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Protection

Do you need income protection?

If illness or injury stopped your income tomorrow, how long could you cope? Income protection is designed to answer exactly that.

The Millwood Mortgage Company · Updated August 2026

Most people insure their car and their phone, but not the thing that pays for everything else — their income. Income protection is designed to fill that gap.

What it is

Income protection pays you a regular, usually tax-free income if you can't work due to illness or injury. It typically pays out until you recover, retire, or the policy ends, and is designed to cover your essential monthly outgoings.

How much can you get?

Insurers usually allow cover of up to around 60% of your gross income. Our protection calculators give you a quick estimate of both the maximum benefit and what your outgoings actually require.

How it differs from critical illness cover

Critical illness cover pays a one-off lump sum if you're diagnosed with a specific serious condition. Income protection instead pays a monthly income for as long as you can't work. Many people combine the two for fuller cover.

Isn't sick pay enough?

Statutory sick pay is modest and time-limited, and employer schemes vary widely. Income protection is designed to keep your essential bills covered for far longer, giving you time to recover without financial stress.

While income protection can provide valuable financial support if you're unable to work due to illness or injury, it's important to consider the cost of premiums, any waiting periods, policy terms, exclusions, or limitations, and whether the level of cover meets your individual needs and circumstances before making a decision.

Frequently asked questions

How much income protection can I get?

Insurers typically cover up to around 60% of your gross income, usually tax-free. Try our Maximum IP benefit calculator for a quick estimate.

How is it different from critical illness cover?

Income protection pays a regular income while you can't work; critical illness cover pays a one-off lump sum on diagnosis of a covered condition. Many people combine the two.

Doesn't my employer sick pay cover me?

Statutory sick pay is limited and time-bound, and employer schemes vary. Income protection is designed to fill the gap so your essential bills are covered for longer.

This guide is general information, not personal advice. For a recommendation based on your circumstances, get in touch.