<div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">George Clooney</h2></div><h2 style="margin-left:0cm;">&nbsp;</h2><p style="margin-left:0cm;">One of the biggest and most powerful stars in Hollywood got his big break on the TV series ‘ER’. He also has a family connection with the movies as the nephew of Rosemary Clooney, star of ‘White Christmas’.</p><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">However, his beginnings were less glamorous. During the lean years of relentless auditions he made ends meet as a door-to-door insurance salesmen. As he told the Daily Mail:</p><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">“I was a struggling actor for ten years and I have a great understanding of what it’s like to try to make things work...I would buy suits that were too long in the leg, cut the bottoms off and hem them up with a stapler, and use the leftover fabric to make ties for work…I sold insurance door to door — cold calls, knock knock, “Hi, do you have whole life insurance? We can turn whole life into term life and you can put the rest of your money into your retirement fund!” Believe me, it’s a terrible job.”</p><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">He wasn’t very good at it either. He received only one commission. And, as he tells it, ‘the guy died.’</p><p style="margin-left:0cm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Tom Clancy</h2></div><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">Before he became the titan of best-selling thriller novels, Clancy supported his wife and four children by selling car, fire and casualty insurance for his wife’s grandfather’s insurance business. Unlike Clooney he was a natural and was so successful that he ended up buying the company. Moving from salesman to proprietor gave him the time to finish his first novel, ‘The Hunt for Red October’. He sold it for $5,000 to the Naval Institute Press, which had never published fiction before. Released in 1984 and filmed in 1990, the book was warmly endorsed by President Reagan and has sold over 5 million copies.</p><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">Reflecting on how his earlier job helped his literary career, he told the New York Times:</p><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">“In the insurance business, you have to pay attention to details or a client could lose everything. A doctor has to, a cop, a fireman, why not a writer?”</p><p style="margin-left:0cm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Evel Knievel</h2></div><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">The fearless motorcycle stunt rider is well known for both his record-breaking successes and his catastrophic failures. He claims to have broken every bone in his body over the years and after breaking his collarbone and shoulder he temporarily exchanged the daredevil life for the safer pursuit of selling insurance.</p><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">The experience changed his life. His bosses had written a book called ‘The Business Success System that Never Fails’ and when Evel read it he discovered the power of positive thinking. When he was passed over for promotion he regained his passion for showmanship, got back on his bike and rode into the pages of history.</p><p style="margin-left:0cm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Anne Rice</h2></div><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">Eventually scaling the same commercial heights as fellow novelist Tom Clancy, Anne Rice achieved enormous success with her horror novels. Her 1976 debut, the international bestseller ‘Interview With the Vampire’ was filmed in 1994 with Brad Pitt and Tom Cruise.</p><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">But before she reinvented herself as a novelist she worked as an insurance claims processor in New Orleans. Where Clancy was good and Clooney was bad, Rice was decidedly indifferent. When she struggled away at her desk she couldn’t have imagined she’d end up selling 100 million books, owning huge properties all over the US and employing 49 domestic staff.</p><p style="margin-left:0cm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Colonel Sanders</h2></div><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">The military rank wasn’t a marketing gimmick. Harland David Sanders really was a veteran who’d attained the rank of Kentucky Colonel. At 65, the age when most people are contemplating retirement, he used his savings and his social security payments to found Kentucky Fried Chicken (since rebranded as KFC). In the early days he even had to sleep in his car while he waited to close deals. But for most of his life he had worked as a cold-calling door-to-door insurance salesman in Indiana. He credited that experience with giving him the skills to sell his franchise and build his finger lickin’ good empire.</p><p style="margin-left:0cm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Caitlyn Jenner</h2></div><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">In 1976 Bruce Jenner won gold in the decathlon at the Montreal Summer Olympics and became an American hero. As if one historic life event weren’t enough, 39 years later Bruce very publicly became Caitlyn, halfway through the 14 year-run of ‘Keeping Up With the Kardashians’. These are the reasons for her international fame today, but before the gold medal Jenner was an unknown athlete with dreams of Olympic glory. Through the years of intensive daily training he supported himself with a job selling insurance in the evenings, earning $9,000 a year. According to some estimates she’s now worth $100 million. Jenner’s is a life full of surprises and a unique version of the American Dream.</p><p style="margin-left:0cm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Mr Potato Head</h2></div><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">OK, it’s actually the ‘insult’ comedian Don Rickles, but he’s best known in the UK as the voice of the slightly neurotic, lovestruck plastic toy in the ‘Toy Story’ movies. After serving in the US Navy during World War II he tried to become an actor but when that seemed to be a dead end he took to performing stand-up in comedy clubs. In the early years he had to rely on a day job to make ends meet so he decided to follow in the footsteps of his insurance salesman father. He was not a success and was hopeless at closing a sale. In his autobiography he revealed that his father described his sales technique as ‘the kiss of death’. Fortunately for Rickles and his audience he found his true calling and enjoyed a 60-year career in entertainment.</p>

