Income Protection vs Critical Illness Cover (UK): What’s the Difference?

TL;DR

Income protection pays a monthly income if you can’t work due to illness or injury. Critical illness cover pays a one‑off lump sum after a qualifying diagnosis. If your main worry is being off work for months or years, income protection is usually the better fit; critical illness is often used to reduce big debts like a mortgage.

This guide explains everything you need to know about this type of cover, including how it works, what affects the cost, and whether it's right for your situation. Our FCA-regulated advisers can help you compare options from leading UK providers.

Key Points

Pays you regularly while you're medically unable to work
Typically covers 50-70% of your gross salary
Payments continue until you recover, retire, or the policy ends
Can cover almost any illness or injury that prevents work

Who Is This For?

This information is particularly relevant if you're self-employed, a contractor, or anyone without comprehensive employer sick pay. If losing your income would affect your ability to pay bills, rent, or mortgage, income protection provides a financial safety net.

Next Steps

Our FCA-regulated advisers can help you find the right income protection policy for your circumstances. We compare the whole market to find cover that fits your budget and needs.