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Income Protection Insurance in Wrexham
Safeguard Your Income, Protect Your Peace of Mind
At Chesterton Grant Mortgages, we understand how unpredictable life can be. That’s why we offer tailored Income Protection Insurance, providing a reliable financial safety net for Wrexham residents. Whether you're employed, self-employed, or a business owner, this coverage ensures you and your loved ones can maintain financial stability if illness or injury prevents you from working.
What Is Income Protection Insurance?
Income Protection Insurance pays out a regular tax-free income if you’re unable to work due to illness, injury, or disability. Unlike other types of insurance, it ensures consistent financial support until you recover, or for a specified period, depending on your policy.
Why Choose Income Protection Insurance in Wrexham with Chesterton Grant?
Wrexham is home to diverse industries like healthcare, manufacturing, and retail, where workers may lack comprehensive employer benefits. Chesterton Grant Mortgages brings local expertise to help you secure a policy that suits your specific needs, providing peace of mind for you and your family.
Key Benefits of Choosing Chesterton Grant:
- Tailored advice for Wrexham residents.
- Access to flexible, competitive policies.
- Personalised service from experienced advisers.
- A focus on trust and transparency in all recommendations.
How Does Income Protection Work?
- Coverage: Typically replaces up to 60-70% of your gross income.
- Waiting Period: Payments begin after a pre-agreed waiting period (commonly 4, 13, or 26 weeks).
- Duration: Income is paid until you recover, retire, or reach the policy’s time limit.
- Tax-Free: Benefits are tax-free for individual policyholders.
Other Financial Protection Services in Wrexham
At Chesterton Grant, we believe in providing holistic financial protection. Our offerings include:
- Critical Illness Cover:
A lump sum payout if you’re diagnosed with a specified critical illness such as cancer, heart attack, or stroke. This can cover medical bills, living costs, or necessary adjustments to your home. - Life Insurance:
Financial security for your loved ones in the event of your death. Choose between term insurance (for a fixed period) or whole-of-life cover for lifetime peace of mind.
Why Combine Policies?
By combining Income Protection, Critical Illness Cover, and Life Insurance, you can create a comprehensive safety net for all stages of life. Our team can guide you through customising these policies to fit your specific needs.
Government Data on Income Protection in the UK
- According to the Association of British Insurers (ABI), only 1 in 10 UK employees has Income Protection Insurance, despite its critical role in financial planning.
- The average UK Statutory Sick Pay (SSP) is £109.40 per week, which is often insufficient for most households (Gov.uk).
These figures highlight the importance of securing robust private coverage, especially in regions like Wrexham with varying employment types.
| Feature | Statutory Sick Pay (SSP) | Income Protection |
|---|---|---|
| Amount | £109.40 per week (Gov.uk) | Up to 70% of gross income |
| Duration | Up to 28 weeks | Until recovery or policy end date |
| Flexibility of Use | Limited | Full freedom over expenditure |
| Tax Implications | Taxable | Tax-free |
Life Protection - Life Insurance Advisor Wrexham
The most well-known type of insurance. This will pay out either a lump sum or a regular income should you pass away, to provide financial support to your dependants. The cheapest form of cover is known as a ‘term assurance’ policy. You choose how long you want cover to last for, which could be until your children are no longer financially dependent on you, or you could align it with your mortgage term to ensure your mortgage is paid off.
The other main type is known as ‘whole of life’. This policy has no specified end date - it simply provides cover until you pass away so is useful to cover funeral costs for example. Your adviser will be able to help you choose the most suitable option for you and your family.
Income Protection Frequently Asked Questions (FAQs)
1. What illnesses or injuries are covered by Income Protection Insurance?
Income Protection covers a wide range of conditions, including both physical and mental health issues, as long as they prevent you from working. Common examples include:
• Long-term illnesses like cancer or heart disease.
• Serious injuries resulting from accidents.
• Mental health conditions such as anxiety or depression (subject to policy terms).
It’s important to note that pre-existing conditions or exclusions in your policy may apply. Our advisers at Chesterton Grant will help you navigate these specifics.
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2. How much does Income Protection Insurance cost?
The cost depends on several factors, including:
• Age and Health: Younger, healthier individuals typically pay lower premiums.
• Occupation: Jobs with higher risk (e.g., manual labour) may have higher premiums.
• Policy Features: Shorter waiting periods or longer benefit durations increase premiums.
Example: A 35-year-old office worker in Wrexham earning £30,000 annually might pay approximately £20-£30 per month for basic cover.
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3. How is Income Protection different from Critical Illness Cover?
While both are designed to protect you during illness, they work differently:
• Income Protection provides ongoing payments to replace lost income.
• Critical Illness Cover pays a one-off lump sum upon diagnosis of a specified illness.
Combining both can ensure comprehensive protection.
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4. What happens if I return to work part-time?
Some policies offer a proportional benefit, reducing payments if you return to work on reduced hours or a lower income. This flexibility helps ease the transition back to full employment.
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5. Is Income Protection worth it for self-employed individuals?
Absolutely. Self-employed workers in Wrexham, who lack sick pay or employer benefits, benefit greatly from Income Protection. It ensures a steady income stream during recovery, protecting both personal and business finances.
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6. Can I get Income Protection if I have a pre-existing condition?
Yes, but your policy may exclude the specific condition, or premiums could be higher. Our team at Chesterton Grant can help you find the most suitable options.
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Disclaimer:
The information provided on this page is for general guidance only. Actual policy terms, conditions, and costs will depend on your individual circumstances. For personalised advice, please
contact us.