1. Visiting from the US? Why not try DIYnot.US instead? Click here to continue to DIYnot.US.
    Dismiss Notice

Should I get insurance in case builder injures himself?

Discussion in 'Trade Talk' started by dumdum, 7 Jul 2019.

  1. Bodd

    Bodd

    Joined:
    7 Aug 2009
    Messages:
    6,918
    Thanks Received:
    268
    Location:
    Essex
    Country:
    United Kingdom

    I realise this.... At first I was beating myself up for not having the right cover...
    But in all honesty I'm no worse off as I've just changed the way I work. Just getting the work in and managing the trades and organising. No manual work.
     
  2. Bodd

    Bodd

    Joined:
    7 Aug 2009
    Messages:
    6,918
    Thanks Received:
    268
    Location:
    Essex
    Country:
    United Kingdom

    I have this but not much to write home about.
     
    • Thanks Thanks x 1
  3. JohnD

    JohnD

    Joined:
    15 Nov 2005
    Messages:
    58,447
    Thanks Received:
    2,990
    Location:
    21st Century
    Country:
    Cook Islands
    When I stopped being an employee and set up in business on my own, I took out Permanent Health Insurance, with cover for being unable to do my Own Job. This is important, because if you are, say, a lumberjack who loses an arm, or a pilot who loses his sight, you might still be capable of doing something, but suffer a terrible drop in earnings. I took one policy that paid out after three months (enough to pay the bills) and one that paid out after six months (enough to live decently) because most people who are severely ill or badly injured get better (or die) so this reduces the cost to the insurers. The longer the waiting period, the cheaper the premium.

    The monthly premium cost is calculated as a percentage of the monthly benefit, varying with your age and the risks of your occupation.

    If you are unlucky enough to need to claim, the money rolls in monthly like a salary, until IIRC, retirement age, or you get better, or die.

    In my case I went for index linking of benefit and premium. Premiums not charged during period of disability.

    I chose that rather than Critical Illness because my thinking was that if I was insured against 99 diseases, I'd be unlucky enough to catch the hundredth.

    Some people say that the cost of this cover is too expensive.
     
  4. JohnD

    JohnD

    Joined:
    15 Nov 2005
    Messages:
    58,447
    Thanks Received:
    2,990
    Location:
    21st Century
    Country:
    Cook Islands
    I found this old article
    https://www.thisismoney.co.uk/money/bills/article-1583955/Permanent-health-insurance.html


    I suspect the intermediaries make a fat wedge of commission.

    I got some trade magazine for IFAs which had tables of costs

    If you haven't got a rich wife, you need to have enough savings tucked away to see you through short illness or accident. Remember you may be unlucky and unable to do paperwork, or even to speak, so unable to sort things out yourself.
     
  5. Bodd

    Bodd

    Joined:
    7 Aug 2009
    Messages:
    6,918
    Thanks Received:
    268
    Location:
    Essex
    Country:
    United Kingdom

    Thanks John I'll look at that this week.
     
  6. FiremanT

    FiremanT

    Joined:
    16 Jan 2012
    Messages:
    7,549
    Thanks Received:
    1,372
    Location:
    Uk
    Country:
    United Kingdom
    Have you ever actually claimed on the policy, John?



    Everything you said I agree with (I KNOW! :). ). Except for the payment until retirement - I have never seen that, although, obviously, I may be wrong.
     
  7. JohnD

    JohnD

    Joined:
    15 Nov 2005
    Messages:
    58,447
    Thanks Received:
    2,990
    Location:
    21st Century
    Country:
    Cook Islands
    Yes.
     
Loading...

Share This Page