The plan will have no cash in value at any time, and will cease at the end of the term. If premiums are not maintained, then cover will lapse. 

Payment Protection Insurance and Short Term Income Protection Insurance can provide a monthly income to help cover your regular outgoings if you can’t work due to an accident, illness or injury.

There are important differences between these products, and long-term Income Protection Insurance. They include a limit on how long the replacement income will be paid for – usually between 12 and 24 months. By contrast, Income Protection Insurance will pay out for as long as you are unable to work (up to the policy expiry) or ceases on death.

Unemployment cover is often an optional extra on these policies, or can be purchased as standalone cover.