Top tips for taking out personal protection

Taking out personal protection insurance – such as life cover, income protection or critical illness cover – is an important step in securing your financial future. To make the process as smooth as possible and to ensure you get the right cover, our knowledgeable protection team have put together their top tips to help you prepare.

Know your medical history

Insurance providers will ask for detailed information about your health history. Be prepared with accurate information, including:

•      Dates of diagnoses and treatments
•      Any medical conditions you’ve had (even those from years ago)
•      Details of any medications you’re currently taking
•      Immediate family history (parents and siblings)

Having this information to hand not only speeds up the process but also helps the insurer provide an accurate decision.

Understand your expenditure

Before taking out personal protection, know your monthly outgoings. This helps you choose a policy that’s affordable and meets your needs. Consider:

•      Mortgage or rent payments
•      Utility bills
•      Loan or credit repayments
•      Everyday expenses (food shopping, socialising, etc.)

Being clear on your budget ensures that your adviser can provide an affordable solution that allows you to comfortably keep up with the monthly premiums.

Accurately know your salary and sick pay

Many people are unaware of their employment benefits, however these can be crucial in helping your adviser to make the correct recommendation, especially when it comes to income protection. Be sure to know:

•      Your exact annual salary, including bonuses or overtime if applicable
•      Your sick pay entitlement (statutory or company policy)

This helps your adviser to tailor a product that suits your needs and avoids over-insuring or under-insuring yourself.

Check any existing cover

You might already have protection in place through your employer or other policies. Obtain copies of any existing cover. Common types include:

•      Death in service benefits
•      Group income protection provided by work
•      Any old policies you might have forgotten about

This way, you can fill in the gaps without paying for unnecessary extra cover.

By staying organised and informed you’ll be in the best possible position to find the right protection that truly fits your needs.