Own Income Protection
What Does Own Income Protection Mean?
Own income protection is a type of disability insurance coverage in which the policyholder will receive disability benefits if they incur a disability that prevents them from fulfilling their normal occupation.
Own income protection is an alternative to any income protection, which provides benefits if the disability prevents the insured from performing any occupation, not just their own.
Insuranceopedia Explains Own Income Protection
Own income and any income protection is an important distinction for disability insurance policies. Which one is part of the policy will determine when the benefits kick in and when they are withheld.
Own income protection is the more comprehensive of the two types of coverage. Because it provides benefits even if the insured can still find some form of employment, it provides coverage even for less severe disabilities. It also relieves the uncertainty and challenge associated with finding a new line of work that accommodates the insured's newly acquired disability.