CIExperts Critical Thinking Report (1) has recently published that only 22% of people who were surveyed know how long their sick pay lasts. This is the first question we ask in a conversation about Income Protection (IP). And when the conversation starts with an unknown over whether they have sick pay or, if eligible, can get £123.25 a week Statutory Sick Pay (SSP) or 80% of their normal weekly earnings - whichever is lower (paid for up to 28 weeks - 2), it often then becomes the case that clients have a general misunderstanding about how IP can be an invaluable financial lifeline in the event of them becoming ill or injured and unable to work. As advisers, it is our job to narrow the advice gap: the hole that is left when a person comes for mortgage/protection advice and are not suitably advised on how Income Protection will replace their income when their sick pay stops and provide longer term financial stability against the unforeseen events of life. 

Unsurprisingly, 43% of individuals surveyed in the report felt Income Protection was more relevant to them after it was clearly explained, with this being 61% of Gen X (age 45-61 year) and 64% of millennials (age 29-45 year), which brings to light the idea that it is not a “No” when it comes to deciding if you want to protect your income against unexpected circumstances that prevent you from working, it’s ‘I don’t know!”