One in eight risk losing their home without income protection

Its survey found that more than half (53%) have previously been out of work due to sickness or injury, or have experienced unemployment while in between jobs, yet have no financial provision in place in case it happens again.

45% were out of work for up to a year and for 10% it has been longer than 12 months. An estimated 131 million working days were lost due to sickness or injury in the UK last year.

The report found that over a third (34%) do not feel financially resilient and would not be able to manage a financial shock or unexpected loss of income on their own.

The study also found that despite half of adults experiencing unexpected leave from work, 92% don’t have income protection cover, 17% have no disposable income and 24% have no savings to fall back on.

Rose St Louis of Zurich UK commented: “It’s concerning that so many people have experienced unexpected time out of work, yet have no safety net in place for this potentially happening again. Even more shocking is the number who would have to resort to selling their home, as this action could have a significant impact on the whole family.

“Lack of savings and planning the family finances is putting millions of adults at risk of not being financially resilient, but not taking action could make the situation far worse. Putting the ‘it won’t happen to me’ view to one side, it’s vital that people review their circumstances, to see what support exists to protect their finances and lifestyle.”