Accident, sickness, unemployment cover is quite essential. To beat out an economic disaster such as recession, it is important to have redundancy protection policy in place. Incase recession strikes in and your company looks out to downsize, then you may lose your job. In such circumstances it is important to have an insurance policy in place so that your income is protected. To meet the exceeding bills is a big head ache, and it is a nightmare if you are out of employment for some inevitable reason.

Sickness, accident, redundancy and unemployment may throw one in a state of despair. The state of being out of employment may kill your mental peace. You feel helpless in such a situation and to handle financial pressure is a tough task. Besides your health problems, there arises financial scarcity too. Handling medical bills and other quintessential expenses may be yet another daunting task. What can you do to avert such a financial calamity?

Although, it would be difficult to stop an eventuality from occurring, you can reduce the implications of it. Accident, Sickness and Unemployment (ASU) usually affect a persons earning capacity. He may be out of employment, temporarily or permanently. He may get incapacitated for long. He would be unable to keep up with the mortgage payments and risks his security pledged. These ASU implications can be reduced to a large extent if a proper policy is put in place.

Benefits are payable when the policy holder is out of employment due to a bed ridden situation or redundancy. These benefits may be paid out to you for a period of two years by which time you must have found another job. Some policies may cover you for a longer period. Benefits are paid out regularly and the income earned through insurance cover is free of tax.