We hope everyone is having a lovely summer. We’ve put together a very information-filled newsletter this month.
We’ve covered a few FAQs, like why a cheaper insurance policy isn’t always better. What to look for in an income protection policy.
Plus, handy info on how health insurance can help you stay active and how to build your financial resilience.
In this month’s newsletter:
Don't let a bargain policy leave you uncovered.
When it comes to buying insurance, whether for your car, home, health, or income, it’s tempting to focus on price. After all, who doesn’t want to save money? But while a cheaper premium may look appealing upfront, it could cost you far more in the long run. if the policy doesn’t do what you need it to. Equally, by chatting with an advisor, you’ll ensure you’ll end up with the right policy for you and your needs.
Let’s dive into the top reasons why “cheaper” doesn’t always mean “better” when it comes to insurance:
1. Lower Premiums Often Mean Lower Cover
Cut-price policies tend to offer minimal cover. That might be fine – until you actually need to make a claim. For example, if you bought a cheap contents insurance policy and unfortunately had a break-in, you might find that only £10,000 of items are covered. Plus, it excludes electronics, jewellery, and bikes. That “bargain” policy won’t come close to replacing what you lost.
2. Exclusions and Small Print Matter
Cheap insurance policies often have more exclusions. Also known as: the things they won’t pay out for. Our top tip? Always read the key facts document and ask an adviser to explain what’s not included.
3. Delays, Excesses, and Claim Limits
Cost-saving features reduce the price but can also reduce the value of the policy when you need it most. Such as:
Let’s dive into the top reasons why “cheaper” doesn’t always mean “better” when it comes to insurance:
1. Lower Premiums Often Mean Lower Cover
Cut-price policies tend to offer minimal cover. That might be fine – until you actually need to make a claim. For example, if you bought a cheap contents insurance policy and unfortunately had a break-in, you might find that only £10,000 of items are covered. Plus, it excludes electronics, jewellery, and bikes. That “bargain” policy won’t come close to replacing what you lost.
2. Exclusions and Small Print Matter
Cheap insurance policies often have more exclusions. Also known as: the things they won’t pay out for. Our top tip? Always read the key facts document and ask an adviser to explain what’s not included.
3. Delays, Excesses, and Claim Limits
Cost-saving features reduce the price but can also reduce the value of the policy when you need it most. Such as:
- Higher excesses (the amount you must pay before the insurer contributes)
- Lower payout caps (especially on home, travel, or gadget insurance)
- Longer waiting periods (common with income protection or private medical insurance)
4. Poor Service at the Worst Time
Customer service can suffer with ultra-budget insurers. Long call waits, confusing processes, and slow claims payments may be more common with cheaper providers. When you’re already dealing with theft, or an accident, poor service adds stress you don’t need.
Check with an advisor before choosing on price alone.
Some budget insurers might not offer legal and financial coverage. Or aspects like counselling services and family support. In contrast, more comprehensive (and slightly more expensive) policies often include these extras that can make a big difference in a crisis.
The most important question isn’t “What’s the cheapest insurance?” but “What’s the right insurance for me?”
It’s not about buying the most expensive insurance – it’s about buying the most suitable one. Sometimes that may cost a little more, but in exchange, you’ll get peace of mind, real support when you need it, and a policy that actually works for your situation.
Chat with us today to ensure you are insured where you need it.
Not all income protection is equal - here's why.
Life can be unpredictable, and depending on your line of work, if illness or injury stops you from working, your income can change overnight. That’s where income protection insurance comes in. Offering a financial safety net when you need it most. We are specialised in helping people with income protection. We’re here to help – give us a ring and let’s talk through your options.
Understand How You’ll Be Assessed
The definition of incapacity is one of the most important parts of your policy. It determines when you can make a claim based on your ability to work.
Understand How You’ll Be Assessed
The definition of incapacity is one of the most important parts of your policy. It determines when you can make a claim based on your ability to work.
- Own occupation: Pays out if you can’t do your specific job. This is the most comprehensive and flexible option and offers the highest level of protection.
- Suited occupation: Pays only if you can’t do a job suited to your skills or experience.
- Any occupation: Pays out only if you can’t do any job at all – the strictest definition and often hardest to claim against.