Celebrities Who Worked in Insurance

<div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Where and how to buy it</h2></div><h3 style="margin-left:0mm;">&nbsp;</h3><p style="margin-left:0mm;">Income protection is offered by a relatively small number of UK insurers, but you still need to be thorough in weighing up the options. Insurance in some form is part of everyone’s life – life cover, home and contents, private health care, travel and even pet insurance. Sometimes we’re obliged to buy it – car insurance, for example – and sometimes it’s purely a matter of choice. Choosing income protection could be one of the wisest decisions you make, but before you choose, there are important things you should know.</p><p style="margin-left:0mm;">&nbsp;</p><p style="margin-left:0mm;"><strong>&nbsp;</strong></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Finding the right income protection insurance</h2></div><p style="margin-left:0mm;">&nbsp;</p><p style="margin-left:0mm;">The idea of income protection is straightforward.</p><ul><li>It shields you from the consequences of a sudden loss of income caused by illness or injury.</li><li>If you’re forced to stop working it gives you monthly payments to help replace your lost earnings.</li><li>You buy a policy that guarantees you a big enough monthly pay-out to keep your finances afloat until you can work again.</li><li>You choose the level of cover that<ul><li>Meets your needs</li><li>Suits your budget&nbsp;</li></ul></li></ul><p style="margin-left:0mm;">&nbsp;</p><p style="margin-left:0mm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">How to apply</h2></div><p style="margin-left:0mm;">&nbsp;</p><p style="margin-left:0mm;">When you’ve found the policy that comes closest to delivering what you need you might expect it would be easy to apply online. However, that isn’t always the case. Even getting an initial quote can involve making a phone call, when all you want to see are the figures.</p><p style="margin-left:0mm;">&nbsp;</p><p style="margin-left:0mm;">Most insurance companies appear to offer a simple online application procedure, but once you’ve given all your personal details and answered all the insurer’s questions, you’ll often see a message that reads something like: ‘One of our agents will call you’.</p><p style="margin-left:0mm;">&nbsp;</p><p style="margin-left:0mm;">Does it have to be that way? At Eleos we don’t think so. We believe you should be in the driving seat. That’s why we’ve designed our application and claims procedures to be 100% digital. You can do everything online without having to speak to anyone first.&nbsp;</p><p style="margin-left:0mm;">&nbsp;</p><p style="margin-left:0mm;"><strong>&nbsp;</strong></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">What additional information do you need to provide when applying for income protection insurance?</h2></div><p style="margin-left:0mm;">&nbsp;</p><p style="margin-left:0mm;">Whoever you’re buying from,we think this is what applying should look like.</p><p style="margin-left:0mm;">You give your basic details:</p><ul><li>Name</li><li>Date of birth</li><li>Occupation</li><li>Current income</li><li>Contact details (with a guarantee on how they’ll be used)</li></ul><p>&nbsp;</p><p style="margin-left:0mm;">Then you’re given a choice of quotes with different levels of cover and a range of premiums.</p><p style="margin-left:0mm;">Once you've decided what cover you want, you answer a series of questions about your health, lifestyle and job.</p><p style="margin-left:0mm;">Once you’ve completed these eligibility checks and you’re ready to buy you’ll be asked to</p><ul><li>Confirm your personal information</li><li>Give details of your GP</li><li>Set up a regular direct debit from your bank account</li></ul><p>&nbsp;</p><p style="margin-left:0mm;">That’s all there is to it. Or should be.</p><p style="margin-left:0mm;">&nbsp;</p><p style="margin-left:0mm;">Applying for income protection insurance doesn’t have to be complicated. At Eleos it’s our priority to simplify the process. The only information we ask for is what we need to give you the policy you want. And when we say you can do it all online we mean it. We help you to keep it simple and keep control.</p><p style="margin-left:0mm;">&nbsp;</p><p style="margin-left:0mm;">Start your journey here and find out what makes us different: <a href="https://app.witheleos.com/details/smart"><u>Eleos</u></a></p><p style="margin-left:0mm;">&nbsp;</p><p style="margin-left:0mm;">In our next article we’re going to look at the pay-outs you can expect and explain how to make a claim.</p>

Applying for Income Protection

<p>When you start looking, bear in mind that everybody’s circumstances are different. The kind of things that determine how a plan needs to work are:</p><ul><li>The amount of money you need each month</li><li>The length of time you want your payouts to continue</li><li>The level of premium you can afford</li><li>Whether you’ll receive sick pay and for how long</li></ul><p><br>You’re not tied into an income protection policy in the same way you might be with mortgages and personal loans, but it’s nevertheless important to set up your policy in the way that works best for you.</p><h3><br><br>&nbsp;</h3><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">What are the key elements of an income protection insurance policy?</h2></div><p><br><br>It’s impossible to be definitive, because insurance policies are designed according to each company’s under-writing criteria. In layperson’s terms that means how they assess the risk they’re taking in order to cover you. Most policies will offer:</p><h4><br>&nbsp;</h4><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Complete cover</h2></div><p><br>There are three basic types:</p><ul><li>‘Own occupation’ pays out if you have to stop your usual job.</li><li>‘Suited occupation’ pays out if you can’t do your usual job or another one suited to your experience.</li><li>‘Any occupation’ pays out if there’s no job you’re fit enough to do.</li></ul><p>&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Flexibility</h2></div><h4>&nbsp;</h4><p>Choose a policy that allows you to increase or decrease your premiums, change your level of cover and take what’s called a ‘career break’, which allows you to freeze the policy and the premiums for a limited period.</p><h4><br><br><br>&nbsp;</h4><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">A simple claims procedure</h2></div><p><br>If you get ill or injured and have to stop working you’ll want it to be as easy as possible to claim your benefit.</p><ul><li>Can you do it all online?&nbsp;</li><li>Are you able to speak to someone for help?&nbsp;</li><li>How much paperwork, such as doctors’ certificates, do you have to provide?</li></ul><p>&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Unlimited claims</h2></div><p><br>You have little or no control over how, when and how often you fall ill or get injured. Look for policies that don’t put a limit on the number of claims you can make, either in a year or during the entire term of the policy. No matter how many claims you make, it shouldn’t ever change the way your cover works.</p><p>Regulation and financial compensation<br>Insurance companies are authorised and regulated by the Financial Conduct Authority. They should also be part of the Financial Services Compensation Scheme which means you may be compensated if the company is unable to fulfil its obligations to you.</p><p>&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Extra benefits</h2></div><p><br><br>Most insurance companies provide free extras as part of the package, often called ‘enhanced benefits’. Eleos policies come with four extras as standard:</p><ul><li>24/7 access to a remote GP from anywhere in the world;</li><li>a fully-accredited mental wellbeing support service;</li><li>20% gym membership discount;</li><li>£6000 of life cover.</li></ul><p>&nbsp;</p><h3><br>&nbsp;</h3><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">In summary</h2></div><p><br><br>Regulatory requirements insist on insurers providing the majority of the details listed above - The extras listed here are optional. Eleos provides them all.<br>&nbsp;</p><h3><br>&nbsp;</h3><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">What should you be wary of in an income protection insurance policy?</h2></div><p><br>The insurance industry is very well regulated in order to protect the customer. However, some companies and their agents might have their own ways of doing certain things. Here are a few things you might be concerned about:<br>&nbsp;</p><h4><br>&nbsp;</h4><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Cancellation fees</h2></div><p><br>You won’t encounter cancellation fees in any income protection policy.</p><p>&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Additional charges</h2></div><p><br>The majority of companies that arrange insurance will be paid by the insurer for setting up your policy. However, some may charge you an arrangement fee for the trouble instead of or as well as their commission. While it's a legitimate business practice, it's by no means a requirement to getting your income insured<br>&nbsp;&nbsp;</p><h3><br>&nbsp;</h3><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">In summary</h2></div><p><br><br>Insurance companies have a responsibility to be upfront and transparent about their terms and promises, and they're regulated to ensure they deliver on this. Intermediaries that arrange your insurance policies for you, however, are free to offer their services to you in any way they wish to. If an intermediary asks you to sign an agreement, it is your responsibility to check it for clauses that you might disagree with.</p><p>While there’s nothing illegitimate about what we’ve drawn your attention to here, it’s one of the reasons why we started Eleos. We believe that customers shouldn't have to keep an eye out for the unexpected. We won’tt be surprising you with any of the points we’ve listed.</p><p>&nbsp;</p><h3><br>&nbsp;</h3><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Three things insurers will tell you to do when applying for income protection insurance</h2></div><h4><br><br>&nbsp;</h4><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Be honest and accurate about your occupation and medical history</h2></div><h4>&nbsp;</h4><p>This is for your sake. If you’ve told your insurer something that isn’t true, either by accident or on purpose, the insurer might refuse a claim or even cancel your insurance.&nbsp;</p><h4><br>&nbsp;<br>&nbsp;</h4><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Keep your insurer up to date</h2></div><p><br>It’s in your interest to tell your insurer if there are any significant changes in your occupation or earnings because they could affect your cover and what you could claim.</p><p>Changes to your health and lifestyle don't have any impact on policies that are medically underwritten before being accepted, but if you keep your insurer informed they might be able to offer assistance you’re otherwise unaware of. Eleos’s discretionary benefit of mental health support is a good example.</p><p>&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">You can review your cover at any time</h2></div><p>&nbsp;</p><p>You're not tied in to any form of financial protection, nor are you required to keep the cover the same for any length of time. Income protection policies are flexible because your circumstances might change at any point.<br>&nbsp;</p><h3><br>&nbsp;</h3><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">In summary</h2></div><p><br>Income protection insurance policies can be set up in many different ways in order to protect people regardless of their circumstances. Not only are the plans flexible when you set them up, they're flexible throughout, so you’re free to adjust and amend them at any time.</p><p>&nbsp;</p>

