Private Clients
Income Protection
Income protection is an insurance policy that provides you with a regular income if you are unable to work due to illness or injury. It helps replace a portion of your salary (typically up to 75% of your pre-tax earnings) until you can return to work or reach retirement age, depending on the policy terms.
Key Features of Income Protection in Ireland:
Pays a regular income if you are unable to work due to illness or injury.
Covers up to 75% of your salary (minus any social welfare benefits).
Waiting period applies (also called the deferment period), which is the time before payments start (commonly 4, 8, 13, 26, or 52 weeks).
Tax relief available on premiums at your marginal tax rate.
Covers self-employed and employees especially useful for self-employed individuals who don’t qualify for state illness benefits.
Not limited to specific illnesses it applies to any medical condition that prevents you from working.
It’s different from critical illness cover, which provides a lump sum payment for specific serious conditions. Income protection is useful for long-term financial security if you are unable to earn a salary due to health issues.