16/06/2025
3 benefits of financial protection for self-employed people
Safeguard your freedom by boosting your financial security. Whether you’re a tradesperson, sole trader or run your own small business, working for yourself gives you a great sense of freedom. You can choose how you work, run things the way you want to and build something that’s uniquely yours. But that independence also means shouldering risks that other workers don’t have to think about, especially when it comes to your financial security. The buck stops with you, but that’s where financial protection comes in to provide that all-important safety net you might be missing.
Do you really need financial protection?
Financial protection pays out if you can’t work because of an accident or injury, get diagnosed with a serious illness or pass away. It won’t stop these things from happening, but it can make it easier to deal with them so you can get your business back on track. Illness and injury can have a big impact on your ability to work. 33.7million working days were lost to work-related illness or injury in 2023/24, with the average worker taking off 15 days a year. But things aren't that simple when you’re self-employed. You’re not earning if you’re not working so you have to rely on other sources of cash, but many self-employed people are dangerously financially exposed. Almost a third (31%) have less than £1,000 in their savings and just 6% have income protection. In other words, 94% of self-employed people have no financial backup if they can’t work.
3 key benefits of financial protection
Being self-employed often means being self-sufficient. Financial protection helps you maintain your independence, keeps your business rolling and prevents a setback from becoming a crisis. Here are a few crucial benefits of protection if you’re self-employed.
1. Keep cash flowing if you need to take time off
You don’t have the luxury of paid time off from an employer, but financial protection helps if you need to take time off work due to injury or illness. That means you can cover day-to-day expenses, stay on top of rent or mortgage repayments and generally keep things ticking over whilst you recover.
2. Boost your family’s financial security
If you’re the main or sole earner in a household, the pressure to stay in work can be even greater than it is for a salaried employee. But knowing you’re covered by the right protection product can provide much-needed peace of mind for you and your family, helping you put more energy into looking after each other rather than worrying about money.
3. Take the time you need to fully recover
A fifth (20%) of self-employed people say they’d have to work through injury or illness, but financial protection takes off the pressure to rush back to work. It gives you the time and flexibility to recover at your own pace, preventing health issues from compounding and helping you take off less time overall.
Protection that puts you in control
We've helped thousands of workers cover themselves and their families with our affordable range of financial protection from household names like MetLife, Aviva, LV= and more. Cover starts from less than you think, and you’ll get personalised support from a financial protection adviser who’ll help you create a sturdy financial safety net.
Find out how we can help keep your business on the move.
Owl Financial is a trading style of Openwork Limited, which is authorised and regulated by the Financial Conduct Authority. Approved by Openwork Limited on 28/04/2025.
