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Get cover for everyday expenses, even if you’re sick or injured

05 Nov 2020

Financial certainty in times of uncertainty is possible. As an entrepreneur, small business owner or, an employed person relying on commission from sales to supplement your salary, you can continue to receive an income, even during times of financial stress.

Covid-19 has meant that most entrepreneurs and sales people have experienced some kind of financial trauma. Whether it’s loss of income, the lack of a financial foundation or job loss, this has created a lot of anxiety about income and where to turn to in order to finance your essential needs like medical care. That’s where income protection and other benefits, such as dread disease cover, come in.

Income protection policy

Income protection is a long-term insurance policy that pays out a monthly benefit to supplement your income if you’re unable to work due to illness or injury. You will receive regular monthly pay-outs until you are able to return to work, you retire or upon death. The pay-outs are based on a percentage of your typical working income, typically between 50%-75%, and can be increased to 100% if you choose to top up.

Income protection pay-outs are tax free. For self-employed people and business owners, it is recommended that you combine a sickness benefit, covering short- and medium-term needs, with a permanent incapacity benefit, covering long-term income generation. 

Dread disease benefit

Income protection products are, however, more expensive and, depending on your circumstances, you may want to choose the cheaper dread disease or critical illness benefit. This is added to a life insurance policy to help cover the costs of a critical illness.

As income protection insurance can work in different ways, it is important to read the fine print and to make sure you understand the terms and conditions. Also, remember that income protection is not the same as accident, critical illness and unemployment insurance, which all work in different ways.

Protect your income, with Liberty

Liberty offers a number of benefits to provide you with income if you’re unable to work and earn an income due to illness or injury. These include:

  • Liberty Income Protection: pays a percentage of your salary in monthly pay-outs until you’re able to return to work.
  • Liberty Absolute Income Protector: provides income protection for up to 24 months after disability.
  • Liberty Lifestyle Protector: pays up to 24 times the Absolute Income Protector if you suffer a critical illness covered by the benefit.
  • Liberty dread disease benefit: provides cover for critical illnesses that is paid out in a lump sum.

Your income is an asset much like a car and house, therefore just like there is car insurance and house-hold insurance, your income needs to be insured too. If there is one thing that this pandemic has taught us, it is that the world is an unpredictable place and anything can happen at any time. Therefore we need to cover ourselves and be as ready as possible for any eventuality. At Liberty, we would like to ensure your financial well-being by protecting your income against any unforeseen events. We cannot predict the future, but together we can plan for it.  Click here to get advice.

  1. Andre Basson, “Why is income cover protection necessary?”, moneyweb, 20 November 2019,

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Liberty Group Limited (Reg. no 1957/002788/06) is a licensed Insurer and an Authorised Financial Services Provider (no 2409).