Income Protection Insurance — Replace Your Income if You Cannot Work

Our specialty lies in providing tailor-made mortgage solutions for loans over £1 million. Our success is underpinned by our established relationships with private banks, mainstream banks, and specialist lenders. We pride ourselves on our personalised approach, understanding our clients’ unique profiles to match them with the right financial institution.  Our longstanding industry connections often enable us to unlock exclusive deals that transcend typical lending criteria. Clients looking for an expert mortgage broker value our proficiency and dedication to securing the best loan terms.

We thrive on sourcing unconventional mortgages, be it for non-standard property types, self-employment income, or foreign income sources. Mortgages are multifaceted, demanding a deep understanding of the market and strong banking relationships to secure the best deals. As a specialist in complex mortgages, we offer the expert knowledge and professional relationships essential to navigate these challenging scenarios. If there is a solution available for your complex mortgage needs, we will find it.

Our experience spans across a variety of asset classes and client types. From individuals looking to buy their trading premises to large organisations refinancing their commercial real estate portfolios.  We often engage multiple lenders simultaneously, presenting each deal with complete transparency.  As lenders are aware that they are in a competitive tendering process, we encourage the provision of the best possible rates. Our partners experience the difference that our client-centred approach makes in their commercial and real estate financing.

Navigating the complexities of buy to let mortgages can be demanding, particularly when faced with portfolio landlord criteria or seeking financing for an HMO or multi-unit block. As regulations for BTL Mortgages become increasingly complex, it’s more important than ever to have an expert broker to guide you through the diverse criteria on stress tests, property types, and portfolio restrictions. We demystify the complexities of BTL mortgages. We specialise in securing portfolio loans from multiple lenders, resulting in lower rates and higher leveraging.

Business owners encounter distinct challenges when pursuing mortgages, including the need to substantiate income and demonstrate stability. Our tailored mortgage solutions reflect the unique income structures of business owners. Traditional lenders tend to calculate their loan offers based on historical dividends, potentially underestimating the business owner’s real income. By partnering with us, you can take advantage of our expertise in sourcing mortgages designed for business owners. We carefully assess your income, liaising with lenders who consider your profit share, the latest year’s profit, or pre-tax profits to maximise your borrowing potential.

Sourcing the best bridging or development terms requires industry knowledge and expertise. Our team excels in sourcing deals for both non-experienced developers and seasoned professionals. We have access to low-rate bridging loans through strategic partnerships with building societies and private banks. Moreover, we specialise in arranging high-value self-build mortgages, ensuring that your financing needs are met throughout the entire development process. With our guidance, you can embark on your projects with confidence, secure in the knowledge that we will procure the most favourable rates and terms available.

At Onozzi, we understand that securing the best financing available for our clients is only part of the story. We work with our clients to build bespoke protection packages that are structured around their income, lifestyle, and aspirations for the future. With our discreet and personalised approach, our clients can rest assured that they have a tailored package, unique to them, that will protect their long-term financial interests. We are adept at building plans that cover a broad range of protection, including Income Protection, Business Protection, Family Income Benefit  &  Key Person Protection.

Income protection insurance pays you a monthly benefit if you are unable to work due to illness or injury. It is designed to replace a proportion of your lost income — typically up to 70% of your gross pre-claim earnings — for as long as you are unable to return to work, up to the policy end date (for long-term policies) or for the benefit period specified (for short-term policies). It is distinct from payment protection insurance (PPI), which covers specific debt repayments, and critical illness cover, which pays a lump sum on diagnosis of specified conditions.

The standard maximum benefit is 70% of your gross income. The right level depends on your regular financial commitments — primarily your mortgage or rent, essential household outgoings, and any other fixed financial obligations. As a starting point, calculate the minimum monthly income that would allow you to maintain your mortgage and essential outgoings, then consider whether you want additional income replacement beyond that. We will work through this calculation with you at the first conversation.

Yes. Income protection for the self-employed is one of the most important policies you can hold — because if you cannot work, there is no employer sick pay to bridge the gap. Specialist insurers assess self-employed income on your average trading income over the previous 12 to 24 months. We arrange own occupation income protection for the self-employed with short deferred periods (from 4 weeks) so that the policy starts paying before your reserves are exhausted.

The deferred period is the length of time you must be continuously unable to work before the policy begins to pay. Common options are 4 weeks, 8 weeks, 13 weeks, 26 weeks, and 52 weeks. A shorter deferred period means the policy pays sooner but costs more in premium. The right choice depends on how long you could sustain your financial commitments from savings or employer sick pay before you need the policy to pay. For the self-employed and contractors with no employer sick pay, a 4 or 8 week deferred period is typically appropriate. For employees with 3 or 6 months of employer sick pay, a deferred period aligned to that point is often the most cost-effective option.

Own occupation income protection pays if you are unable to perform the specific duties of your own occupation — the job you actually do. This contrasts with ‘any occupation’ policies (which pay only if you cannot do any work at all) and ‘suited occupation’ policies (which pay if you cannot do work suited to your skills and experience). Own occupation is the most favourable definition and is available for most professional occupations.

For personally owned and personally paid income protection policies, the monthly benefit is paid free of income tax. This is why benefit levels are capped at 70% of gross income — a tax-free benefit of 70% of gross is equivalent to approximately your net income in most tax brackets. For executive income protection policies paid by an employer, the benefit may be treated differently for tax purposes.

Income protection pays a regular monthly income for as long as you are unable to work due to any illness or injury that prevents you working. Critical illness cover pays a single lump sum on diagnosis of a specified condition — typically cancer, heart attack, or stroke — regardless of whether you can work. The two products serve different purposes and are often held alongside each other. Income protection addresses the ongoing income replacement need; critical illness cover addresses one-off costs such as mortgage payoff, adaptations to your home, or funding a period of private treatment.