Can zero-hours contract workers get income protection?
Yes — income protection is available to workers on zero-hours contracts, though it requires more care than for salaried employees. The key challenge is proving and quantifying your income to an insurer.
How do insurers calculate the benefit for variable income?
Most insurers will use an average of your earnings over the past 12 months (evidenced by bank statements, P60, or self-assessment returns) to calculate the maximum benefit you can insure. If your income is very erratic, some insurers may use a lower figure.
No sick pay safety net
Zero-hours workers may only qualify for Statutory Sick Pay (£123.25/week as of 2025/26) — and only if they earn above the lower earnings limit. Many zero-hours workers receive nothing from their employer when unable to work. Income protection fills this gap with a tax-free monthly benefit.
Choosing the right deferred period
With no employer sick pay, a short deferred period (4 or 8 weeks) is usually the right choice. This ensures you receive income protection payments quickly after becoming unable to work.
Frequently Asked Questions
Use payslips, bank statements, and your P60 or tax return to evidence average earnings over the past 12 months. Most insurers accept this approach.
Yes — if you pay your premiums personally (not through an employer), income protection benefits are paid free of income tax.