If you already have health insurance, do you need personal protection insurance? We explore personal injury protection vs health insurance for business owners.
When it comes to protecting yourself and your business, insurance is one of the most vital tools you can use. However, it can be challenging to unpick all the different types of insurance it is prudent to take out. One of the most common concerns is whether you require personal injury protection (otherwise known as income protection insurance) when you already have health or medical insurance. Here, we take a look at what these two types of insurance cover and assess personal injury protection vs health insurance.
What does health insurance cover?
Private medical insurance is available to cover your ongoing healthcare requirements, both now and in the future – it can be offered by employers or taken out by private individuals. Not all health insurance policies cover the same kinds of medical treatment, but the basic principle of taking out private medical insurance is that you will be able to access care more quickly than if you were to go through the NHS. This can be exceptionally beneficial for employers to offer their staff, as it can cut waiting times and result in less time lost to sick days and medical leave. Health insurance works alongside the NHS to offer the best healthcare possible, and you can find plans which cover both medical and dental, mental health and wellbeing, long-term sickness, and unexpected injuries or accidents.
What does personal injury protection cover?
Since you have a health insurance policy already, it is completely understandable that you might not consider the need for personal injury protection cover. However, even though health insurance covers either some or all of the costs of your medical care as it occurs, if you need to take time away from work, this is not covered. Personal injury protection or income protection is designed to cover your financial needs while you are unwell or recovering from an illness or injury.
This can also be a useful cover for employers who need to pay employees who are unable to attend work due to sickness or injury – employers looking to cover losses caused by employee sick pay can benefit from executive income protection which is very useful for businesses of all sizes, but especially smaller businesses with less room for losses. Having this in place could mean you will have enough financial security to be able to cover a temporary replacement staff member in the interim, or similar.
Do you need self employed income protection insurance?
Income protection insurance can be valuable for those who run their own businesses, as self-employed income protection insurance can provide you with the financial support you need during any downtime. This means that you are not reliant on savings or potentially even trying to make claims from the government, which could be impossible depending on your business position and personal/business finances. With many freelancers reluctant to take time off work, this can help to keep your business afloat when you have no choice but to not work. Whether you are a freelancer or a sole trader, or just someone who runs a small business with minimal staff, even a few days off work can cause major financial issues – so protecting yourself in this way is extremely prudent.
Personal injury protection vs health insurance
When it comes to personal injury protection vs health insurance, which is the best option for you? In many cases, it is best to cover yourself fully with both personal injury protection to protect your income and health insurance or medical insurance to better cover your healthcare needs. Personal injury protection or income protection can be especially valuable for those who are self-employed sole traders and pay for their own health insurance, though it can be an excellent investment and peace of mind for business owners at all levels.
Get in touch
Whether you are an employer or you own your own business, being protected by the right insurance is always vital. If you would like to know more about the insurance options that are available to you, then get in touch with WIS Business Protection. We are able to offer expert advice when it comes to protecting your business, helping you to find the best deals on insurance through our specialist support. We have expertise in relevant life insurance and executive income protection – so let us know how we can help you further.