Frequently Asked Questions (FAQ)

1. I work as a Software Engineer and I am a Director of my own Limited company. I pay myself and monthly salary of £1000 gross each month and then dividends on top of that. Would I be classed as 'Employed' or 'Self Employed'?

You would be considered as Employed and would be eligible for either Personal or Executive Income Protection

2. How would my income in the 'last 12 months' be calculated? Would it be Gross Salary and Dividends?

Yes, it would be Gross Salary + Dividends

3. I do not have three years accounts as proof of income am I still eligible?

You can declare the past two years of income and an average level would be considered as the level of annual income

4. Sometimes I, do not work for 3 or 4 months, but continue to pay myself the monthly salary. Would this still be defined as being 'employed' especially in relation to the 'you cannot claim if you are not in paid work when you become incapacitated unless you have notified us that you wish to take a 'career break' or 'cover while not in occupation'.

If you are receiving salary from the company you would still be classed as employed

5. Would the receipt of a dividend be permitted while in receipt of benefit?

The amount would be taken into account when paying the benefit as you could not receive more than 50% of your pre-claims earnings in total

6. When would payments start following a successful claim, is this 1 month after the end of the deferment period?

Yes, payments are made monthly in arrears

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