Income-protection insurance: Unemployment due to illness on the rise

Two million people are not seeking employment because of long-term illness, according to a new report from charity-led campaign Seven Families

Millions of people would be unable to manage financially if they lost their job, warns a new report from the charity-led campaign Seven Families, which aims to raise awareness of the importance of income-protection insurance.

The report reveals that the number of people out of work due to ill health has climbed by 62,000 in the past year, meaning 2 million people are not seeking employment because of long-term illness.

Shockingly a fifth of workers mistakenly believe the state would provide enough financial support to maintain their lifestyle if they couldn't work, despite the benefits system being in decline. A further fifth have never given any thought to whether the state would support them.

"The benefits system is being cut back to balance the economy, yet some people have an unwavering belief that they will always be looked after if they can't work," said Peter Le Beau of Seven Families.

"The reality is often that people would struggle to pay their mortgage, rent or the day-to-day bills if they suddenly had to rely solely on benefits."

For more about the campaign go to facebook.com/7Families.