How Women can protect their financial freedom

Updated: Apr 23

How working women can protect their financial freedom

It’s an all too familiar story. You are enjoying a fruitful start to your fledgeling career. You’re learning your discipline and your confidence is growing. Perhaps best of all, you’re managing to put some of your income into savings each month. It’s all wonderfully liberating.

Then, life happens.

Many young women are unprepared for the prospect of illness or injury forcing them off work. And that can have a disastrous impact on your personal financial welfare. Thankfully, there’s a financial fail-safe that you can utilise to keep yourself protected.

Illness or injury? It won’t happen to me…

When you are young and feeling healthy, it’s rare to stop and consider the unexpected. Injuries and medical conditions are what happen to other people, not to you. But if there’s anything we can learn from a global pandemic that we will remember forever, it’s that life can be highly unpredictable.

You could be injured playing your favourite sport. Perhaps you become unwell and receive a serious health diagnosis. Then there’s the possibility of your mental health taking a downward turn. Women in full-time employment are nearly twice as likely as men to experience a common mental health problem (19.8% vs 10.9%).

Sadly, if illness or injury forces you off work, your financial welfare becomes horribly exposed.


What is income protection?

When you are too unwell to work, your monthly bills don’t just go away. Unfortunately, a prolonged spell off work would leave you dependant on Statutory Sick Pay, which is currently just £95.85 per week^. Honestly, would that be enough to cover your monthly overheads?

If not, then you could be forced to dig into a pot of cash you’ve been saving for a holiday or a mortgage deposit. You may even begin relying on a credit card or ask your parents for financial support. That can feel like a big step backwards after you had started to enjoy some financial freedom.

That’s where income protection comes in. It’s a type of insurance policy that covers your salary if illness or injury prevents you from working. With income protection, you will continue to receive up to 70% of your monthly salary while you recover. So, you can concentrate on getting better, without the added stress of worrying about your money.

Protect your present, invest in your future

There are lots of income protection companies out there. But as a non-profit, PG Mutual is a little different to the rest. Each year they share their profits with their policyholders – investing in a mix of assets to build a nest egg for each member. The aim is to provide you with a lump sum payment upon the maturity of your policy in your retirement years.

It’s easy to become a PG Mutual policyholder. The application process takes as little as ten minutes and can be completed online or over the phone if you’d rather talk to someone.


Is now the time to consider protecting your income?

Many young women are living with high recurring overheads such as rent or mortgage payments, mobile phone contracts and car finance schemes. It’s uncomfortable to think about the unexpected, but if prolonged illness or injury prevented you from working – even for a month or two – the impact on your financial health could be significant. Income protection may be worth considering as part of your safety net.


Best of all? As a FashionHub reader, you are entitled to 15% off your first two years of cover. Just mention the discount code ‘FashionHub’.

If you would like to know more about the benefits of income protection, call 0800 146 307 or visit pgmutual.co.uk.


^DWP, April 2020.

*T&C’s apply. Visit www.pgmutual.co.uk/terms-and-conditions.


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