Massive Increase in Income Protection Insurance Premiums – be quick to secure one of few good deals
Added: (Wed Feb 18 2009)
Pressbox (Press Release) -
Insurance Underwriters are getting worried. The drip feed of ever worsening financial news has exposed the Government’s previously optimistic forecasts to be little more than political spin. Not such a problem for the insurers of houses and cars, but bad news if they offer policies for loss of income due to unemployment. Some people like to call this type of insurance ‘redundancy cover’ or ‘unemployment insurance’, the name the insurance industry like to use is Income Protection. No matter what it is called, it has become progressively more expensive. Those Underwriters are about to hike their rates again with due regard to the expectation that unemployment will rise to over 3 million this year.
However, there are exceptions. Some providers of Income Protection Insurance have yet to put up their prices, indeed one of the most competitively priced, iprotectinsurance.co.uk, have not increased their rates since 2007. How much longer can they afford to do it? Their sales reached record levels at Christmas and continue to rocket. Indeed, iprotectinsurance received so much business they found it necessary to withdraw from Moneysupermarket. They will not go back on until their Underwriters new rates go live on 2 March ‘09. Despite this, their existing ultra competitively priced products are still available on-line via their website. Anyone looking for Income Protection Insurance should move quickly to secure their cover before these rates go up.
For families concerned about job security, with premiums rising, now is the time to consider Income Protection Insurance. Of course, those households with readily accessible savings, usually said to be equivalent to 6 months net salary, have less to worry about. Regrettably, relatively few are in this envious position. The i:protectinsurance Income Protection cover is typical and replaces up to 65% of gross pay of someone who cannot work due to Accident, Sickness or Unemployment. This type of policy will pay out for up to a year for each valid claim. It is subject to a maximum benefit of £1850 per month, which is sufficient to pay the important bills.
The Marketing Manager for iprotectinsurance, Dennis Haggerty commented. ”The most popular benefit level chosen by our customers is £1000 per month with premiums ranging from between £12 and £36 per month for people with ages ranging from 18 to 55. This gives someone up to £12,000 of cover over a year. Depending upon the excess they choose, our average 35 year old customer pays between £18 to £26 per month for this level of cover.” Will it ever be this cheap again? Probably not.
Clearly, in the current economic climate, there has never been a greater need for people to think about this insurance. Acting quickly and not just thinking about it, could save them a lot of money.