Income Protection Insurance – help?


Hi all
I am in early 30s and looking for income protection insurance (that would give a guaranteed monthly payment until retirement (or recovery, if applicable) if I had illness or injury/disablement that meant I was unable to work.

The two that look most appropriate for me (from headline conditions and prices) are from The Exeter and Aviva.

I know nothing really about this type of insurance other than I’m starting to think it would be a good idea to have.

But I am confused by all the options and would be grateful for any advice:

1) People have recommended “own occupation” cover as being the most preferable option, but would that not mean I couldn’t claim if I could do ANY type of work (which is surely rare, technically speaking e.g. if in a wheelchair/bedridden I would still be able to answer a phone, type, etc);

2) Is benefits and/or other insurance/income taken into account for claim amount e.g. I noticed you can only insure up to 50% of gross salary and that you can’t be “better off” receiving insurance than when you were working. If my employer provided insurance cover for 1 year after any accident/disablement, would this invalidate the policy I am wanting. The short-term work-provided policy is good but a year is not enough if there was permanent illness. Also if I insured for £1,400 a month, would the insurer only pay £1,400 LESS any amount provided in state benefits?

3) One option has a fixed monthly price for life of policy, the other subject to increase . I assume this means the first one will also mean claim amount is fixed – so becomes less valuable each year as inflation erodes, so maybe the increasing price one is better.

4) I sought treatment for depression around 7-8 years ago, will I need to get exact dates from doctor to disclose this? I assume if that wasn’t disclosed it could invalidate the whole thing even if illness/claim unrelated to a past mild depression.

5) Anything else to look out for in terms/conditions, options, etc? I am perhaps paranoid but I find it difficult to trust insurance companies, I imagine they would look for any little get-out/clause to avoid having to pay…I therefore want to disclose everything that needs to be disclosed and comply with all terms and technicalities and do everything I can to make the policy payable – so I can have peace of mind. Hopefully I would never need to claim it but it would give reassurance knowing it’s there. Although I read they are well-regulated in the UK and many companies are very fair.

Basically I want cover in the event of being unable to work due to injury, accident, illness, disablement, attack resulting in any of these, etc.

6) It looks like I can defer any claim and start claiming after 6 months of injury/disablement/illness – that lowers the premium so seems sensible as I would only intend to claim if I did indeed have a long term issue.

Thanks so much for reading this, hope someone can help

Last edited by ferox666; Today at 9:15 PM.


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