Can my income protection premiums increase over time?

Can an income protection insurer increase my premiums over time? I am worried that the premiums might rise too much in the future as I get older or if I need to make a claim.

Question asked by Priya Patel
Compare Top 10 UK
 Protection
Insurers
 
Takes approx. 60 seconds
Type of Policy
Income Required
per
month
Date of Birth
Loading your options...
Thank you for using our Quote Tool
If you need some help, just call us!
T: 02084327333
Our in-house Experts are here to provide FREE impartial advice!
Our Experts can answer all your questions
Our Experts can send you more appropriate options based on your personal circumstances

Very important if you are either Self-Employed or a Company Director.

Our online quote tool is good but our Experts are better

Oue Experts have access to far more insurers and can often find a better deal offline.

Saves you time, let our Experts do what they are best at

Answered by Robert Harvey

With income protection there are a number of options to choose from with regards to the insurer’s right to increase premiums over time. Please see below for the various options available.

Please note that these options are usually only available for long-term income protection plans. Payment protection plans only come with reviewable premiums as they are rolling contracts rather than providing cover for a specified term, such as 15 years.

Guaranteed Premiums

With long-term income insurance policies it is possible to include the ‘guaranteed premiums’ option were the premium charged by the insurer remains unchanged irrespective of your age, number of claims made or the insurers overall claims experience.

Essentially, for an income insurance plan with guaranteed premiums the insurer has no right to change the amount charged over time based on these factors.

Reviewable Premiums

Short-term income protection plans (such as accident, sickness and unemployment policies) and some long-term plans come with ‘reviewable premiums’.

This means that the insurer does have the right to change your premiums but only based on general factors, such as the overall claims experience across all their customers and changes in interest rates, for example.

Also see: Guaranteed or reviewable premium income protection?

Age Rated Premiums

It is also worth noting that some insurers have ‘age-rated’ (or ‘low-start’) plans where the premiums increase with age. Care needs to be taken with these plans as the premiums can look very attractive upon taking out the policy but can increase rapidly over time and work out much more expensive over the term of the policy.

income protection
 
guaranteed premiums
 
premiums
 
This information does not constitute financial or other professional advice. You should consult your professional adviser or contact us directly on 02084327333 should you require financial advice. It is important to ensure any insurance policy you take out is suitable for your needs.
Compare Top 10 UK Insurers
  Takes approx. 60 seconds
 - 
Need help? 
Call us on 

Frequently Asked Income Protection Insurance Questions

 
Do people usually claim for a long time or is there a maximum payout...
 
I wanted to know why I should consider an income protection plan, why is this type of cover important?...
 
I can see that some plans seem to base the amount of income protection cover on earnings, often as a...
 
I have recently taken out a mortgage and have been told about critical illness insurance but have now...
Need Help? Live chat now and get an instant answer from our Experts...

Neil
Pensions

Victoria
Insurance
Our Latest Reviews
Jayant Rampuria
06/10/2018

Oliver did an excellent job in making the right recommendations. He's been very patient in dealing with my request and helping me choose the right product. Well done and thanks very much!

James Mclauchlan
05/10/2018

Josh did a great job. Did all the legwork for me in getting the best quote and even handed it over to someone else whilst he was away, then finished the whole thing once he was back – impressed!

Raviteja Sajja
02/10/2018

Josh was very good at communicating about different options for Life insurance, advising us on right choice and benefits. I would strongly recommend Drewberry. Thank you Josh.

We are rated 4.9/5 based on 1742 independent client reviews.
To read more of our independent client reviews click here →
REVIEWS
EXCELLENT
4.92 / 5 Average
1831 Reviews
A Lovell
Overall Rating
Extremely helpful and able to understand the various issues and constraint
D at Inforcehub
Overall Rating
Very knowledgeable and easy to deal with.
A Kanwal
Overall Rating
Bronja Whitlock was absolutely brilliant, as my mind isn’t in the right place at the moment due to the loss of my partner and I forgot who my insurers were or if I was covered. I therefore contacted her from an old email that I had from a few years just explaining my situation. I wasn’t expecting a response to be honest, but Bronja replied back the same day. She didn’t just reply with the most empathising response, but she also contacted the insurance company and told them of my situation and ordered my claim pack on my behalf, which I can’t appreciate enough. Bronja Whitlock you are an asset to your company. Thank you.
R Sajja
Overall Rating
Josh was very good at communicating about different options for Life insurance, advising us on right choice and benefits. I would strongly recommend Drewberry. Thank you Josh.
S G
Overall Rating
Rauri has been very professional and has responded promptly to any queries. Very friendly nature too