Short-term income protection insurance

A short-term income protection policy is designed to pay out a percentage of your income if you’re unable to work due to illness or injury.

Up to 70% of your usual income could be paid out on a monthly basis.

Payments are tax-free and could help you stay afloat while you’re off work.

In contrast to long-term income protection, you’ll receive these payments on a short-term basis. Typically for a maximum for 1, 2 or 5 years.

Compare short-term income protection through Reassured to receive personalised recommendations and fee-free quotes from the UK’s best insurers.

Their whole of market income protection comparison service can allow you to find the best available deal on a policy that meets all your needs.

All quotes are fee-free and without obligation, so why not get in touch today?

What is short-term income protection?

As the name suggests, short-term income protection provides short-term cover to protect your income if you’re unable to work due to illness or injury.

Typically, insurers will pay out for a maximum of 1 or 2 years, but some also offer a payment period of 5 years.

Short-term income protection cover key points:

  • Could pay out up to 70% of your usual income
  • Provides monthly payments for a maximum of 1, 2 or 5 years
  • Will pay out if you’re unable to work due to illness or injury
  • Payments aren’t tied to a specific financial commitment
  • Payments will commence once your deferred period has passed
  • Possible to make multiple claims throughout the policy term
  • Cover tends to be cheaper than long-term income protection
  • Premiums start from 20p-a-day through Reassured

While this form of cover can help you while you’re temporarily ill/injured, it may not be sufficient if you were to develop a long-term illness that required you to take more time off work or, ultimately, meant you couldn’t return to work.

In this scenario, a long-term income protection policy could be beneficial as you could receive payments until the policy term comes to an end.

Contact Reassured to discover the right policy for your needs.

A friendly member of the team can help you compare both short-term and long-term income protection policies from all UK insurers.

What does short-term income protection cover?

Short-term income protection covers you for illness and injury that prevents you from working.

The monthly payments you receive can help you to cover:

  • Mortgage/rental payments - In the UK average rental costs are £1,276 per month[1], with average mortgage repayments standing at £1,441.36 per month[2]
  • Bills & utilities - 3/4 bedroom houses are estimated to be paying £152.80 per month for gas and electricity[3]
  • Childcare costs - £269.86 is the average weekly childcare cost in the UK[4]
  • Debts/loan payments - Unsecured debt in the UK currently stands at £3,743[5]
  • Leisure costs - It’s estimated the average UK household spends £189 per month on recreational expenses (such as a gym membership and TV subscriptions)[6]
  • Other living expenses - Such as petrol, public transport, food shop, phone bill etc

There isn’t a specific list of conditions included with your policy (unlike critical illness cover), so you can claim for any illness/injury that prevents you from working and meets your definition of incapacity.

However, you won’t be able to claim for any self-inflicted injuries, injuries as a result of substance misuse and/or pre-existing conditions if they have been excluded from your cover.

How much short-term income protection do you need?

Enter your monthly financial commitments to understand the level of short-term income protection cover you might require.


£723 a month is the average monthly mortgage payment in the UK, with the average monthly rental price coming in at £700.

The majority of our monthly income will go towards rental or mortgage payments.

For this reason, it’s essential to have precautions in place to ensure you could keep up to date with your payments if you weren’t receiving your usual income.

Monthly income protection payments can help to cover this large expense and ensure you can stay in your home.


According to the Money Advice Service, the average household spends £340 a month on household bills.

This includes electricity, gas, TV and broadband.


Childcare costs are on the rise with it now costing £137.69 per week for part-time nursery for a child under the age of two.

That’s over £550 per month - is this an amount you’d be able to keep up with if you were unable to work?

Becoming ill could also result in the need for additional childcare while you attend doctors’ appointments or medical treatment.


The average household in the UK spends around £97 a week on their food shop, totaling £388 a month.

While this may seem like a small amount in comparison to some of the other expenses mentioned, the food shop is often where we try to scrimp and save when we fall on hard times.

