The importance of protecting yourself with IR35 being rolled out to the private sector

15th November 2018

As you are well aware, during the 2018 Autumn Budget, it was announced that IR35 will be rolled out to the private sector in 2020. This could mean that Contractors will be faced with paying the same tax and national insurance contributions as regular full-time employees, without enjoying employee benefits. It’s down to you, as a Contractor and self employed individual, to safeguard yourself from life’s inevitable challenges. With that in mind, here are the products we recommend to best protect yourself in your working life.   


Income Protection 

If you can’t work, you can’t earn – unless you have Income Protection. As described, regular employees will have the benefit of receiving sick pay if they fall ill and unable to work. As a Contractor, you do not have this luxury. Having Income Protection in place will ensure that if you are to fall ill, you will continue to receive a regular wage until you are well enough to return to work. Meaning your bills and regular payments will be covered without any stress.


Health Insurance 

No one likes falling ill but when you are a Contractor, it could cost you a lot of money. The long waiting times at standard NHS services are a factor in this and could prevent you from getting back on your feet as soon as possible. It’s also not guaranteed that they would be able to deal with your conditions. Private Health Insurance will pay for medical treatment, without being placed on a waiting list, and covers you for most medical tests, consultant’s fees and essential surgery if it’s needed. It can also provide you with medication not available on the NHS, so even if your condition is unique you can still be covered.


Critical Illness cover 

As a Contractor, you can only earn money if you’re fit and healthy enough to work. If you sadly experience a long-term critical illness and are unable to work for a significant amount of time, or indefinitely, you’ll want to ensure you can keep you and your family’s heads above water. Critical Illness cover provides a tax-free one-off payment to do just that.


With all of these insurances, it’s important that you work with an adviser who will take time to listen and understands your specific needs. Our specialist advisers can guide you through the range of insurances we offer to find you the best deal and protect your finances, whether you are deemed inside or outside of IR35.


All content is accurate at the time of publication

Related Articles

What insurance should I have in place as...

  Whether you’ve just started contracting, have been contracting for some time or are thinking about going down the contracting...

Read More

Contractors: You can now contribute to the IR35...

  Two months ahead of the implementation date of off-payroll tax in the private sector, the House of Lords Finance...

Read More

IR35 legislation for the private sector
IR35 legislation for the private sector is going...

  This week a disappointing blow came to the contracting community and those who have been desperately campaigning to stop...

Read More

Get in touch

Speak to an expert

For free personal advice

01202 700053

Email us