Does Income Protection Cover Mental Health?

Direct Answer

Yes, income protection covers mental health conditions. Most policies pay out if you can't work due to depression, anxiety, stress, or other mental health issues. Mental health claims now account for 15-20% of all IP claims. If you have a history of mental health issues, you can usually still get cover—possibly with an exclusion or higher premium.

Mental Health Claims Are Increasing

Mental health is now one of the leading causes of income protection claims in the UK. Industry data shows:

15-20%

of all income protection claims are now for mental health conditions

85%+

of mental health claims are paid by major insurers

What Mental Health Conditions Are Covered?

Most income protection policies cover:

  • Depression (major depressive disorder)
  • Anxiety disorders (generalised anxiety, panic disorder)
  • Stress-related illness (burnout, work-related stress)
  • PTSD (post-traumatic stress disorder)
  • Bipolar disorder
  • Other psychiatric conditions that prevent work

The key requirement is that a medical professional must certify you're unable to work due to your mental health condition.

Getting Cover with Mental Health History

If you have a history of depression, anxiety, or other mental health conditions, you can usually still get income protection. Here's what to expect:

Your SituationLikely Outcome
Mild episode 5+ years ago, no treatment nowOften standard terms
Moderate episode 2-5 years agoMay have exclusion or small loading
Currently on medication (stable)Exclusion likely, some offer full cover
Recent episode or hospitalisationMay be postponed, or specialist insurer

Understanding Mental Health Exclusions

If your policy has a mental health exclusion, it means:

  • You won't be covered if you can't work specifically due to mental health
  • You will be covered for all other conditions (cancer, heart problems, accidents, etc.)
  • Premiums will typically be at standard rates

Is an Exclusion Worth It?

Many people accept a mental health exclusion to get affordable cover. You're protected against everything else—accidents, physical illness, cancer. The exclusion only affects claims for a condition you already know about and can manage.

Tips for Applying

1. Be Completely Honest

Declare all mental health history. Non-disclosure is the top reason claims get declined. Insurers will access your GP records when you claim.

2. Use a Specialist Broker

We know which insurers are more favourable for mental health history and can often get informal terms before formal application.

3. Provide Context

Explain circumstances if relevant—reactive depression after bereavement is viewed differently than recurring episodes with no clear trigger.

Frequently Asked Questions

Does income protection cover mental health?

Yes, most income protection policies cover mental health conditions including depression, anxiety, and stress. If you can't work due to a mental health condition, your policy will typically pay out.

Can I get income protection if I have a history of depression?

Yes, you can usually get cover. Options include standard terms (if historical), cover with mental health exclusion, or higher premiums depending on severity and recency.

Will my mental health history affect my premiums?

It may. Recent or severe conditions typically result in higher premiums or exclusion. Historical mild episodes (5+ years ago) often have minimal impact.

Related Topics

Paul Youe
CeMAP, CeRER
15 Years Experience

Content reviewed: January 2026

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