Whether you are an employee, self-employed, or whether you exercise a liberal profession, your salary is the basis of a balanced life. When you cannot exercise your work following an illness or an accident, you can always count on the loss of income insurance, which will ensure that your salary level is guaranteed. This is also ideal for Business Protection.
Why Take Loss of Income Insurance?
If a work stoppage follows an accident or illness, your income will be strongly impacted. However, as a self-employed worker, you will receive little compensation. If your household’s standard of living depends on your activity, discover the benefits of losing earnings insurance.
A work stoppage following an accident or illness is synonymous with loss of income for a self-employed worker. Of course, your mutual or complementary health insurance will cover your health costs, but it does not compensate in any way for your shortfall. That is why you should opt for loss of income insurance.
How to Choose Your Loss of Income Insurance?
Choosing your cover is essential. The prices of loss of earnings insurance contracts vary widely. First of all, the cost of contributions varies according to the age and state of health of the subscriber and his sector of activity. Thus, the older the subscriber, the higher the price will be for identical guarantees. In the event of a health problem, the insurer may also refuse the subscription.
Then, the price will not be the same depending on the desired services. For example, the higher the guaranteed daily allowance, the more contributions will increase. Therefore, it is advisable to clearly define your needs to take out a contract suited to your situation and your budget.
The duration of compensation chosen is also taken into consideration and the start of the settlement. According to the insurers, the daily allowances will be paid to you from the first day of stoppage or after a waiting period. Here again, the longer the delay, the less expensive the contributions will be.
Finally, some contracts may provide for additional guarantees that drive up the bill. However, they can be useful: paying an education pension, a death benefit, home assistant, etc.
Choosing the Right Compensation Date
An essential element also comes into play: the choice of the date from which the compensation begins. It is possible to take out contracts that compensate from the first day of stoppage, but they are overpriced and are not justified in a household with precautionary savings to face, precisely, a hard blow.
In general, insurers offer to start their assistance from fifteen or thirty consecutive days of stoppage, or even after two or three months for those who are well protected by their collective agreement. This “deductible” significantly impacts the price: the longer it is, the less expensive the insurance is.…