Sickness Insurance Self Employed

Sickness insurance for self employed people is an important insurance which will provide an income should you not be able to work due to accident or sickness. The sickness insurance offers self employed people protection allowing you to insure your mortgage payments and other regular outgoings.

What is Sickness insurance self employed?

As stated, sickness insurance self employed, is just one of many forms of protection a self employed borrower should consider when arranging a mortgage. In taking out a sickness insurance policy, mortgage payments and other regular outgoings are protected in the event of the self employed borrower being unable to work due to accident or sickness Life is full of uncertainties and the fact is that each year many thousands of self employed people receive help with their mortgage payments due to payouts through policies for sickness insurance for the self employed.

The financial effect of not being able to work when you are self employed due to sickness could be devastating. 

How much does it cost?

The cost of our sickness insurance self employed policies can be relatively cheap. Capital  Fortune Advisers will take you through your full needs and circumstances and will be able to provide the most suitable and affordable plan to meet your needs. We can arrange sickness insurance self employed cover to protect you in the event of your incapacity to work.

What are the 'waiting periods'?

Our sickness insurance self employed policies provide different levels of monthly premiums depending on the level of cover you require. This is particularly relevant when dealing with the ‘waiting period’. The waiting period is often expressed as either 30, 60 or 90 days from the date of the event which led to a claim on the policy.

Case Study

John is a self employed builder and is looking to take out one of our sickness insurance self employed policies. He takes out the policy and is absent from work for a period of fifteen weeks following a fall where he damaged his back. 

This information shows you how the "waiting period" would affect John’s claim under his sickness insurance self employed policy. It will also demonstrate his entitlement to the insurance, its features and costs.

Capital  Fortune advisers will ensure you fully understand the sickness insurance self employed policy you are receiving, the monthly premium, the benefits under the policy, and when you can expect payment.

Sickness insurance self employed policy with a 30 Day Waiting Period

The Entitlement:  John’s claim would be backdated to day 1, and he would be entitled to receive the benefit for the full 15 weeks of incapacity.

Main Feature: His insured monthly benefit would be paid from day 1 of the accident or sickness, once he had been unable to work for the 30 qualifying waiting days.

The 30 waiting day option is suitable for self employed people whose loss of income could impact very quickly on their financial circumstances.

Costs: The 30 day option is more expensive than the 60 or 90 day options as it will pay out sooner and in light of that, the risk to the insurance company to pay benefit is naturally greater. This risk is therefore recognized in the premium to be paid.

Sickness insurance self employed policy with a 60 Day Waiting Period

The Entitlement:  John’s claim would be backdated to day 31, and he would be entitled to receive the benefit from the second month. This would then be paid for the remaining weeks of incapacity.

Main Feature: His insured monthly benefit would be paid from day 31 of the incapacity, once he had been unable to work for the 60 qualifying waiting days.

The 60 waiting day option is suitable for self employed borrowers who have sufficient financial resources for the first two months of being unable to work.

Costs: The 60 day option is less expensive than the 30 day option, but more expensive than the 90 day waiting period.

Sickness insurance self employed policy with a 90 Day Waiting Period

The Entitlement:  John’s claim would be backdated to day 61, and he would be entitled to receive the benefit from the third month. This would then be paid for the remaining weeks of incapacity.

Main Feature: His insured monthly benefit would be paid from day 61 of the incapacity, once he had been unable to work for the 90 qualifying waiting days.

The 90 waiting day option is suitable for self employed mortgage borrowers who have sufficient financial resources for the first three months of being unable to work.
Costs: This option is the least expensive of all the options.

Terms and Conditions

Insurance companies have, in the past, been notorious for their exercising exclusion clauses.  At Capital  Fortune we are trained to carefully assess, and discuss with you, your insurance demands and needs. By doing so, we can then advise you not only of the terms and conditions, but also any important exclusions and limitations of the sickness insurance self employed policies.

What does it cover?

We will provide you with a sickness insurance self employed policy that, in the event of your incapacity to work, will provide an amount designed to pay your mortgage, and other monthly outgoings up to a certain maximum limit which we will discuss with you.

Further questions?

Hopefully we've managed to answer your sickness insurance self employed policy questions, however feel free to give us a call on 0845 3 630 430 or Enquire Online.