Choosing the right income protection

<p>Having an income protection policy in place gives you instant peace of mind, but when you suffer an illness or injury that stops you working, does it deliver? This is what separates the excellent from the merely adequate.<br>&nbsp;</p><h3><br>&nbsp;</h3><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">How do you make an income protection insurance claim?</h2></div><h3>&nbsp;</h3><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Every insurance company has a slightly different claims process but the essentials are broadly the same:</h2></div><p>&nbsp;</p><ul><li>Tell the insurer you’re ill and have to stop working.</li><li>Complete the claim form.</li><li>Show proof of your regular earnings.</li><li>Show proof that you’re not able to work.</li></ul><p>A claims handler then checks through the information and will either</p><ul><li>Approve your claim and start your monthly payments; or</li><li>Ask you for more information; or</li><li>Refuse your claim because on this occasion it’s not valid.</li></ul><p>We won’t dwell on refusals, which are extremely rare. Approval rates vary but the leading insurers pay out in about 90-95% of cases.</p><h3><br><br>&nbsp;</h3><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">How to claim on your Eleos policy</h2></div><p><br><br>Now let’s consider the procedure in more detail. We’ve looked at what insurance companies expect you to do when you need to claim and we’ve stripped our claims process down to keep it as simple as we can.</p><ul><li>Fill in the online claim form or call 0808 196113 to get one.</li><li>Submit your form at least 14 days before you need the first payment.</li><li>Include copies of the documents we’ve listed below.</li><li>Give us any extra information we ask for as soon as you can.</li><li>A claims handler will assess your claim and start your payments.</li></ul><p>&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">What do you need to tell us?</h2></div><p><br><br>Our claim form asks you for:</p><ul><li>your name, date of birth, occupation and income.</li><li>the easiest way to contact you.</li><li>your job description and duties.</li><li>details of the illness or injury.<br><br>&nbsp;</li></ul><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">What additional information will you need to send?</h2></div><p>&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Make sure you have these documents to hand when you’re ready to claim:</h2></div><h4>&nbsp;</h4><ul><li>a copy of your passport or driving licence.</li><li>a self-signed medical certificate for the first 7 days that you’re off work.</li><li>evidence of your employment and income.</li><li>payslips, P60s or P11Ds if you’re employed.</li><li>accounts or tax returns if you’re self-employed.<br><br>&nbsp;</li></ul><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">What do you need to do while your claim is active?</h2></div><h4><br>&nbsp;<br>Once your claim has been approved and your payments have started you need to give our underwriters, Shepherds Friendly, ongoing evidence that you can’t work.<br>After seven days, send them a Med3 certificate signed by a doctor or healthcare professional.<br>They’ll need a new Med3 every seven days during your claim.<br>Let them know if anything about your illness, injury or employment changes.<br>&nbsp;</h4><h3><br>&nbsp;</h3><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">In summary</h2></div><p><br>As we’ve said, all insurance companies follow their own rules. The Eleos model is designed to be asstraightforward as possible. You won’t get any unpleasant surprises or unexpected demands because transparency is our priority.<br>&nbsp;</p><h3><br><br>&nbsp;</h3><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">What’s the average pay-out time for income protection insurance in the UK?</h2></div><p><br>There are actually two questions to ask. How long will your payments continue and how long will you have to wait before you start getting paid? It’s a well-worn cliché but the short answer to both is another question: how long is the proverbial piece of string? Let’s look at how long the string might be.<br>&nbsp;</p><h4><br>&nbsp;</h4><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Benefit period – what does your policy say?</h2></div><h4><br>&nbsp;<br>When you buy your policy you’ll choose how long you want your payments to last. The most common periods in short-term polices are 1, 2 and 5 years. Long-term policies could keep paying while you’re unable to work all the way to retirement.<br>&nbsp;</h4><h3><br><br>&nbsp;</h3><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">In summary</h2></div><p><br>The important thing for you to remember is that for as long as you’re unable to work and your claim remains valid, you’ll be paid up to the maximum period fixed in your policy.<br>&nbsp;<br>&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">What are waiting periods?</h2></div><p><br><br>These are sometimes called deferred periods and they are a term in your policy that states how long you’ve agreed to wait between the date you make your claim and the date when you start receiving your monthly benefit payments. The most common waiting period is 4 weeks but depending on the policy they could be shorter or much longer – in some cases a whole year.<br><br>The longer the waiting period the lower your premiums will be. When you choose the waiting period you need to decide what other funds you can use to cover your costs before your benefit payments start. Typically there are two:<br>&nbsp;</p><h4><br>&nbsp;</h4><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Sick pay</h2></div><p>&nbsp;</p><p>If your employer gives you a decent sick pay package it makes sense to use this first. However, if you only get the statutory minimum of £109.40 a week, which is probably a lot less than you’re used to earning, you can claim on your policy to make up most of the difference.<br>&nbsp;</p><h4><br>&nbsp;</h4><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Savings</h2></div><h4>&nbsp;</h4><p>You might be happy to use your savings for a while, but this isn’t a great long-term solution so it may be better to use them only &nbsp;to see you through the waiting period.<br>&nbsp;</p><h3><br>&nbsp;</h3><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">In summary</h2></div><p><br>You’ll receive monthly payments for as long as you’re too ill to work, up to the limit of the payment period stated in your policy. They’ll start as soon as you reach the end of the waiting period which begins when you make your claim.<br><br>Claiming on your income protection insurance policy shouldn’t be an obstacle course. Our policies and claims process are designed to make your journey smooth and straightforward.<br><br>&nbsp;</p>