Income protection can take care of the cost of your weekly food shop, as well as many other essential costs.


At the beginning of 2020, credit card debt in the UK was at £2.1 billion, with almost 27 million UK residents in some kind of debt.

Becoming unable to work could make it hard to keep up with credit card or loan payments (including car finance or other financed goods).

Failure to keep up with payments could result in additional interest being incurred or late fees issues - resulting in a higher total needing to be paid.


The average spent on public transport each month comes to an average of £94.

This includes the cost of public transport, as well as petrol and diesel vehicles.

While this amount may reduce while you’re unable to work as you won’t need to commute there may be additional spending on public transportation if your illness or injury leaves you unable to drive.


Your total cover estimate

£ 0

Let us find your best quotes.

Do I need short-term income protection?

Whether you need short-term income protection will ultimately depend on your personal circumstances.

As short-term cover tends to be cheaper than long-term, it could be beneficial for those on a tight budget who want to take out some form of cover.

Alternatively, if you receive sick pay, a short-term income protection policy could help to provide an additional level of protection to ‘top up’ what you receive from your employer.

Assessing your current financial situation can help you establish whether short-term protection is right for you.

Alternatively, contact an expert at Reassured to receive personalised recommendations and fee free quotes.

Short-term income protection policy terms and conditions

While the specific terms and conditions offered will vary between insurers, there are some key terms you should be aware of:

Policy terminologyDefinition
Benefit amountThis is the amount that will be paid out on a monthly basis. It’s sometimes referred to as your monthly benefit or cover amount. Typically, it will be between 50% - 70% of your usual income (depending on the insurer) paid in monthly payments.
Policy termThis is how long your cover will last for. You can choose a policy term to meet your needs but, often, insurers will need your cover to cease by your 70th
Definition of incapacityWhat makes you eligible to make a claim. Most policies come with an own occupation definition, which means you can claim if you’re unable to do your job.
Deferred periodA specified period that must pass in order for your payments to commence. Typically, you have the options of 4, 8, 13, 26 and 52 weeks.
Payment periodHow long you’ll receive payments for. In the case of short-term cover, this will be a maximum of 1, 2 or 5 years.
Premium typeThis is how you pay for your cover. Typically, premiums are guaranteed, meaning the amount you pay wont change. However, it’s also possible to get reviewable (change over time) and age-based premiums (change overtime due to age).

To ensure you’re getting a policy with terms and conditions that best meet your needs, get in touch with Reassured.

A friendly member of the team can guide you through the application and explain all aspects of your chosen policy.

You’ll also have the opportunity to ask all the questions you need along the way.

How much is short-term income protection?

The price you pay for short-term income protection will vary depending on your personal circumstances.

During the application process, you’ll be required to provide information in order for insurers to calculate the cost of your monthly premium.

Details required during the application include:

  • Age
  • Smoking status
  • Health & wellbeing
  • Occupation
  • Lifestyle
  • Benefit amount
  • Policy term
  • Deferred period

The table below shows example quotes for a short-term income protection policy.

Quotes are based on a non-smoker, in good health, who earns £30,000 per year. The policy term is until age 65 with a 3 month deferred period and 12 month payment period:

AgePrice per month

Comparing quotes can help you find the best price on a policy that meets all your needs.

Save yourself time and money by comparing quotes through Reassured.

Quotes start from just 20p-a-day.

Does short-term income protection cover redundancy?

No, with short-term income protection you won’t be covered for any type of unemployment. This includes involuntary redundancy.

Income protection will cover you for illness and injury.

Often confused with income protection, Accident, Sickness and Unemployment (ASU) is a policy which provides short-term protection and could pay out due to unemployment.

However, you often aren’t required to provide medical information during the application which can cause complications when it comes to making a claim.

ASU isn’t available through Reassured, however you can compare multiple short-term income protection polices to find the right one for your needs.

