Income protection insurance pays a regular income — typically 50–70% of your gross salary — if you are unable to work due to illness or injury. Unlike critical illness cover, which pays a one-off lump sum, income protection provides ongoing monthly payments until you recover, retire, or the policy ends.
The state safety net is thin: Statutory Sick Pay in 2026/27 is just £116.75 per week for a maximum of 28 weeks. After that, you may be entitled to Employment and Support Allowance — but this is means-tested and considerably less than most working incomes.
What Makes a Good Income Protection Policy?
| Feature | What to look for |
|---|---|
| Definition of incapacity | “Own occupation” — can you do YOUR job? This is the gold standard. “Suited occupation” and “any occupation” are weaker and harder to claim on |
| Benefit period | To age 65 or state pension age is best; 1–2 year limited term is cheaper but leaves you exposed in long-term illness |
| Waiting/deferred period | Match to your sick pay and savings; 13 weeks is most common |
| Coverage amount | 50–70% of gross income; HMRC limits to prevent you being better off not working |
| Guaranteed vs reviewable premiums | Guaranteed premiums stay fixed; reviewable premiums can rise at renewal — guaranteed is safer for long-term cover |
| Indexation | Does the benefit increase with inflation? Important for long-term policies |
| Own occupation definition | Confirmed in writing in the policy document, not just the brochure |
Provider Comparison — Key Attributes
| Provider | Definition offered | Benefit period options | Self-employed | Guaranteed premiums | Notable strength |
|---|---|---|---|---|---|
| Aviva | Own occupation (professional/office) | To age 65/70 | Yes | Yes | Strong claims record; large insurer |
| LV= (Liverpool Victoria) | Own occupation | To age 65/70/75 | Yes | Yes | High customer satisfaction; clear terms |
| Royal London | Own occupation | To age 65/70 | Yes | Yes | Mutual insurer; member benefits |
| Zurich | Own occupation | To age 65/68/70 | Yes | Yes | Good rehabilitation support |
| British Friendly | Own occupation | 1–2 year or to age 65 | Yes (specialist) | Yes | Best for self-employed and variable income |
| Holloway Friendly | Own occupation | To age 65/67 | Yes (specialist) | Yes | Friendly society structure; profit share feature |
| Legal & General | Own occupation | To age 65/70 | Yes | Yes | Competitive premiums; large provider |
| Vitality | Own occupation | To age 65/70 | Yes | Reviewable | Premium discounts for healthy behaviours |
What “Own Occupation” Means — and Why It Matters
The definition of incapacity is the single most important term in any income protection policy.
Own occupation: You can claim if you cannot perform the specific duties of your own job — even if you could theoretically do some other type of work. A surgeon who loses the use of their hand can claim even if they could theoretically work as a medical consultant.
Suited occupation: You can only claim if you cannot do any job that you are reasonably suited to by education and experience. A surgeon with an injured hand who could work as a consultant may not be able to claim.
Any occupation: You can only claim if you cannot do any work at all. This is the hardest definition to claim on and is typically found in cheap or group policies.
Always ensure your policy uses “own occupation” — ideally throughout the entire claim period, not just the first 1–2 years.
Indicative Monthly Premiums — 2026
Profile: 35-year-old, non-smoker, desk-based job, £35,000 salary, 13-week waiting period, to age 65, covering 60% of salary (£21,000/year benefit)
| Provider | Approximate monthly premium | Definition | Guaranteed premiums |
|---|---|---|---|
| Aviva | £25–£35 | Own occupation | Yes |
| LV= | £27–£38 | Own occupation | Yes |
| Royal London | £26–£36 | Own occupation | Yes |
| Legal & General | £23–£32 | Own occupation | Yes |
| Vitality | £20–£30 (with health rewards) | Own occupation | Reviewable |
Premiums are approximate and vary significantly by health, occupation, smoker status, and specific policy terms. Get a personalised quote before comparing.
Factors That Affect Your Premium
- Age — premiums rise significantly with age; buy younger to lock in lower rates on guaranteed premiums
- Smoking status — smokers pay 25–50% more
- Occupation class — manual workers pay more than office workers; the higher the injury/illness risk, the higher the premium
- Waiting period — a 52-week deferred period can cost 40–50% less than a 4-week period
- Benefit period — limited (1–2 year) payout periods cost significantly less than to-age-65 cover
- Pre-existing conditions — may be excluded from cover or increase premiums
How Much Cover Do You Need?
A typical rule of thumb: cover 50–60% of your gross income. This is slightly less than your net take-home pay after tax and National Insurance, but combined with not needing to commute or pay work-related costs, it should cover essential outgoings.
Do not over-insure: HMRC and most insurers limit income protection to 50–70% of pre-disability income to ensure a return-to-work incentive.
Check what you already have:
- Does your employer provide group income protection? Check your employee benefits
- Do you have critical illness cover already? (Different product — pays a lump sum, not a monthly income)
- How long does your employer sick pay last?
For a full explanation of how income protection works, see our income protection guide. To compare it with critical illness cover, see income protection vs critical illness cover.