Claiming and Getting Paid

<p style="margin-left:0cm;">There’s no official list of self-employed people in the UK. But that doesn’t mean you can disappear under the radar. The government may not be concerned about what you call yourself but they do care about the tax you owe.</p><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">According to the Office for National Statistics, in 2023 there are 30 million employees paying their tax at source through the Pay as You Earn (PAYE) scheme. If you disappear from PAYE, His Majesty’s Revenue and Customs (HMRC) will want to know where you’ve gone. You’ll need to assess your own tax liability.</p><p style="margin-left:0cm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Self-Assessment</h2></div><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">This was introduced in 1995 and the UK's leading tax advisers Ernst and Young described it as&nbsp;“the biggest change there has ever been to the tax system of this country since the introduction of Income Tax in 1803".</p><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">Before then, the self-employed were taxed each year on the basis of the previous year’s profit with the Inland Revenue making the calculations and issuing demands. The new system promised to cut government costs (including 3,000 jobs) – which it did - and make life easier for everyone – which it didn’t. Originally, the initials ‘SA’ actually stood for ‘simplified assessing’ but the government realised this was pushing the limits of reality so the name was changed.</p><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">Some employees are on self-assessment, particularly those with complicated tax affairs or earnings outside the reach of PAYE. However, the vast majority of people required to self-assess are the self-employed.</p><p style="margin-left:0cm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Registering</h2></div><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">So, while you can’t register as ‘self-employed’ you’re legally obliged to register for self-assessment and Class 2 National Insurance.</p><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">You do this on the government website. Open an account to get a Government Gateway user ID and password. You’ll then get a Unique Taxpayer Reference (UTR) which identifies you in your dealings with HMRC.</p><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">Once you’re registered you’ll get a letter or email - to tell you when your self-assessment is due. These reminders usually go out very early, in April or May. Log into your account, fill in the online self-assessment form and submit it. You’ll get confirmation that HMRC have received it and your tax account will be updated to show what you owe. It’s your responsibility to pay the amount owing on time.</p><p style="margin-left:0cm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">When Do You Need to Submit Your Return?</h2></div><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">The tax year runs from 6<sup>th</sup> April to 5<sup>th</sup> April and the deadline for submitting your return is 31<sup>st</sup> January following the end of the tax year. For example, your return for 6<sup>th</sup> April 2022 to 5<sup>th</sup> April 2023 needs to reach HMRC by 31<sup>st</sup> January 2024.</p><p style="margin-left:0cm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">What Information Do You Need to Provide?</h2></div><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">When you register you’ll need to give HMRC:</p><p style="margin-left:0cm;">&nbsp;</p><ul><li>Your business name and description</li><li>Self-employment start date</li><li>Email address</li><li>National Insurance Number</li><li>Personal details</li></ul><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">When Should You Register?</h2></div><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">There’s a £1,000 threshold you have to exceed before you need to self-assess, which gives you a small breathing space to start your business before registering.</p><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">In any case, don’t panic about this. You don’t have to register as soon as you start working for yourself. You have until 5<sup>th</sup> October to register in the tax year when you went self-employed. As the tax year starts on 6<sup>th</sup>April that gives you six months.</p><p style="margin-left:0cm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">What Expenses Can You Deduct from Profits?</h2></div><p>&nbsp;</p><p style="margin-left:0cm;">You might be surprised how many things are classed as allowable expenses. They include:</p><ul><li>Office supplies like stationery and broadband</li><li>Office equipment like computers and software</li><li>Business premises like rent, maintenance and utilities</li><li>Transport and travel costs</li><li>Third-party professional services like accounting</li><li>Raw materials and stock</li><li>Marketing</li><li>Insurance</li><li>Essential special clothing</li><li>Membership of professional bodies and trade magazine subscriptions</li></ul><p style="margin-left:0cm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Running More Than One Business</h2></div><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">If you’re self-employed you can operate as many separate businesses as you like although the self-assessment form only has space for five. You don’t have to register each one individually, you simply have to be registered yourself. You then complete a different section for each business in your self-assessment return.</p><p style="margin-left:0cm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">A Word About Partnerships</h2></div><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">If you’re self-employed in partnership then you, one of your partners or a third-party agent must submit a partnership tax return showing the total taxable profits of the partnership and the share of those profits allocated to each partner. You then report your share in your own self-assessment return.</p><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">Submitting a partnership return is different from personal self-assessment because currently it’s not possible to do this directly on the HMRC website. Instead you’ll need to buy software which enables you to create and submit your return. The HMRC site carries a long list of commercial software providers.</p><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">&nbsp;</p>

