Highly rated by our clients on independent reviews website reviews.co.uk

Highly rated by our clients on independent reviews website reviews.co.uk

Highly rated by our clients on reviews.co.uk

AEGON Income Protection Insurance

Income Protection Insurance.  Enjoy 3 Months' FREE cover

Fill in the form on this page with the code BL3MF to qualify for THREE MONTHS’ FREE COVER when you set up your income protection policy with us.

Aegon Income Protection Insurance – Introduction

On this page, you’ll find some key facts about Aegon Income Protection Insurance.

With over 3.5 million UK customers, Aegon was founded as Scottish Equitable in 1831.  Its headquarters is still in Edinburgh.  However, Dutch insurer Aegon NV bought a 40% stake in the business in 1994 and became a 100% stakeholder in 1998.

Aegon is a worldwide provider of protection products, pensions and asset management.  It operates in 25 countries

How Financially Strong is Aegon?

In a nutshell, Aegon is a long-established company, with Aegon NV, its parent company being one of the world’s ten largest insurance companies.  In the UK in 2016, Aegon paid out £123.4 million in Life, Critical Illness and Income Protection Claims.

Aegon Income Protection Insurance.  Your At-A-Glance Guide

Life moves on from year to year, full of ups and downs.

Sometimes, life surprises us, and Aegon offers a flexible range of products to take this into account.  To reflect this, you’ll be able to amend your cover with them to support any changes in your circumstances or lifestyle.

  • Aegon uses the “own occupation” definition of incapacity.
  • With Aegon, the monthly payment on an IP policy will never drop below £1,500 per month or the amount of cover in the plan.
  • With Aegon Income Protection Insurance, subject to residency requirements, your cover will always include a waiver of the premium period.
  • Proportionate benefit. If upon your return to work you can only return to a less challenging role (and a lower income), Aegon will top up your income to the full amount of benefit.
  • Rehabilitation benefit. Aegon could, subject to certain conditions top up your earnings should you only be able to return to work on a part-time basis.
  • State benefits. If you claim and receive state benefits, Aegon will take these into account. Normally, they will deduct this amount from your IP income in order to ensure that you don’t receive more than the monthly amount they allow with a claim.

Aegon Income Protection Insurance – Overview of Key Policy Details

Policy Type Income Protection
Premium Guaranteed and Reviewable
Maximum Claim Duration Unlimited (until the policy holder’s death or the policy cease age)
Incapacity Definition Own occupation for most occupations
Deferred Period 4/ 8 / 13 / 26 / 52 weeks
Indexation Optional.  Capped at a maximum of 10%
Waiver of Premium Automatic
Maximum Cover The lower of 55% of pre-incapacity earnings up to a maximum of £150k per year
Minimum Entry Age 18
Maximum Entry Age 59.  The policy holder must be no older than 70 years when the policy ends
Minimum Policy Term 5 years
Maximum Policy Term 51 years
Guaranteed Insurability If you’re changing your marital status, having a child or increasing your mortgage before 55 years there is no need for an extra medical.
Guarantee Benefit The lower of £1,500 per month or the amount of cover on the plan.

If your income has fallen, Aegon will promise to pay the lower of £1,500 or your maximum benefit.

Where the policy’s monthly benefit is lower than £1,500 and at the time of claiming 55% of the insured claimant’s monthly income is at least 90% of the monthly amount, the amount paid will be the benefit amount agreed.

Policy Exclusions Self-inflicted injuries resulting in incapacity.  Also, residency requirements (refer to policy exclusions below)

More Jargon-Free Information About Aegon Income Protection Insurance from Black Lion Insurance

We feel strongly that as a team of financial experts, we’re human beings first, and advisers second.  So, we know how confusing income protection insurance can be if you’re not sure what you need.

We want to make things easy for you.  Therefore, our team will never blind you with science – hence this easy-to-understand comparison guide below.  Give us a call on 0203 146 2259 if you need further information or help from us.

Key Points about Aegon

  • You can start your income protection cover with Aegon from 18 years old. This is the standard age for insurance products, but some insurers cover young people from the age of 16.
  • Aegon has an insurance benefit cap of £150,000 per year. That is, you will not receive more than this amount. Some insurers, however, offer larger benefits for higher earners.
  • Aegon income protection insurance offers a guaranteed benefit. This means that payments will never be less than £1,500 per month or the cover that’s on your plan.  This is handy because you may already be working part-time (with a reduced income) before you claim, due to ill health.
  • Aegon has a maximum 55% of gross income pre-incapacity earnings pay out. This is lower than Shepherds Friendly and British Friendly, for example.  You may want to ask the experts here at Black Lion Insurance if you need higher cover.
  • Aegon offers long-term benefit, which means that the pay out will continue until cease age if you claim, unless you die or cancel the insurance.

Income Protection Insurance. What Else Does Aegon Offer?

Health Assured.  Aegon offers a health and wellbeing service.  This provides you and your family with unbiased, impartial support on a comprehensive range of challenges and issues, whenever you need it during the life of the policy.

Policy Exclusions

All insurers have exclusions, some more robust than others.  Read through the following carefully.  When it comes to income protection, we want you to be forewarned and forearmed.  No nasty surprises…

  • Self-inflicted injuries
  • Travelling/Residency RestrictionsTravelling or living for 13 continuous weeks in any 52-week period in any countries outside of:
    • The UK (including the Channel Islands and the Isle of Man)
    • The other EU-27 countries and certain other western European countries (for example Liechtenstein, Norway and Iceland)
    • Turkey
    • North America
    • Australia and New Zealand
    • Or, travelling/residing in the above countries (apart from the UK) for more than 26 continuous weeks out of 52.

