One in five UK workers lack financial safety net

According to research by provider Scottish Widows, 23% of workers admit that any savings they have would not last longer than a couple of months if they were absent from work through long term illness or injury. Despite this, a surprising number are without any sort of income protection. In fact, of all those asked, less than one in 20 had cover in place to protect their finances if the worst was to happen.

The poll by Scottish Widows asked 5,000 people about their finances, revealing attitudes and general knowledge regarding protection.

More than 4 in 5 people had heard of life insurance, income protection and critical illness, yet just one in 10 have a critical illness policy.

Currently in the UK people are more likely to protect their home than their income, with almost half of those polled saying that they had chosen to take out home insurance.

More startling, 8 out of 10 considered broadband crucial for daily living and 7 in 10 believed mobile phones were also a vital lifestyle choice. But only 4 in 10 saw providing financial security for their family in the event of death as essential, which is a drop from 5 in 10 four years ago.

Despite one in seven of those surveyed saying that they had been affected by critical illness, the UK is still a considerably unprotected nation. That is why providers are working hard to create added-value benefits to their policies to give people the best chance to protect themselves.