Tax-Deductible Income Protection

Income Protection for Irish Professionals

Secure your financial future with an income protection plan. The Irish government allows you to claim up to 40% tax relief on your premiums, protecting up to 75% of your earnings against illness or injury.

Income Protection & Salary Continuity in Ireland

If you are unable to work due to illness or injury, the Irish State Illness Benefit provides only ~€13,000 per year. For most professionals this creates a significant financial shortfall. We help you bridge this gap with tax-efficient salary protection.

🛡️ Tailored Income Coverage

Secure up to 75% of your gross earnings (less state benefits).

  • Flexible Deferral Periods: Start your policy when your employer's sick pay ceases to ensure you are never without an income. (options of 4, 8, 13, 26 and 52 weeks).
  • Guaranteed Premiums: Secure "fixed-rate" costs that you can keep for the duration of the income protection policy. No reviews, no hikes or increases.
  • Indexation: Increse your insured amount to keep up with rising inflation. Can be removed on request.

⏳ Comprehensive Long-Term Support

Unlike critical illness cover, this provides a monthly replacement income.

  • Benefit to Retirement: You can receive the payment as long as medically required - until you return to work or retire, whichever comes first. No single payments, income protected for as long as required.
  • Unlimited Claims: Your policy remains active even after multiple successful claims. Also called 'Premanent Health Insurance' because it is for your working life.
  • Waiver of Premium: When claiming the benefit you do not need to make the monthly repayments.

Tax Relief on Income Protection Premiums

Income Protection is one of the most tax-efficient products in Ireland. As an individual or contractor, you can claim full tax relief at your marginal rate (up to 40%) through Revenue.

40%
Tax Savings
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How to get an income protection policy in Ireland, explained step by step

Follow this simple income protection calculator to work out how much of your salary you can insure, when you need it and how your job interacts with income protection.

Step 01

How much can I insure?

You can generally insure up to 75% of your gross income. Calculate your "Gap" to see how much private cover you need.

Max Total Benefit (75%):

Private Monthly Gap:

Step 02

When do I need it?

We align your policy with your employer's sick pay period. If your pay stops after 6 months, your insurance starts on day one of month 7.

Step 03

What's my occupational class?

Risk classes determine your price. Search the Royal London database below.

Step 04

Review Provisional Quote

We compare providers to find the most cost-effective premium for your class.

Step 05

Underwriting Questionnaire

A simple health check to confirm your final acceptance and price.

Step 06

Secure Your Income

Finalize your documents. Your policy is now in force.

Risk & Classification

How much is income protection?

What is an Occupational Class?

In the world of Income Protection, not all jobs are treated equally. An Occupational Class Finder is a tool used to determine the specific level of risk your daily work poses from an insurance perspective.

"Insurers use these classes to decide two things: if they can cover you, and how much your premium will cost. The higher the risk of injury or illness associated with your role, the higher the 'Class' number."

The Standard Risk Scale:

CLASS 1
Lowest Risk
Professional & Clerical (e.g. Accountant)
CLASS 2
Low Risk
Administrative / Light Travel (e.g. Dentist)
CLASS 3
Moderate Risk
Skilled Manual Work (e.g. Nurse)
CLASS 4
High Risk
Heavy Manual Work (e.g. Carpenter)

Note: Some high-risk occupations (Class D) may be declined for standard income protection. If your role involves significant manual labor or hazardous environments, specific advice from Financial Health is recommended to find the right policy for your needs.

Which insurance provider is best for income protection in Ireland?

We compare the top three providers in the Irish market. Why choose Aviva, Royal London or Zurich for your income protection policy. While coverage limits are similar, the real difference lies in price-matching, support services, and "Back to Work" benefits.

Benefit / Feature Aviva Royal London Zurich
Maximum Coverage 75% of salary (max €262,500) 75% of salary (max €262,500) 75% of salary (max €250,000)
Price Matching ✔ (Guaranteed)
Waiting Periods 4, 8, 13, 26, 52 weeks Dual Deferred (Split periods) 4, 8, 13, 26, 52 weeks
Support Services Aviva Care: Digital GP, Best Doctors, Mental Health. Helping Hand: Dedicated nurse support (RedArc). Early Intervention: Proactive rehab & physio funding.
Automatic Increases 20% every 3 yrs (No medicals) 20% every 3 yrs (No medicals) Life-event only (Marriage, Child, etc.)
Relapse Benefit Immediate restart within 6 months Immediate restart within 6 months Immediate restart within 6 months
Back to Work Benefit Rehabilitation support Tiered payout (75%/50%/25%) for 3 months Salary top-up if returning part-time

Irish Income Protection: FAQ

How does Revenue tax relief on Income Protection work?

In Ireland, Income Protection is unique because you receive full tax relief on your premiums at your marginal rate (20% or 40%). If you are a higher-rate taxpayer, a €100 monthly premium effectively costs you only €60 net after Revenue relief is applied.

What is an Income Protection "Deferred Period"?

The deferred period is the "waiting time" between falling ill and receiving your first payment. We typically align this with your employer sick pay scheme—common periods include 13, 26, or 52 weeks. Choosing a longer waiting period is a highly effective way to reduce your monthly insurance cost.

Does it cover any medical reason for illness or injury?

Yes. Unlike "Critical Illness Cover" which requires a specific diagnosis, Income Protection pays out for any medical condition—including mental health issues or back injuries—that prevents you from performing your specific job roles.

How does the Irish State Illness Benefit affect my payout?

As of 2026, the State Illness Benefit is approximately €254 per week. Most private policies are "integrated," meaning they top up the State benefit to ensure you reach 75% of your gross annual salary. This ensures your mortgage and lifestyle are protected during long-term recovery.

Need a personalized calculation?

Speak with a Financial Advisor

Important: Tax relief is subject to Revenue limits based on age and income. Premium payments must be maintained to keep the policy in force. This information is for educational purposes and does not constitute formal financial advice.