Zurich UK has announced a range of enhancements to its Income Protection proposition, introducing new features designed to improve coverage, certainty, and clarity for customers at the point of claim.

The newly upgraded income protection product includes:

• Updated income replacement ratios – Covering 65% of the first £60,000 of income and 45% of any earnings above that threshold, ensuring income protection for both lower and higher earners.
• Maximum and Minimum Benefit Guarantees – Helping customers manage the risk of over-insurance while providing financial security for those with fluctuating income levels.
• Enhanced rehabilitation support – Customers recovering from illness or injury will be eligible for a Return to Work Package and linked claims.
• Sick pay matching for medical professionals – Cover aligns with the NHS sick pay structure, regardless of years of service, extending protection to a wider range of healthcare workers.
• Support for customers not in work when falling ill – Features such as Sabbatical Cover, Maternity, Paternity and Adoption Benefit, Own Occupation Guarantee, and House Person Benefit offer protection even during employment gaps.
• More certainty around income assessment at claim – Particularly for customers who fall ill within the first year of a new job.
• Fixed payments under the Income Protection Enhanced module – Ensuring customers receive guaranteed payments with improved coverage options.
• Greater flexibility – Allowing policyholders to adjust their cover in line with life changes and evolving financial needs.

Zurich says its enhancements have been guided by direct input from advisers and customers. The insurer conducted adviser consultations to identify the most valuable features, balancing functionality with affordability.

Additionally, Zurich carried out in-depth consumer testing to improve Terms & Conditions (T&Cs) and Key Facts Documents (KFDs). Situational examples have now been added to KFDs to illustrate payout amounts, claim processes, and guarantee mechanisms, enhancing customer understanding before purchasing a policy. Previously, these examples were only available in the full policy documents.

Zurich has also developed an animated explainer video to help advisers communicate the importance of income protection more effectively. The video illustrates the impact of having vs. not having income protection by following the experiences of a stroke survivor.

Louise Colley, director of retail protection at Zurich, said: “We really wanted to deliver a product that truly meets the needs of our customers and adapts to people’s changing work patterns and incomes. By working with advisers to make changes that are relevant, we’ve created a proposition that supports customers with their life choices. Any cover needs to be reactive to changing scenarios and provide certainty.

“The sales support materials we’ve created are also designed to be really clear and help advisers to understand our features and benefits and who they are designed for, helping them to focus on the benefits of most value to each individual customer.”