Income Protection for Self-Employed Workers (2026)
Freelancers don’t get sick pay. If illness, injury, or unexpected events prevent you from working, your income can vanish overnight.
Income Protection Insurance (IPI) is a safety net that provides monthly payments to replace lost earnings, helping you stay afloat during downtime.
❓ What Does Income Protection Cover?
Income Protection typically covers:
- Illness that stops you working
- Injury that prevents you performing freelance tasks
- Partial cover for reduced hours
- Some policies include rehabilitation support or return-to-work programs
Not covered:
- Short-term absences under waiting period
- Pre-existing conditions (check your policy carefully)
- Voluntary time off or holidays
👉 If you want to compare insurance providers, check our new 2026 guide: Compare Insurance Providers for 2026
👤 Who Needs Income Protection?
Almost any freelancer or self-employed worker whose income relies solely on their own labour should consider this insurance:
- Consultants & coaches
- Designers & developers
- Photographers & videographers
- Tradespeople
- Therapists & wellbeing professionals
- Writers & content creators
If a single month of missed work would impact your finances, Income Protection is essential.
💷 How Much Does Income Protection Cost in 2026?
Typical costs:
£15–£40/month, depending on:
- Age
- Occupation risk level
- Cover amount & waiting period
Example: £20/month for £1,500/month replacement income after a 30-day waiting period.
🛡️ How Much Cover Do You Need?
- Usually 50–70% of your average monthly income
- Set the waiting period (30–90 days) based on your savings buffer
- Longer waiting periods = lower premiums
⭐ Recommended Provider
PolicyBee offers tailored Income Protection for freelancers and small business owners:
- Flexible monthly cover
- Online quotes in minutes
- Option to bundle with PL, PI, or tools insurance
✅ Conclusion
Income Protection is one of the most overlooked but vital policies for freelancers. Unlike sick pay, it keeps money coming in when you cannot work, protecting your lifestyle and business stability.
Pair it with Public Liability, Professional Indemnity, and Tools Insurance for full protection of your freelance business in 2026.
Read next:
👉 Public Liability Insurance for Freelancers
👉 Professional Indemnity Insurance for Freelancers
👉 Tools & Equipment Insurance for Freelancers