As self-employed contractors, protecting your income should be a top priority. Income protection insurance is a policy that offers a steady stream of income in the case of sickness or accident, allowing you to keep paying bills while still managing to survive financially. It's a critical form of financial protection for self-employed individuals who don't have much of a safety net and, as such, can be hugely beneficial for such individuals now and in the future.

Income protection insurance shields you from the risks of self-employment by offering regular payments for an agreed time in the event that you’re unable to work due to an accident or illness. This ensures customers have a steady and reliable income to support themselves and their families.

One of the primary benefits of income protection insurance is that it allows self-employed individuals to keep their cash flow going should they be unable to work. That means they don't have to worry about their expenses, such as rent or mortgage payments, while they are off work – essential, given the fact that the self-employed can’t access state benefits in the same way that an employed individual can. This is particularly beneficial for those self-employed that have no other source of income, such as freelancers.

Income protection insurance can also offer peace of mind to self-employed individuals who typically rely on short-term projects and contracts. Knowing that they have an income source to fall back on – regardless of any disruptions – can help take the pressure off financially and reduce the risk of financial stress.

Additionally, income protection can also provide self-employed individuals with a sense of security. Knowing that funds will flow in regularly, even when unable to work, allows contractors to relax, and concentrate on getting better.

On top of all of that, the premiums for income protection insurance are usually highly competitive and cost-effective when compared to the financial protection that it can provide.

All in all, self employed individuals can greatly benefit from income protection insurance. By providing supplementary income when unable to work, it is a form of financial security, allowing you feel protected against the risks of the self-employment.