According to research by technology firm CEB, a third of employees fear losing their job because they perceive that the economy has slowed down. Around 30% of people say that the Brexit vote will negatively affect their career.
To counteract these fears, the Office for National Statistics reported that the unemployment rate is at a record low level and few companies are cutting back on staff.
People that fear losing their job may not have enough savings to keep up with their regular household expenses if they are out of work. For peace of mind there are protection insurance options available that can financially protect a person if they lose their job.
The largest monthly payment for many households is the mortgage. Mortgage protection covers the mortgage payments if the policyholder is off work because of sickness or injury.
Income protection insurance will pay out a regular sum for people who lose their income. Payments are based on a percentage of the policyholder’s salary.
Most protection insurance policies cover job loss through sickness and accidents, but redundancy cover can also be added to policies.
For serious long term illnesses that prevent people working, critical illness insurance will cover the bills after a job loss.
Insurance expert Justin Harper says that many people do not have protection insurance:
“Very few households would be able to cope if the main breadwinner was out of work, but the overwhelming majority of people don’t have any protection insurance in place or fully understand how it can help them.”