Can my income protection insurance benefits be reduced?
If you are currently receiving benefits from an income protection policy these can be reduced if you receive income from any of the following:
- income you continue to receive from your employer
- income you continue to receive from your self-employed work
- any pensions you receive
- any payments received from any other insurance polices made directly to you or on your behalf to a mortgage provider or loan company
- any State benefits received
If you are not currently receiving benefits then potential future benefits can be reduced if:
- if your earnings are reduced and the potential benefit provided falls below the maximum allowable
- you should regularly review your policy to ensure that you are not in breach maximum benefit levels on your policy as most insurers will not refund premiums paid if you are over insured
Looking for a financial adviser near you?
Do you need financial advice? An independent financial adviser can show you how to make the most
of your money. Find your nearest qualified and regulated adviser using this VouchedFor search tool.
Alternatively, Hargreaves Lansdown, one of the UK’s largest firms providing restricted financial advice, is offering a £200 John Lewis voucher* to new clients.