is obvious that once you are in full retirement the need
for e.g. Income protection disappears as these forms of
insurances require that there actually is an income
(from employment) to protect! However, other form of
protection can prove very valuable.
And, it should also be remembered that whilst you are
still in employment and building up your retirement fund,
any reduction in your income will also likely affect
your pension provisions.
A brief summary
of some of the protection policies which are most relevant for
the retired and those likely to retire in the not too distant
future is given below :
► Life cover: level term
whole of life cover
► Income protection -
► Critical illness cover -
► Private medical cover /
insurance - PMI
Further details of each of these protection schemes can be found
by following the relevant links above.
Finding the right insurance or protection product may sound
quite straightforward these days with easy access to information
and availability of comprehensive price comparison sites on the
It is clear that most insurers compete on price and hope that
their customers do not read the insurance details in too much
detail and just rejoice in the fact that they found a 'bargain'.
It is with insurances as it is with so many other things in
life: you generally get (more or less) what you pay for. Having
said that, it is not uncommon that two insurances, which
essentially cover exactly the same, may differ in price with as
much as 50-100%.
That typically happens when one of the insurers is a ‘household’
name and as such perhaps inspires more trust in a potential
customer than a less well known, but equally respectable,
With most insurances the ‘devil is in the detail’
and relates to all the things which are not covered,
not included, sometimes excluded, omitted or
dependent on an excess which needs to be covered by the insured
before anything is paid out by the insurer.
The recent debacle regarding the Payment Protection Insurance
misselling scandal is a typical example of how high-street
Institutions may try to con unsuspecting customers into buying
expensive but highly inappropriate insurance products that they
have no need for.
Unless you really know what to look for in the policy papers it
is recommended that you seek independent professional advice
before you commit to paying often large monthly premiums over
long periods of time for some perceived ‘protection’ which may,
or may not, actually protect whatever it is that you want to
Don't be caught unprepared