Going Self-Employed: All About Tax

<p>Unless you’re one of the super-rich, with more money in the bank than you could ever spend, you’ll be reliant on a regular income to pay your bills and maintain your lifestyle. This makes your income one of your most important assets.<br><br>We routinely use insurance to protect assets like jewellery, artwork and even bicycles, but income is often left off the list. Since your income is so important, doesn’t it make sense to insure it?<br><br>Injury and illness can strike at any time, forcing you to stop working and possibly lose your income in an instant. The consequences can be disastrous. That’s why there’s a range of insurance policies available to protect you from those consequences.<br><br>In this article we’re going to look at the most common types of income insurance on the market and how they compare.</p><h3><br><br>&nbsp;</h3><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">What types of income protection insurance are available in the UK?</h2></div><p><br><br>There are five main types: short- and long-term income protection, group income protection, family income benefit insurance and combined accident, sickness and unemployment (ASU) insurance.<br>&nbsp;</p><h4><br>&nbsp;</h4><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Short-term Income Protection Insurance</h2></div><p><br><br>This can be a good, affordable option if you’re generally in good health and confident that any illness or injury you experience will be fairly short-lived.</p><ul><li>It covers you for a limited period, typically from one to five years. &nbsp;</li><li>It pays up to 70% of your regular pre-tax income, to reflect the difference between your gross and net income.</li><li>There’s a waiting period between the time you stop working and receiving your first payment.</li><li>The shortest waiting period is usually 4 weeks but with Eleos you can choose anything from 1 week to 13 weeks.<br><br>&nbsp;</li></ul><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Long-term Income Protection Insurance</h2></div><h4>&nbsp;</h4><p><br>Choose the long-term option if you believe your health and lifestyle might make you vulnerable to longer lasting conditions. Because of the open-ended cover it gives you it’s more expensive than short-term insurance.</p><ul><li>It covers you in the same way as short-term IP but could pay you up to retirement if you’re never able to go back to work.</li><li>A waiting period applies between claiming and receiving your first payment.</li><li>The length of the waiting period depends on the policy but can range from 4 to 52 weeks.</li></ul><p>&nbsp;</p><h4><br>&nbsp;</h4><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Group Income Protection Insurance</h2></div><h4>&nbsp;</h4><ul><li>Some employers offer this as a benefit to their employees.</li><li>Your employer pays your premiums.</li><li>If you need to claim, you’ll receive a percentage of your regular income until you’re able to start working again.</li></ul><p>&nbsp;</p><h4><br>&nbsp;</h4><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Family Income Benefit Insurance</h2></div><p><br><br>FIB pays a regular monthly income to you or your loved ones following a terminal illness diagnosis or in the event of your death during the policy term.</p><p><br>The cost of family income benefit will depend on several factors, including:</p><ul><li>The amount you want to receive</li><li>The length of the policy term</li><li>The age at which you take out the policy</li><li>Your health<br><br>&nbsp;</li></ul><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Accident, Sickness and Unemployment (ASU) Insurance</h2></div><h4><br>&nbsp;</h4><ul><li>This combines income protection and unemployment insurance in one policy.</li><li>The waiting and payment periods work in the same way as other policies.</li><li>You can buy short-term or long-term protection.<br>&nbsp;<br>&nbsp;</li></ul><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">In summary</h2></div><p><br>You can buy insurance for virtually all eventualities and while some of them are very specific and limited in what they cover, others give you much broader protection. Income protection insurance is one of the broadest and one of the most affordable.<br>&nbsp;</p><h3><br><br>&nbsp;</h3><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">What does income protection insurance cover?</h2></div><p><br><br>It guarantees you’ll receive a regular monthly benefit for as long as you’re unable to work because of injury or illness, either physical or mental, up to the end of the payment period agreed in your policy. These are the most important features:<br><br>You can make a claim whenever you’re forced to stop working by illness or injury.<br>&nbsp;</p><p>You can make additional claims for any conditions connected to the one that stopped you from working.<br>&nbsp;</p><p>There are usually no limits to the number of new claims you can make over the term of the policy.<br>&nbsp;</p><p>Many policies also offer help to recover from your illness or injury so you can get back to work.<br>Insurers often include extra benefits as part of the package, such as payments to your family in the event of your death.<br>&nbsp;</p><h3><br>&nbsp;</h3><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">In summary</h2></div><p><br>The best income protection packages give you the flexibility to make multiple and separate claims throughout the term of the policy as well as valuable extras to make recovery faster and life easier.<br>&nbsp;</p><h3><br><br>&nbsp;</h3><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">What doesn't income protection insurance cover?</h2></div><p><br><br>Insurers have to strike a balance between keeping premiums low and offering cover to as many people as possible. Some applicants suffer from serious health conditions, work in hazardous jobs or take part in dangerous pastimes. This makes it expensive to cover them and insurance companies have to decide where to draw the line. That’s why you’ll find exclusions in any policy, which vary from company to company.</p><ul><li>It doesn’t cover you if you’re dismissed from your job or made redundant.</li><li>You may not be covered for some pre-existing health conditions, so you should check your policy for these exclusions.</li><li>Some types of illness or injury may not allow you to claim if they’re caused by risky activities listed in the policy document.</li></ul><p><br><br>You won’t be covered if you don’t</p><ul><li>keep up your premium payments</li><li>disclose any pre-existing conditions you were asked about when you applied</li><li>tell the insurer about any major changes in your health<br>&nbsp;</li></ul><h3><br>&nbsp;</h3><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">In summary</h2></div><p><br>Make sure the policy you choose fits all your circumstances and always be honest when you’re answering questions in your application. If you give inaccurate or incomplete answers it may lead to your claims being declined.<br>&nbsp;</p><h3><br>&nbsp;</h3><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">How long does income protection insurance keep paying?</h2></div><p><br>It depends on the precise terms of your policy and whether your circumstances change while you’re receiving payments.</p><p><br>You’ll get regular monthly payments for as long as you’re off work, up to the time limit in the policy.<br>This time limit could be one year or as long as five years - your policy document will make this clear.&nbsp;</p><p>Eleos offers one or two year benefit terms. You can usually choose the time limit when you buy.</p><p><br>Your payments will stop</p><ul><li>when you’re able to return to your usual job; or</li><li>when the payment period stated in your policy ends; or</li><li>when the policy itself ends (which could be your 70th birthday)<br><br>Whatever your circumstances and your plans, there’s an insurance policy for you. &nbsp;<br><br>&nbsp;</li></ul>

