What Is Income Protection Insurance?

Income protection insurance refers to insurance that is based on the interruption or reduction of income due to accidental injury or illness as a condition for payment of insurance benefits, specifically when the insured becomes disabled due to illness or accidental injury, loses his ability to work and loses his income or reduces his income. A health insurance in which the insurer pays the insurance premiums in installments within a certain period.

Income protection insurance

Right!

Income protection insurance refers to insurance that is based on the interruption or reduction of income due to accidental injury or illness as a condition for payment of insurance benefits, specifically when the insured becomes disabled due to illness or accidental injury, loses his ability to work and loses his income or reduces his income. A type of insurance payment by the insurer over a period of time

In fact, when people talk about health insurance, they mainly value medical expenses insurance. In the United States, for example, 82% of health insurance payments are for medical expenses. Compared with medical expenses insurance, income protection insurance is in a secondary position, but it is one of the oldest insurance types in health insurance, and it has been in the insurance market for more than a century. When the insured becomes disabled due to illness or accidental injury, the insurance can regularly pay income insurance benefits. The danger covered by income protection insurance is the danger of reporting lost income, but on the surface, it usually covers disability that prevents you from continuing to work. If a person is disabled due to illness or accidental injury and loses his ability to work, the length of disability cannot be determined, and the amount of income lost due to his inability to work may be full or partial. What is more serious is that people who are incapacitated will need to rely on the income of other members of their family to support their lives, and in some aspects may spend much more than before; if other members of the family have no source of income, the consequences will be Even more disastrous.

Disability refers to the fixed symptoms left on the human body due to injuries and diseases, and affects normal life and work ability. Common causes of disability include congenital disability, legacy of acquired illness, and legacy of accidental injury. Income protection insurance does not pay for congenital disability and stipulates that only

The insurance that provides compensation for loss of income that occurs when the insured cannot continue to work after disability, illness, or accidental injury is income protection insurance.

Income protection insurance can generally be divided into two types, one is to compensate for the loss of income caused by disability due to injury, and the other is to compensate for the loss of income caused by disability caused by illness.

In particular, we need to distinguish between accident insurance and accidental injury insurance in the accident insurance. Although both should provide protection for accidental injuries, the accidental injury stoppage insurance is based on the condition that the insured person temporarily loses his ability to work and cannot work because of the accidental injury. Here, stoppage is different from disability: stoppage refers to the temporary loss of full labor capacity and the inability to engage in work with labor income for a certain period of time; and disability refers to Shuijiu's total or partial loss of labor capacity, that is, If the disability is permanent and complete, the insured person will never be able to work with labor income, and if the disability is only partially incapacitated, the insured person can also work in a certain amount of work with labor income. Therefore, the stoppage of work will start immediately when the insured suffers an accidental injury, and the disability will be determined only after the insured's treatment is completed or the condition is stable.