If the past few years have taught us anything, it’s that we never know what’s around the corner. That’s why the new year could be the perfect time to reconsider your protection needs. If you don’t currently have protection insurance, the best place to start is to ask yourself these questions:

– How long could I pay my rent/ mortgage and bills for if I lost my income?

– Does my employer offer any benefits such as group income protection or company sick pay?

– What would the impact be on my family or dependants if I was unable to work?

- Do I have outstanding debt that I may default on if I lost my income?

The more financial commitments you have, and the less support you get from your employer (or if you are selfemployed), the more sense it makes to take out protection insurance.

It doesn’t have to cost the Earth

When it comes to protection insurance, there are a few options to consider:

– Life insurance, which pays out a lump sum if you die during the policy term

– Critical illness cover, which pays out a lump sum if you are diagnosed with a specific serious illness listed in the policy wording

– Income protection insurance, which pays out a percentage of your current monthly income if you are unable to work due to illness or injury.

Many of these options are not as expensive as people think and, for an affordable monthly premium, you could enjoy the peace of mind that increased financial security brings.