Income Protection Options

<p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Talk to anyone about income protection insurance and the conversation is likely to be awash with misunderstandings and inaccuracies. People trade anecdotes about their bad experiences or something someone once told them. In a way this isn’t surprising – the general&nbsp; insurance industry has a reputation that’s more ‘Shady Scammer’ than ‘White Knight’.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Why the bad rep?</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">We don’t think insurance deserves the bad press it receives and income protection in particular is often misunderstood. A lack of knowledge has combined with unfounded suspicion to create serious resistance. And yet, as we never tire of repeating, Which? magazine called income protection insurance “the one protection product every working UK adult should consider buying”.</span></p><p>&nbsp;</p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Why? Because it protects one of your most important assets: your income.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">And yet, scepticism about the value of income protection insurance persists, with familiar myths being frequently repeated. So let’s look at the most common misconceptions surrounding income protection insurance and find out the truth.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Myth No 1. Income protection is a waste of money</h2></div><h3>&nbsp;</h3><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">We take insurance for granted when it comes to the most valuable things we own but we forget that without our income we can’t even pay the bills, let alone buy luxury items. The sudden loss of your income can have devastating consequences in every corner of your life. With Income Protection,&nbsp; you’re not only improving your future financial security, you’re gaining / getting peace of mind.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Myth No 2. I have sick pay, and it’s all I need</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">A lot of people assume that their employers or the government will look after them if they can’t work but they haven’t read the small print. Statutory sick pay is £109.40 a week and lasts for just 28 weeks. That’s just £3,063 and you even have to pay tax and national insurance on it. What’s more, no employer is obliged to pay more than this.</span></p><p>&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Myth No 3. I don’t need income protection because I have critical illness insurance</h2></div><p>&nbsp;</p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Income protection sounds similar to critical illness insurance but they operate very differently. Critical illness is limited to situations in which you’re diagnosed with a life-threatening condition. Income protection covers you for any illness or injury that prevents you from working, so it has a much wider application.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Myth No 4. Income protection is expensive</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Everyone has their own idea of what ‘expensive’ means, but compared to many other demands on your money, IP is not high on the list. A policy that will replace your income until you can go back to work could cost as little every month as a couple of streaming subscriptions.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Myth No. 5 I’ll never need it</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">2.5 million people every year* have to stop working because of illness or injury and they fall into every age category. They probably didn’t think they’d have needed it either, and since only about 6% of adults have income protection insurance**, that belief is extremely widespread. The point is, you don’t need it until something completely unexpected happens. When it does, it’s too late. All insurance is about protecting yourself from unforeseen events and income protection is no different.</span></p><p>&nbsp;</p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">*ons.gov.uk</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">**thisismoney.co.uk</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Myth No 6. Income protection policies don’t pay out</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">One of the most common misconceptions about insurance companies is that they’re happy to take your money and they’ll do all they can to avoid paying you when you make a claim. Income protection is part of an industry that’s regulated by the Financial Conduct Authority and the Prudential Regulation Authority. The aim of these bodies is to protect consumers from harm that results from bad conduct. Their priority is to ensure the best outcomes for the customers of insurance companies. You can judge their success from the statistics.&nbsp; In 2021 the average rate of pay-outs from the biggest insurance providers was 91%, and Shepherds Friendly, the underwriters for Eleos, paid out at 95%.</span></p><p>&nbsp;</p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">As for the other 5%, the main reason for claims to be declined is customers failing to disclose vital information when they applied for cover, such as pre-existing medical conditions.&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Myth No 7. I’ve got Payment Protection Insurance (PPI) so why do I need Income Protection (IP)?</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">PPI is useful but it’s different to IP. A PPI policy insures specific repayments on loans, credit cards and other debt and is paid to the creditor in instalments, replacing your regular payments. Income protection pays your chosen benefit into your bank every month as cash when you can’t work, replacing your lost income so you can keep up with your outgoings.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Myth No 8. I can’t get IP if I’m self-employed</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Wrong. In the UK there are about 4.5 million self-employed people out of a workforce of 33 million.. 37% of the customers of our underwriter, Shepherds Friendly, are self-employed.&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Myth No 9. I’ve got a medical condition so no one will insure my income</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Insurance is based on the assessment of risk. That doesn’t mean that an existing health problem will disqualify you from buying a policy. When you apply, you’ll be asked whether you suffer any existing health conditions and the insurer will carry out what’s known as medical underwriting to come up with a policy and premium that reflects your circumstances.&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Myth No 10. Applying and claiming is too complicated</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">his may have been true in the past. Now that policies can be bought and claims made online, the process has become simpler and faster. At Eleos we’ve made the online experience our priority. You don’t even have to talk to anyone, unless you want to. It only takes minutes to apply and buy, from your mobile, tablet or laptop. Claiming is just as easy.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">In summary</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Income protection is frequently characterised as pointless, expensive and complicated. It’s easy to believe this if you hear only the myths and not the reality. The decision on whether you need income protection is entirely up to you. All we’d ask is that you make an informed decision based on facts and figures rather than misrepresentations.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Eleos is making income protection accessible and affordable for everyone.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Browse our other stories to find out more.</span></p>

IP Myths and Misconceptions

<p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">There are many factors involved in calculating each person’s premiums. What we’ll do here is talk you through all that we will take into account to arrive at a quote that’s personal to you and what you can do to get a policy to fit your budget.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">How do you pay for income protection and what will it cost?</h2></div><h3>&nbsp;</h3><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">You pay for your Income Protection insurance policy with monthly premiums. In order to work these out an insurer will need to ask you some questions about:</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">• Your age</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">• Your income</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">• Your occupation</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">• Your health</span></p><p>&nbsp;</p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Other factors include</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">• the benefit amount you’re looking for</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">• the length of a single claim</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">• the waiting period</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">We’ll then tell you what you can get and how much it will cost you. You can adjust these premiums according to how much you’ll need to be paid, how long you want your payments to last and what you want to pay.&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">In simple terms, the cost of income protection insurance depends on your budget. Cover will take into account:</span></p><p>&nbsp;</p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">• Your age;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">• Your occupation;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">• Your income;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">• Your health;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">• Any other matters they consider relevant.</span></p><p>&nbsp;</p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">All you have to do is answer their questions fully and accurately - they’ll do the rest.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">What cover do you want?</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">The best way to figure this out is to decide exactly what you want from your policy.Are you looking for:&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">• as much as possible?</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">• enough to pay all your outgoings?</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">• just enough to cover your essentials?</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">• essential expenses only, covered for the shorter term</span></p><p>&nbsp;</p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">You can have up to a maximum of 70% of your pre-tax earnings. Use this calculator for an instant breakdown of your salary and deductions.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">What premium can you afford?</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">If you want the maximum cover you need to pay the highest premium.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">If you’re OK with a lower monthly pay-out you can pay a lower premium.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Insurance protection pay-outs are often more generous than statutory sick pay and can last longer than most employee sick pay schemes.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">How can you keep your premiums down?</h2></div><h3>&nbsp;</h3><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Level of cover</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">The lower the monthly benefit you insure yourself for, the lower the cost will be.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Waiting period</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">IP policies ask you to choose a waiting period, which is&nbsp;</span><span style="background-color:rgb(255,255,255);color:rgb(29,28,29);font-family:Arial, sans-serif;">how quickly you need the money to be paid to you after an accident or sickness hits</span><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">.&nbsp;</span><span style="background-color:rgb(255,255,255);color:rgb(29,28,29);font-family:Arial, sans-serif;">Some people want the money as soon as possible - Others prefer to delay the payout and support themselves for the initial duration. A quicker payout is more expensive, whereas a delayed payout will cost you less.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Claims period</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">You can choose how long the payments under a single claim will continue – either 1 or 2 years.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">This choice might not impact the cost as much as when choosing your benefit amount, but it is still the case that the two year payout will cost more than the one year option.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Alternatives</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">While longer term claim options exist, Eleos is focused on the fact that in the UK only 16% of employees and 6% of the self-employed have income protection insurance. It’s our mission to extend this as widely as possible.&nbsp;</span></p><p>&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">In summary</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Now you know more about the costings of income protection insurance and what you can do to keep the price down.&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">The Eleos smart quote tool gives you an instant picture of how all these factors fit together.</span></p>

