Are you aged under 48? Is your income protection policy out of date?

January 30th 2009

Since the Pensions Act 2008 received Royal Assent in November, protection providers are claiming that now is the time for advisers to review the implications of the change and question whether or not clients have income protection in place, taking into account the age of the client.

Changes include increasing the state pension age, potentially extending the working lives of any worker now aged 48 or under, and gradually increasing the state pension age to 68 between 2024 and 2044.

All of which could effect an individual’s retirement planning.

One of the leading providers in this market, Unum says: ”Although there is now a real need for most people to work for longer, statistics show that this may be compromised by the increased risk of serious illness that comes with getting older. This not only strengthens the general case for income protection, but also makes it increasingly important for advisers to recommend providers that are able to provide cover to older ages.”

Presently, there is only one provider offering income protection to age 70. If you would like a review of your protection policies, email us at advice@prosperis.co.uk