Income Replacement

• "Income replacement" refers to an insurance policy that will provide a certain income for a period of time in the event of sickness, accident or redundancy. The policy can cover just one, or both the first and second wage earners. Cover may also be available for self-employed borrowers.

These, or similar, policies are also sometimes referred to as Accident, Sickness and Unemployment (ASU) policies or Payment Protection Insurance (PPI).

The details of income replacement policies vary from insurer to insurer and from policy to policy.