Pensions have been the hot topic recently following the budget in March. We have a flurry of blogs covering some of the pension debates.On a similar basis, protection for the family from the State has been changing shape over the last few years, but on a more gradual basis.

In the face of our current economic position in the UK and the coalition government’s deficit reduction, the DWP budget has to be controlled carefully in future. Ian Duncan Smith, Secretary of State for Work and Pensions, has been trying to upgrade the benefit system for years.

In comparison with pensions I think the message is clear – don’t just rely on the State if you want a decent level of protection for your family. As with pensions the State wants you to take more responsibility for protecting yourself and your family.

Any provision from the State now would be at a very low level. On the breadline?

If we put Private Medical Insurance to one side as more of a luxury product this would leave us three key areas for protection, life cover, income protection and critical or serious illness cover. With these in place you can protect yourself and your family.

The priority for you will be dependent on what your current situation is, what benefits you receive from work (if any) and what your objectives are.

Types of cover, sums assured required and term of cover will vary on a case by case basis. The cover can be arranged on a personal basis or if you run your own business it may be more tax efficient and lower cost to arrange some protection through your business.

Plan A might be for you to retire on a substantial income with significant assets for you to use to generate income. What happens if Plan A does not work? How will you and your family fare?

Please contact us to help us put contingency plans in place for you. Click here.