The global Coronavirus pandemic has affected families and businesses with tragic consequences. When the world was hoping that the worst is behind us, a new variant of COVID-19, Omicron spread rapidly across the world. Omicron is a highly infectious virus strain affecting large sections of the population. Recently however, whilst the rate of infections, due to Omicron, has risen significantly, it appears that severe reactions and deaths in the UK have not increased to the same extent. The pandemic also had severe economic repercussions. We have lived through some very tough times over the last 2 years as the COVID-19 pandemic raged across the world.
Vaccines have played a critical role in the fight against COVID. There is sufficient data from around the world to suggest that COVID vaccines substantially reduce instances of hospitalizations and fatalities. More than 90% of the eligible population (age over 12 years) in the U.K have received at least one dose of the vaccines and more than 80% of the eligible population have received at least 2 doses. 60% of the eligible population have also received the booster dose (source: BBC). More than 60% of the world’s population has received at least one dose of the vaccine (source: New York Times); vaccines are helping the world community to come out of this pandemic.
Accident, Sickness and Unemployment Insurance
The repeated COVID waves over the last 2 years leads us to believe that we may have to learn to live with this virus for some time. The virus keeps mutating and the effect of the vaccines wear off after sometime. We have also seen that the virus can cause serious illness especially among people who have certain pre-existing illnesses. Some people may suffer from, what is commonly known as long COVID, where the patient may take a long time (e.g. a few months) to fully recover even though they may have tested negative after getting COVID. COVID can also trigger medical complications especially in patients who have pre-existing illness. You should protect yourself financially by getting Income Protection Insurance which provides cover in case you are unable to work due to accident or sickness.
COVID-19 caused severe disruption in the labour market due to lockdowns and other restrictions legislated by the Government to control the spread of the disease. The Government supported employees who were furloughed by paying up to 80% of their wages in the initial months of the pandemic. The Government’s benefits for individuals have now been withdrawn. The Government has also lifted the restrictions and economic activity is expected to return to pre COVID levels. However, there are lingering concerns regarding future COVID waves and the longer term impact of COVID on certain sectors of the economy. Accident, sickness and unemployment (ASU) insurance can provide monthly benefits if you suffered an involuntary loss of employment. ASU insurance can lessen financial distress if you lose your employment, especially if you have financial liabilities e.g. student loans, credit card loans, mortgage etc.
Mortgage Payment Protection Insurance
During the first COVID wave, the Government provided relief to homeowners by asking banks, building societies and other lenders to offer a mortgage payment holiday. The mortgage payment holiday has been withdrawn. Loss of income due to accident, sickness or involuntary unemployment can put homeowners at risk with regards to their mortgage payments; if you are unable to make mortgage payments for a prolonged period of time, you could lose your home unless the lender agrees to provide you some relief. Mortgage Payment Protection Insurance can cover your mortgage payments (partially or in full) if you are prevented from earning due to accident, sickness or involuntary unemployment.
Conclusion
Though we hope that the worst of COVID is behind us, there are possibilities of recurrence of the pandemic in the future as the virus keeps mutating. Many health experts believe that we may have to live with COVID for a fairly long time, even if the disease becomes endemic instead of being a pandemic. Even if you have had the disease and / or got the vaccine and booster, you still have the risk of getting COVID. You should protect yourself financially from COVID and other risks that prevent you from working due to accident, sickness and unemployment. Realm Protection has resumed offering short term income protection (ASU) insurance from January 2022. Click on the "Products" page of the website to know more about the Realm Income Protection and Mortgage Payment Protection products.