The Cost of Income Protection

<p style="margin-left:0cm;">Despite advances in digital security, fake insurance claims still occur. As recently as 2020 107,000 were uncovered in the UK, totalling a staggering £1.2 billion. That’s like finding 300 a day or one every five minutes. How many more go undiscovered we’ll never know.</p><p style="margin-left:0cm;">But let’s face it, some of the stories are fantastically entertaining – daring, imaginative, bizarre and ultimately thwarted. Here are some of our favourites.</p><p style="margin-left:0cm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">The Death and Resurrection of John Darwin</h2></div><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">In 2002 Darwin faked his drowning at sea and his wife claimed the £679,000 policy on his life. With the mortgage paid off, Anne was able to join John and start a new life in Panama. But by 2007 John felt so homesick for Hartlepool that he went back to England and presented himself at a police station claiming amnesia. His story unravelled quickly. In 2008 he and Anne were convicted of insurance fraud and sentenced to six years in prison.</p><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">The story proved so fascinating that in 2022 a dramatisation was broadcast on ITV.</p><p style="margin-left:0cm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">The New York Jewellery Bundle</h2></div><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">Although they were already in a lucrative business, jewellery shop owners Atul Shah and Mahaveer Kankariva wanted more. In 2008 they paid two men to dress up as Hasidic jews and fake a robbery. All went to plan. The owners destroyed their CCTV footage with cleaning fluid and filed a claim for $7 million with Lloyds of London.</p><p style="margin-left:0cm;">However, the cleaning fluid hadn’t done as thorough a job as they thought, and detectives salvaged enough to watch them emptying their own safe two hours before the break-in.</p><p style="margin-left:0cm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Fires, Floods and Acts of God</h2></div><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">If you’re going to do it, do it big. That seems to have been the philosophy of Patrick Wayne Bronnon, the Texas man who perpetrated a string of fraudulent claims worth $1.7 million. He bought cheap, ramshackle houses, insured them and their imaginary contents for huge sums of money then, with the help of his 40-strong gang of heavies, staged fires, floods and other disasters that destroyed the properties. He threw in a few burglary claims as well.</p><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">It was only a matter of time before he was discovered and in 2019 he was convicted and sentenced to 78 years in prison. He served only one year because he died in July 2020.</p><p style="margin-left:0cm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Slip-and-fall</h2></div><h3 style="margin-left:0cm;">&nbsp;</h3><p style="margin-left:0cm;">That’s the industry name for claims made by people who stage accidents, literally by slipping and falling over on someone else’s property then claiming on the owner’s insurance. 72-year old Isabel Parker spent all her money in casinos so decided to gamble on her fraud skills. Between 1993 and 2000 she slipped, fell and claimed from supermarkets and department stores 49 times. She used 47 fake IDs and 11 addresses.</p><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">It netted her $500,000 but it also earned her a four-year prison sentence.</p><p style="margin-left:0cm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">The Man Who Never was</h2></div><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">Some insurance frauds are spur-of-the-moment crimes. For Jean Crump, Faye Shilling, Barbara Lynn and Lydia Pearce of California it was spectacularly premeditated. They invented a man called Jim Davis, insured his life for $1.2 million then ‘killed’ him off and buried him. Actors attended the funeral, a showroom dummy standing in for the imaginary Jim and parts of a cow added for weight. When they realised the FBI might be onto them they had the body exhumed and cremated.&nbsp;</p><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">Unfortunately for them they were not as careful with their paperwork and they ended up in jail.</p><p style="margin-left:0cm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">A Helping Hand</h2></div><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">Some frauds are not for the squeamish. In South Carolina in 2008, Gerald Hardin devised an ingenious scheme to claim $670,000 in a dismemberment claim. Rather than harming himself, he convinced Micheal Weaver, a friend with learning disabilities, to make the sacrifice. Having chopped off Weaver’s hand, Hardin claimed under six different policies.</p><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">Hardin served five years in prison.</p><p style="margin-left:0cm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Food Fraud</h2></div><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">Jacqueline Masse of New Hampshire faked food poisoning on a dozen occasions, claiming $400,000 and receiving $206,000. She also enlisted family members in her scam. Her targets were restaurant owners who accepted her claims in good faith. However, the pretence started to crumble when she went as far as fabricating medical records to support her lies. She went to prison for 18 months.</p><p style="margin-left:0cm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">The Great Depression</h2></div><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">Richard Moore, a hotel owner in Manchester, successfully claimed £35,000 under his income protection policy when he told his insurers he was suffering depression and anxiety which prevented him from working.</p><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">What he neglected to disclose is that he was still holding down several jobs. His deception came to light after four years when insurance investigators stumbled across a newspaper article in which he was photographed accepting an award for his management of the Victoria Hotel in Bury. His conviction for fraud followed.</p><p style="margin-left:0cm;">&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">...And the Famous Fraud That Never Happened</h2></div><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">Rumours of fraud hang around lots of major events. Few disasters in modern history have attracted as much speculation and discussion as the sinking of the Titanic. One of the many myths – long since discredited – about this tragedy was the suggestion that it was not in fact the Titanic that sank but its sister ship the Olympic. The insurance pay-out on the famously ‘unsinkable’ ship – so the theory went – would be much greater than for the Olympic. The ships’ owners, the White Star Line, may have been culpable for many things but insurance fraud was not one of them.</p><p style="margin-left:0cm;">&nbsp;</p><p style="margin-left:0cm;">&nbsp;</p>