Choose The Right Deferred Period
This is the waiting period between when you stop working and when your payments begin. Common options include 4, 8, 13, 26, or 52 weeks. A longer deferred period usually means lower premiums, but you’ll need other financial support to cover the gap. Look at your sick pay or savings buffer and see how it lines up.
Check How Much You’ll Be Paid
You can usually insure between 50% and 70% of your gross income. Payments are tax-free if you’re paying for the policy personally. This ensures you can still cover essential bills like your mortgage or rent, food, and utilities, even while off work.
Decide Between Short-Term or Long-Term Cover
This is the waiting period between when you stop working and when your payments begin. Common options include 4, 8, 13, 26, or 52 weeks. A longer deferred period usually means lower premiums, but you’ll need other financial support to cover the gap. Look at your sick pay or savings buffer and see how it lines up.
Check How Much You’ll Be Paid
You can usually insure between 50% and 70% of your gross income. Payments are tax-free if you’re paying for the policy personally. This ensures you can still cover essential bills like your mortgage or rent, food, and utilities, even while off work.
Decide Between Short-Term or Long-Term Cover
- Short-term cover: Pays out for a maximum of 1 or 2 years per claim. It’s more affordable but offers less long-term security.
- Long-term cover: Continues until you return to work, retire, pass away, or reach the end of your policy term – usually around age 60 or 70.
Should Your Cover Rise with Inflation?
Many policies offer the option to index-link your cover, meaning your benefit will rise each year in line with inflation… maintaining your income’s real-world value over time.
Understand the Premium Type
- Guaranteed premiums: Stay the same unless you make changes.
- Reviewable premiums: Can be changed by the insurer, often every 5 years.
- Age-banded premiums: Rise gradually as you get older.
Watch for Exclusions
Pre-existing conditions may not be covered, and some policies have exclusions for mental health issues, back pain, or pregnancy-related conditions.
Additional Considerations
- Rehabilitation support to help you return to work.
- Waiver of premium, which means you don’t pay while claiming.
- Guaranteed insurability, so you can increase your cover if your circumstances change (e.g., getting a mortgage or starting a family).
Still unsure? A financial adviser can help match your needs and budget with the right level of cover. Give us a call – we’re happy to help.
Can your health cover help you get fitter?
Are you looking to feel your best this summer? It can be a self-conscious time of year, but let’s make 2025 the year you leave your worries behind. And actually enjoy swimming with the kids or sunbathing on the beach.
Did you know private health insurance can help you become more active, healthier, and more proactive in your fitness goals? Probably, because we talk about it all the time! But while most people think of health insurance as something you use when you’re ill, many modern policies now include wellness and fitness benefits that get us moving. In turn, promising a healthier and happier life!
Give us a call today to see how a supportive PMI has changed our lifestyle! And we’ll cherry-pick the most suitable policy just for you.
Did you know PMI can include gym discounts and fitness rewards?
Yes really! Many insurers partner with well-known gyms and fitness brands. Think discounted memberships at PureGym, Nuffield Health, David Lloyd, or Virgin Active, and more! Alongside this, you can expect cashback or rewards for tracking exercise. Plus, even discounts on home fitness equipment, apps, and wearables.
For example, Vitality Health offers incentives like free Apple Watches and discounted gym memberships when you hit fitness activity targets each month.
Do you feel like you need extra support for nutrition and lifestyle coaching?
Think nutritionists or dietitian consultations. Wellness coaches or lifestyle planning sessions. Or mental health support, which can help give you motivation to stay active.
How does faster access to physio and sports injury treatment sound?
For some, getting moving comes with physical blocks. PMI can get this fixed before your next run. Staying active means you might face the occasional strain or injury. But quick access to physiotherapy, referrals to sports medicine specialists, and cover for treatments like osteopathy or chiropractic care can all help!
Equally, PMI means reduced waiting times for tests and treatment
You’ll skip long waits for diagnostics like MRIs or blood tests. Access consultations quickly, so problems can be addressed sooner. So you’ll get back on track faster after illness or injury!
Finally, let’s look at incentivised wellness programs
Some insurers offer reward schemes that turn healthy habits into real-world perks. These might include:
Did you know private health insurance can help you become more active, healthier, and more proactive in your fitness goals? Probably, because we talk about it all the time! But while most people think of health insurance as something you use when you’re ill, many modern policies now include wellness and fitness benefits that get us moving. In turn, promising a healthier and happier life!
