Tel: 074 912 4366
57 Port Road, Letterkenny, Co. Donegal

Income Protection

Income Protection is also known as Permanent Health Insurance.

It pays out a regular cash payment that replaces part of your lost income if you are unable to work due to illness or injury.


 

 

 

 

 

 

 

 

Who needs this type of Protection?

• The self-employed with no other source of income
• Those with little sick pay from their employer
• Those whose sick pay only lasts for a certain length of time
• Those with dependents who rely on their income

The Facts about Income Protection

You choose how long you want the cover to last, usually to age 60 or 65. You also have a choice of how much cover you want. This is restricted to 75% of your earnings less any state benefit you may be entitled to.  Remember, if you are self-employed you may not be entitled to anything from the government. 

Other important points:

• You have a choice of how long after injury or illness the cover commences
• You can choose 4, 8, 13, 26 or 52 weeks
• Tax relief is available on the premiums paid
• The benefit payable to you is taxable

Example: Mark is self employed, earning €40,000 per year. He has income protection cover of €30,000 per year. Due to an illness Mark is no longer able to work and is not entitled to any sick pay or social welfare. Mark would receive a taxable benefit of €2500 per month from his insurer for as long as he cannot work for the duration of his policy.

Try our Income Protection Calculator

The calculators on this website based upon calculators built by Irish Life. They are designed to provide guideline indicators for Life Cover and Pension Requirements. We recommend that you speak with us before buying any financial product.