10 Insurance Frauds Worthy of a Netflix Drama

<p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">It’s impossible to guard against all of life’s uncertainties. Some of the most disruptive ones are unexpected illness and injury, which can have disastrous consequences for our finances.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Here are three statistics to show what we mean:</span></p><ul><li><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Over 2.5 million people in the UK every year are forced to stop working because of illness or injury (ONS).</span></li><li><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">35% of people will be off work for at least 2 months because of poor health at some point in their working lives (ONS).</span></li><li><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">The average household could survive for just 24 days if it lost its income (Legal &amp; General).</span></li></ul><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">So, if you’re suddenly unable to earn, what are your options?</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">1. Savings</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Building up an emergency fund to cushion you against the loss of your income needs discipline and could take a long time.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">2. Personal loans</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">These provide immediate help but you’ll have to repay what you borrow with interest&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">3. Borrowing from family and friends</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">This might give you more flexibility and breathing space but it’s far from ideal to rely on the help of people close to you and may not be sustainable in the long term.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">4. Income protection insurance</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">An alternative source of regular income when you’re unable to work.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Let’s examine income protection insurance – how it works, and what to consider when buying a policy.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">What is Income Protection Insurance?</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Income protection insurance is a financial safety net that gives you a regular income if you become too ill or badly injured to work.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">You buy a policy that will meet your financial needs.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">If you’re forced to stop working you make a claim under your policy.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">If you can’t work&nbsp; you’ll get regular monthly payments to replace your earnings.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">You’ll carry on receiving payments until you’re able to go back to work or you reach the end of your benefit term</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">In summary</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;Income protection insurance helps towards keeping you financially stable when illness or injury makes it impossible to work and earn. It allows you to concentrate on recovering and getting back to work, helps you cope with your outgoings and provides peace of mind.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">How does income protection insurance work?</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;Income protection insurance pays you a regular monthly benefit when you’re not fit to work. The benefit you receive is a percentage of your gross income, worked out according to how much you need and what cover you can afford.</span></p><p>&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Choose your cover</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Decide what you need - your benefit amount - and when you’ll need it - your waiting period.&nbsp;</span></p><p>&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Benefit amount</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">When deciding how much they need each month, some people choose to go as high as possible but this increases the premiums. Others think about how their lifestyle would change if they weren’t working and concentrate on paying for essentials. A good way to start thinking about what you need is to work out the bare minimum you’d need each month.</span></p><p>&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Waiting period</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">You might need your payments to start as soon as possible or you might be able to support yourself for the first month or two. The longer the waiting period the lower your premiums, so ask yourself how long you could support yourself financially without a steady income.</span></p><p>&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Apply</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">When you’re ready to apply you’ll be asked to answer some questions about your health and lifestyle. Once you’ve finished this eligibility check and been accepted you’re ready to buy.&nbsp;&nbsp;</span></p><p>&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Buy your policy:</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">You pay for your policy with monthly premiums by direct debit from your bank account. The size of your premium depends mostly on the benefit amount and benefit duration you’ve chosen but there are other factors that will affect it.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Making a claim</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">If you fall ill or get injured and have to stop working, contact your insurer to make a claim.</span></p><ul><li><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Fill in the form online or call 0808 196 1113. Send your claim form as soon as possible before you need your first payment.</span></li><li><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Submit the additional information we need (see below).</span></li><li><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">A claims handler will assess your claim and start making your payments. If they need more information, they’ll let you know straight away.</span></li></ul><p>&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">What we need to know</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Our claim form asks you for your basic information, how you can be contacted, your job description and duties and also details of the illness or injury.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">In addition to this, make sure you have a copy of your passport or driving licence, a self-signed medical certificate for the first 7 days that you’re off work (we need certificates signed by your doctor after that) and evidence of your employment and income.</span></p><p>&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">How your claim is processed</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Your insurer will assess your claim according to the terms and conditions in your policy.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Getting paid</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Once your claim is approved and the waiting period is over you’ll start getting regular monthly benefit payments to replace your lost earnings.</span></p><p>&nbsp;</p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Any sick pay you’re still getting from your employer at the time you claim will affect the level of benefit you receive under your policy. If you’re off sick on full pay there’s no immediate loss of income so there’s nothing for your insurance to replace. If your sick pay covers only part of your income your policy will make up the difference. When your sick pay stops you’ll qualify for the full amount of your insured benefit.</span></p><p>&nbsp;</p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">If you have income protection with another insurer you could still claim against both policies, but we’ll liaise with them to make sure we don’t end up contributing beyond the limit of what you’re entitled to - 70% of your gross salary</span></p><p>&nbsp;</p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">How long you’ll carry on being paid</h2></div><h3>&nbsp;</h3><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">You’ll keep receiving the monthly payments until you can go back to work or you reach the end of your benefit term (the maximum period stated in your policy) or your policy ends.&nbsp;</span></p><p>&nbsp;</p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">In summary</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span><span style="background-color:transparent;color:rgb(68,71,70);font-family:Roboto, sans-serif;">Once you've decided on a policy that meets your needs, complete an application and, once you’ve been accepted, choose a start date.</span><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">. If you have to stop working you simply make a claim and start receiving payments to maintain your income while you focus on getting fit for work again.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Why is income protection insurance important</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:rgb(255,255,255);color:rgb(68,71,70);font-family:Roboto, sans-serif;">It could be important to consider how you would get by without your income</span><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">, whether you’re an employee or self-employed.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Which? Magazine calls it ‘the one protection product every working UK adult should consider buying.’</span></p><ul><li><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">If you’re not well enough to work, your employer is only obliged to pay you the minimum statutory sick pay, which is currently £109.40 a week for up to 28 weeks.</span></li><li><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Average take home pay, after tax and NI, is £640 per week according to the Office for National Statistics</span></li><li><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Basic sick pay is just 17% of the average salary.</span></li></ul><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Could you afford to live on that?</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">In summary</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span><span style="background-color:transparent;color:rgb(68,71,70);font-family:Roboto, sans-serif;">When compared to average household outgoings, the help you get from statutory sick pay is limited and not everybody benefits from having contractual sick pay</span><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span><span style="background-color:transparent;color:rgb(68,71,70);font-family:Roboto, sans-serif;">An income protection policy can be tailored to your exact requirements so you can still cover your outgoings even while you can't earn</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">How much does Income Protection insurance cost?</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;The cost of income protection insurance depends on your needs, choices and circumstances. Here are some of the factors that will affect the cost:</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Benefit amount</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">The level of income you wish to receive during the policy term affects the premium. The higher the benefit amount the higher the premium.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Age</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Younger people typically pay lower premiums than older people. Age can influence your risk profile and the likelihood that you’ll need to make a claim.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Benefit duration:</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">The length of time you want to receive benefit payments also influences the cost. A longer benefit duration may lead to higher premiums.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">Waiting period:</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">The waiting period is the length of time you need to wait after making a claim before you receive benefit payments. If you choose a longer waiting period you can lower the premium.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><div class="raw-html-embed"><h2 class="font-size-7 text-darker font-weight-bold">In summary</h2></div><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;If this sounds overwhelming don’t be discouraged. At Eleos we’re making it easy for you to understand the costs and to customise a policy that fits your circumstances. All we need is some basic information, like your occupation, date of birth and income, then we’ll come up with a range of options designed just for you. Simply pick the one that suits you best.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Try our instant quote tool and see for yourself.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Our next article compares income protection insurance to other common forms of income protection.</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">&nbsp;</span></p><p><span style="background-color:transparent;color:rgb(0,0,0);font-family:Arial, sans-serif;">Here are some useful places to find out more about income protection insurance:</span></p><p><a href="https://www.citizensadvice.org.uk/consumer/insurance/insurance/income-protection-insurance/">Income protection insurance</a></p><p><a href="https://www.moneyhelper.org.uk/en/everyday-money/insurance/what-is-income-protection-insurance">What is income protection insurance? | MoneyHelper</a></p><p>&nbsp;&nbsp;</p><p>&nbsp;</p>