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Income Protection

Protecting you and your family

Protecting you and your family...

When you organise cover with our team you will get the following benefits:

Compare providers

Our expert advisors can help you find the best policy from many large providers such as Legal & General, Aviva, Vitality and Scottish Widows. We also have access to solutions from various smaller specialist providers.

No fee to advise & arrange

We don't charge to discuss your requirements; there are no fees for us to research and explain your cover options, we don't even charge to arrange the cover, organise a trust and even write your Will at the same time - no fees whatsoever!

Will Writing Services are referred to our Sister Firm. Neither Dunham McCarthy Financial Services Ltd or PRIMIS are responsible for the service received. These services are not regulated by the Financial Conduct Authority they are instead regulated by the Institute of Professional Willwriters and have alternate consumer protection.

CI Expert

Using our professional comparison tool (CI Expert) we are able to compare not only pricing but also the number of conditions covered and the pay-out definitions of each condition.

Explain products & options

Critical Illness cover, serious illness cover, accident & sickness, income protection - with so many options let us explain each and help you find the right cover for you and your family.

Health based recommendation

When we make a recommendation we take into account your health, family history and lifestyle, this means that when we give you a price, it is less likely to be adjusted following the underwriting process.

Review existing policies

As part of the advice process we always take a look at any existing policies that you have in place and review them to ensure they are the most comprehensive and competitive available.

Free last will & testament

When you take a policy with Dunham McCarthy Mortgages our colleagues at are happy to provide a full, legally binding last will and testament without charge - it's all part of the service!

Policies written into trust

To minimise delays and reduce Inheritance Taxes, we can write you policy into a discretionary trust, again no charge!

What is Income Protection?

Income protection, formally known as permanent health insurance, is a policy that pays out if you’re unable to work because of injury or illness. It differs to critical illness in that it doesn’t pay out one lump sum, its designed to pay you a monthly amount, as a percentage of your income to help with monthly outgoings.

Policies are usually paid monthly for the term of the policy or the full term of your life – depending on what type of Life Insurance you go for.

It’s worth understanding that its intended to protect you for a pre – designated period. This could be a short period of 6 months for example, or instead the pay-out could be for many years. Ongoing illnesses or medical conditions would be covered by a critical illness policy. Income protection will not cover you for redundancy or dismissal from your employment.

Just like Life Insurance or Critical Illness Insurance, Income Protection Insurance takes into account your medical history. However, it also looks closely at what profession you are involved with; the more dangerous your job, the more expensive your cover will be as a result of the risk of you being off work.

What are the types of Income Protection available?

Income protection differed significantly between providers, with many different products, often with confusing names. As mentioned already, it can be referred to as ‘permanent health insurance. In some instances, its also referred to as ‘Long-Term Disability Insurance.’ Many insurers also abbreviate Income Protection Insurance as IP!

Broadly speaking, Income Protection Insurance is available in the following forms:


Own Occupation

Unable to perform specific tasks associated with your job.


Suited Occupation

Unable to perform in your own role or another role suited to your training and education.


Any Occupation

Pays out if you are unable to perform any occupation.


Activities of Daily Living (ADL)

This pays out if you are unable to do simple tasks like eating, getting dressed, cooking or climbing stairs..

Do I need Income Protection?

Unless you can manage on Statutory Sick Pay (presently just £94.25 a week) the answer is yes! As this is seldom enough to cover ones monthly financial commitments. As you will be aware, almost everything in life is money dependent (eating / clothing / heating & utilities). As soon as our income stops our lifestyle, financial stability and well-being is very much at risk.

How much does Income Protection cost?

This very much depends upon your individual circumstances, your health, the type of job you do, the amount you would like to receive each month. Depending on how much you earn, it’s possible, to pay as little as around £15 a month up to several hundred pounds – depending upon your needs.

You can also ‘index link’ your income protection to take into account future rises in the cost of living, however, this will also make your premiums more expensive.

How much cover can I get?

This will largely depend on the amount you are prepared to pay, for employed people the maximum is often 65% of your monthly income (in some instances 70%). For self-employed people, monthly pay-outs are often calibrated at between 50 to 70% of your pre-tax profit.

The amount you receive will affect your state benefits (the amount of universal credit you are entitled to), however, the monthly sums are tax free.

Does Income Protection always pay out?

In genuine cases, income protection does pay out. The instances that it doesn’t pay out could be down to:



Where details of an illness or condition were withheld at the time of taking out the policy. This is most often a pre-existing medical illness that policy holders didn’t disclose because of the effect it would have on the premium.


Missed premiums

If you miss a payment, sometimes by accident (example changing banks or forgetting to transfer funds from one account to another) or because you are going through difficult financial times. Either way, it is important to talk to your provider right away since missing a payment might result in the policy being cancelled. Most providers will offer a way to assist you.


Deferred period

Usually, when you take out a policy, there is a period at the start, where you are not eligible to make a claim



Whilst disability and illness might be covered short term, on going disabilities, illnesses and medical conditions, that prevent you from working are not covered; this is where critical illness comes in.



These will vary from policy to provider. Certain medical conditions, travel to certain countries (war zones for example) and certain sports. Its important that you disclose everything about your lifestyle, hobbies and medical conditions so that a policy and provider can be found that meets your requirements.


Redundancy / Dismissal

Income protection will not pay out for redundancy or dismissal from your job with the slight exception of (ASU).

Do I need to put my Income Protection Insurance in a trust?

The simple answer is no.

Where should I get my Income Protection insurance from?

As with all forms of insurance, there are many providers and types of policy – so much so, that it can be difficult to know quite where to start.

Its always best to get some free impartial advice from a specialist like Dunham McCarthy Mortgages since they already have a considerable market and product knowledge and will know exactly what’s best for your individual circumstances.

The Process

Life Insurance, Critical Illness, Income Protection, Buildings & Contents - whatever you need, we've got you covered.

  • Book Appointment
  • Risk Assessment
  • Cover Organised

Speak to an expert advisor

It’s good to talk, that’s why the first step is to find out a little more about your situation by scheduling a consultation. We do not charge for advice so what are you waiting for, book your appointment today.

Check Appointment Times

Assessing your needs

By asking questions and discussing the risks faced by you and your family, our expert advisor will make a recommendation detailing the most appropriate and cost effective cover available.

Check Appointment Times

Cover agreed and underwritten

We will then coordinate and organise your cover. This includes collating medical information / assessments and completing trust forms where necessary.

Check Appointment Times

Choose DM Mortgages

  • Financial Conduct Authority Regulated

    DM Mortgages is fully authorised and regulated by the Financial Conduct Authority.

  • Fully Qualified

    All of our advisors are level three qualified (CeMAP or Cert CII (MP))

  • Nationwide Coverage

    90% of our business is conducted using video or telephone calls meaning we can help you anywhere in the UK.

  • 5 Star Google Rating

    Check out our Google ratings we have hundreds of 5 star reviews.

  • Free Advice

    We do not charge for our time or advice so speak to our experts today.

  • Evening Appointments

    Because people who need mortgages usually work in the daytime, we offer appointments until 7:30 in the evening.

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