall ill and cannot work. Unfortunately that is not the case and you will still be expected to make your monthly mortgage payments.
How much does Income Protection cost?
You will pay a monthly premium for income protection, the monthly payment could be anywhere from £30 per month up to £100 per month, depending on the level of cover you need. This insurance pays around 50% ~ 70% of your salary before tax, and the monthly payments you receive are tax free. Each insurer offers different levels of cover, different terms and monthly premiums.
When should I take out Income Protection Insurance?
Most people will take out Income Protection Insurance when they buy their first home, but people will also consider taking out this insurance when their circumstances or employment change. For example if someone leaves an employer to go self-employed, they will lose any sick pay benefits that employer may offer.
How we can help
As an independent and whole of market mortgage and insurance broker, First Select Mortgage Brokers we will carry out a comprehensive search of the mortgage and insurance market to find you the lowest cost product that meets your circumstances. We will conduct an affordability assessment with you to ensure the monthly mortgage payments and insurance payments all fit within your monthly budget.
Have more time? We have published a Free Information Guide on Life & Critical Illness Insurance. It is a short 4 minute read and can be accessed: here
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About us
First Select Mortgage Brokers are friendly and professional mortgage brokers. We can access mortgages from the whole of the UK mortgage market, meaning we can get the best possible deal for our clients circumstances. Based in Manchester, we are a family business with decades of experience in financial services. Our goal is to be the most trusted regional mortgage advisory business in the northwest of England.
Our team of experts are ready and waiting to help. Contact the team below:
Phone: 0161 393 1575 // 07780 446 937
Email: hello@firstselectfs.co.uk
Visit our Contact Us page to make a formal enquiry
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