Furthermore, if you are classed as self-employed you will receive very little assistance from the State if you weren't able to work. The ideal solution would be to have an insurance that will support you in these circumstances. This is where accident, sickness and unemployment insurance (ASU) comes in.
Accident, Sickness and Unemployment insurance (ASU) can also be referred to as mortgage payment protection or income protection and will provide you with an income to meet some of your outgoings if you are off work sick, have an accident or are made redundant. It pays out a monthly benefit to cover your mortgage and other related costs. When you apply for credit you will often find that an income protection product is quoted along with the loan details, but it is never compulsory and you can often get a much cheaper deal elsewhere.
You may choose the amount of benefit you would like to receive - although there are some limits on the maximum amount. The premium will be a percentage of the amount of monthly benefit you would like to receive. Benefits are usually payable for a maximum of 12 months.
Some policies will also allow you to choose whether you want to receive benefits for accident and sickness only, unemployment only, or all three. Most policies will also have a 'deferment period'. This is the period of time you will have to wait after losing your source of income until you may claim the policy benefit.
freelancesupermarket.com members have access to brokers who specialise in this type of insurance.