Give us a call today to see how a supportive PMI has changed our lifestyle! And we’ll cherry-pick the most suitable policy just for you.
Did you know PMI can include gym discounts and fitness rewards?
Yes really! Many insurers partner with well-known gyms and fitness brands. Think discounted memberships at PureGym, Nuffield Health, David Lloyd, or Virgin Active, and more! Alongside this, you can expect cashback or rewards for tracking exercise. Plus, even discounts on home fitness equipment, apps, and wearables.
For example, Vitality Health offers incentives like free Apple Watches and discounted gym memberships when you hit fitness activity targets each month.
Do you feel like you need extra support for nutrition and lifestyle coaching?
Think nutritionists or dietitian consultations. Wellness coaches or lifestyle planning sessions. Or mental health support, which can help give you motivation to stay active.
How does faster access to physio and sports injury treatment sound?
For some, getting moving comes with physical blocks. PMI can get this fixed before your next run. Staying active means you might face the occasional strain or injury. But quick access to physiotherapy, referrals to sports medicine specialists, and cover for treatments like osteopathy or chiropractic care can all help!
Equally, PMI means reduced waiting times for tests and treatment
You’ll skip long waits for diagnostics like MRIs or blood tests. Access consultations quickly, so problems can be addressed sooner. So you’ll get back on track faster after illness or injury!
Finally, let’s look at incentivised wellness programs
Some insurers offer reward schemes that turn healthy habits into real-world perks. These might include:
- Discounts on activewear, bikes, or sports events
- Free cinema tickets, coffee, or travel rewards for hitting step counts or gym sessions
- Wellness apps with tracking tools and personalised plans
Private medical insurance isn’t just about illness. It’s evolving to support whole-life wellbeing. Whether it’s getting back on your feet after injury or helping you stay fit with discounts and incentives, it’ll play a critical role in helping you live a more active life. And in turn, helping you feel more confident no matter the weather!
Do you need help finding a policy? Let’s chat and see how we can help you!
Stay calm and financially resilient.
Your Money, Your Safety Net
Life can be unpredictable. Whether it’s a sudden job loss, an illness, or a big, unexpected expense, being financially resilient means you’re ready to weather the storm.
The best part? A lot of these you can ‘set and forget’, meaning with a budget in place, you can enjoy your holiday or drinks in the beer garden. But also know when to ‘call it’ to ensure your financial resilience.
Here’s how you can start building that resilience today in practical, achievable steps.
Life can be unpredictable. Whether it’s a sudden job loss, an illness, or a big, unexpected expense, being financially resilient means you’re ready to weather the storm.
The best part? A lot of these you can ‘set and forget’, meaning with a budget in place, you can enjoy your holiday or drinks in the beer garden. But also know when to ‘call it’ to ensure your financial resilience.
Here’s how you can start building that resilience today in practical, achievable steps.
- Start an Emergency Fund: Aim to save 3–6 months’ worth of essential expenses (like rent, bills, and food). Begin with small weekly amounts and keep it in an easy-access savings account. Some banking apps let you round up purchases to build savings effortlessly.
- Review your spending. Cancel unused subscriptions, compare utility prices, and switch providers to save. Use cashback and voucher websites for everyday purchases.
- Deal with Debt: Pay off high-interest debts first, such as credit cards. Look into 0% balance transfer deals. If you’re overwhelmed, free advice is available from organisations like StepChange and Citizens Advice.
- Income Protection Insurance can replace part of your income if you’re unable to work due to illness or injury. Critical Illness Cover pays a lump sum for certain serious conditions. Some employers include these in benefit packages.
- You might be eligible for benefits. Use Turn2us or Entitledto to check on your Universal Credit, Council Tax Reduction, or Cost of Living Payments. Many people miss out on money they could claim.
- Could you explore extra income? Side hustles, freelance gigs, or renting out a spare room (via the Rent a Room Scheme) can supplement your income. Small, consistent boosts can make a big difference.
- Put money into an ISA or pension regularly. If you’re under 40, a Lifetime ISA could help you save for a home or retirement with a 25% government bonus.
- Insure What Matters: Life, home, and health insurance all help protect your financial wellbeing in the face of unexpected events.
Financial resilience isn’t about being wealthy. It’s about planning, protecting, and preparing for the unexpected, one step at a time. Ready to take the first step? Start with just one change today. Give us a call and let’s see how we can help.