Do YOU need financial advice from Black Lion?

In our opinion, yes.

As with all insurance products, some providers may be more suitable for your needs than others.  Income protection is designed to keep you or the key people in your organisation financially afloat should illness strike, or in the case of an accident or death.

Our aim is to educate our clients as much as we can; we work daily with our income protection partners, including Aegon, and we’re well versed in in the nuances of each provider and the cover that they provide.

So yes, rather than spend hours researching what you think is the best income protection policy, but which may turn out not to be, come to us.

Again, rather than invest your precious time finding a policy with potentially over-steep premiums, come to us.  We may be able to offer you best-in-class options due to our negotiation power.

So, is Aegon income protection insurance right for you?  Contact Black Lion Insurance to find out.

And don’t forget…

Income Protection Insurance.  Enjoy 3 Months' FREE cover

Fill in the form on this page with the code BL3MF to qualify for THREE MONTHS’ FREE COVER when you set up your income protection policy with us.

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Do you need income protection insurance?

Income protection insurance would be vital to you if:

  • You are self-employed and would not be able to pay the bills if you were unable to work. It would ensure that you would be able to pay your bills if you were ill or injured.

 

  • You are the sole income provider and would not be able to pay the bills if you were unable to work. As the sole source of income, choosing income protection insurance is the best way to protect yourself and your family financially. Find the best policy for you, to ensure you can pay the bills and monthly outgoings if you suffered an accident or sickness that meant you could not work.

Income protection insurance is important to you if:

  • You are self-employed, and you don’t have a large amount of savings that you are happy to dip into. Consider taking out an accident and illness policy for maximum protection.

 

  • You are the sole income provider and your employer offers sick pay. Check what level of sick pay you would get from your employer before making a final decision about income protection insurance. Few companies offer long term sick pay beyond the Statutory Sick Pay, so it is important to have all the information in advance.

 

  • You live in a joint income household but are unsure if your partner would be able to cover the financial responsibilities. If your partner’s salary couldn’t cover the bills, then it would be worthwhile considering an income protection insurance policy.

How does an income protection insurance policy help when you need to claim?

You stop working due to an accident or illness, and stop earning an income.

You inform us, and we will guide you through the claims process with the insurer.

You will start to receive your monthly payout.

The monthly payout will continue for as long as your insurance policy covers.

What are your policy options?

Short-Term or Long-Term Protection
There are two types of accident and sickness insurance plans.
Short-term plans usually range from 6 months to 2 years. Long-term plans will pay out until you are well enough to go back to work, whether that’s 1 year or 10 years.
Deferred Period
A deferred period, or excess period, refers to the duration of time between stopping working, and when your insurance policy will start to pay out.
This can range from just a couple of days, up to a whole year. The standard length of time for most long-term insurance policies is 4 weeks.
Indexation
Indexation helps to protect your policy against inflation. Your monthly payments will increase each year, to reflect any increases in costs according to the Retail Prices Index (RPI).
Policy Cease Age
Your insurance policy cease age is how old you will be when the policy will end. This is normally the age you will retire at but could be older.
Maximum Pay-Out Period
This refers to the longest length of time that you can make a continuous claim on your income protection insurance. For short-term policies this could be from anything between 6 months to a couple of years. There are not usually restrictions with a long-term policy. You will receive payments until you are either able to return to work, or you reach your policy cease age.

What affects the costs of your policy ?

Monthly Payout

The higher your monthly payout amount, the higher your policy premium.

Deferred Period

The longer the length of time before your policy pays out, the cheaper your premium.

Medical History

Previous illnesses or injuries may increase policy premiums or be excluded from your cover.

Policy Cease Age

The longer the policy runs, the higher the premium will be.

Age

The older you are, the premium is likely to be higher.

The costs of your insurance depend on various factors.
The more you want to insure for each month, will subsequently increase your premium, as well as the length of the policy and your deferred period.
Your age can also play a role. The older you are, you are seen as more likely to make a claim and so your policy premium will reflect this.
It is important to declare any previous medical conditions or illnesses. Certain disorders may not be covered by your income insurance and others may mean you incur a higher premium.
You will also be asked about your smoking status. Smokers are deemed higher risk resulting in a higher cost for your insurance.

What our clients are saying

Black Lion insurance were great in helping me get through the countless jargon and pitfalls when it comes to setting up insurance. I was thankfully recommended to them by a colleague and they made the process seamless ensuring I have the most appropriate policy for me.
Thomas

I’m an IT contractor and I wasn’t sure if I was eligible for this cover, however, to my delight, not only could I have the cover, but I could pay it through my Ltd company. I was covered within an hour of getting in contact. Very prompt and informative service!
Sanjay P

Polite and very clear when explaining my product of interest. Happy to answer any questions and recap on areas that I wanted to ensure I understood clearly before committing. Didn’t feel pressured or rushed at any point and the chap was very pleasant.
Donna Rudd

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About Us

We are a dedicated team of financial advisers, with years of experience in guiding our clients to a solution that meets their specific needs. We specialise in helping both employed and self employed individuals, as well as business owners on a variety of solutions, which range from life insurance, income protection insurance, keyman insurance and shareholder protection insurance.

The guidance and/or advice contained within this website is subject to the UK regulatory regime, and is therefore targeted at consumers based in the UK.

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Black Lion Insurance & Black Lion Wealth are a Trading Style of PRG Protect Ltd

PRG Protect Ltd: Registered in England & Wales, No. 08286239.  Registered Office: 51 The Parade, Cardiff, South Glamorgan, Wales, CF24 3AB