Client sites, trains and hotel rooms
Consultants often spend much of the week away from home, at client offices, on early trains or in hotels. The work involves analysis, workshops and presentations, usually against tight deadlines and with clients who expect answers quickly.
Physical risk is low, but the lifestyle can take a toll. Long hours, travel and time away from family wear down mental health. Hours hunched over a laptop in transit lead to back and neck problems, and irregular meals and poor sleep do not help. Income protection can pay a monthly benefit if illness or injury keeps you from working.
Large firm or independent
Consultants at large firms often receive sick pay, group income protection and death in service. Read the scheme rules: group benefits may pay for a limited time and stop when you leave, and many consultants leave to go independent.
Independent consultants are paid by the day or the project. If you work through your own limited company, your income may be a mix of salary and dividends, and the company can pay for executive income protection and relevant life cover on your behalf.
- Employed: check sick pay and group schemes
- Independent: plan for no income from day one
- Limited company: compare personal and company-paid cover
Engagements, gaps and proving your earnings
Independent work often comes in engagements of a few months with breaks in between. Insurers usually average your earnings over recent years of accounts, so a quiet patch does not wipe out your benefit. Tidy books help at application and at claim.
Ask how a policy treats someone who falls ill between engagements. Many insurers assess you against your usual occupation if the gap is short, but it is better to know before you buy.
Travel and the insurer's view of consultancy
Insurers place consultants in lower-risk occupation groups, which helps both price and the definition on offer. Regular travel to some regions abroad may lead to extra questions or an exclusion for time spent there.
Mention your typical travel pattern on the application. Business trips to common destinations rarely change anything, but the insurer needs to know.
Life cover and how we support consultants
Life insurance can pay off the mortgage or replace income for a partner and children. If you are a director of your own consultancy, relevant life cover lets the company pay for it.
We look at how you are paid, how much you travel and what benefits you already have. Then we compare the insurers on our panel and recommend cover that fits your working life.