What’s the difference between short-term vs long-term income protection?

The main difference between short-term and long-term income protection is the length of time you’ll receive payments for.

With a short-term income protection policy, you’ll receive payments for a maximum of 1, 2 or 5 years.

Whereas, with a long-term income protection policy, you have the potential to receive payments for the remainder of the policy term.

Another difference is the price you’ll pay for your premiums. Due to providing cover for a limited time, short-term income protection tends to be cheaper than long-term income protection.

The table below shows the price difference between a short-term and long-term income protection policy.

AgeShort-term income protection price per monthLong-term income protection price per month

All other policy terms and conditions will be the same, such as paying out up to 70% of your usual earnings.

Why not compare both short-term and long-term income protection, free of charge, through Reassured?

How much will short-term income protection pay out?

Short-term income protection could pay out up to 70% of your usual earnings in monthly (tax-free) payments.

Therefore, the exact amount you receive will depend on your income.

For example, if your yearly income was £50,000 and you have a policy that pays out at 60% for a maximum of 12 months, you could receive £2,500 each month.

Reassured can help you compare quotes from the UK’s leading insurers, some of which pay out up to 70% of your usual income.

Simply get in touch for your free quotes.

How to make a short-term income protection claim

If you’re diagnosed with an illness or sustain an injury that prevents you from working, you can make a claim on your policy.

To make a claim, you’ll need to contact your insurer directly. You should be able to find contact details/further instructions on your insurer’s website.

It’s likely that you’ll be sent a claims form which you will need to complete and send back.

You may also be asked to provide both medical evidence of your condition (such as a doctor’s note) and evidence of your earnings.

Once your insurer has all the correct information, your claim will be assessed.

When will short-term income protection pay out?

Income protection will start to pay out if you develop an illness/injury that prevents you from working.

Your condition will need to meet your policy’s definition of incapacity and must keep you off work for longer than your deferred period in order for payments to commence.

For example, if you opted for an 8 week deferred period, you would need to be unable to work for 8 weeks in order for your payments to commence.

When securing cover through a broker, like Reassured, you’ll have a dedicated expert to answer all your questions to ensure you understand your policy.

Compare short-term income protection

By comparing quotes you can secure the best deal on a short-term income protection policy that meets all your needs.

Reassured can help you compare quotes from the whole of the market, allowing you to find the best available deal.

You’ll also have access to a dedicated expert to answer your questions and provide you with personalised recommendations.

All quotes are fee-free and completely without obligation. But, the best part, you can secure short-term income protection from just 20p-a-day.

Simply get in touch for your free quotes.








Related articles:

Our customers love us
Trustpilot Star Rating

Very easy to understand and very quick

Yes very pleased with my choice very helpful easy to understand and very pleasant transaction all good!

Mrs M Rushworth

Very professional and reassuring

Very professional and reassuring. Life insurance sorted in about 10 minutes.

Stephen Davies

very courteous and friendly

very courteous and friendly. Polite professional and empathic.

Stedroy Fenton

Another happy customer

Another happy customer I am. They are very professional and kind. Fully communicative. I recommend.

Piotr Stepien

Really attentive during the call

Really attentive during the call, good clear guidance throughout. Well done.

Michael Reynolds

Amazing service

Amazing service quick fast and easy and Joey was a star on the phone really help me thanks.

Sera Woolley

I made the right choice and now I feel…

I made the right choice and now I feel relieved that I did.


Really genuine kind and compassionate…

Really genuine kind and compassionate team with great knowledge and friendly approach highly recommend them!

Katelia Merritt

I must say Jake took me through every…

I must say Jake took me through every step and was brilliant, recommend them anytime.

Allan Green

Very happy and everything explained…

Very happy and everything explained well, so glad a took the time to take the call, normally I would say I'm busy. But compared to other company's we save so much more money.

Jenny Berry
We’re rated as 'Excellent' with 78,529 customer reviews