The Income Protection Task Force has revealed more details about its high-profile campaign aimed at dramatically boosting the take-up of income protection.
Originally developed as the Family Support Initiative, the campaign has been rebranded as Seven Families. It will provide a monthly income for a year to families where the main breadwinner is unable to work due to illness or injury. Payments will be treated as charitable donations but will replicate the effect of IP.
The families will be selected via charity Disability Rights UK and beneficiaries will receive between £30,000 and £35,000.
When the IPTF first announced the campaign, some concerns were raised about possible negative publicity at the end of the payments.
In response, should the breadwinners fail to return to work after 12 months, the IPTF will continue to provide case management support and ongoing financial advice.
The initiative will support seven families instead of 10 as originally planned. IPTF chairman Peter Le Beau says this change is to avoid “trying to be too ambitious or diffusing the impact of the project by supporting too large a number”.
Twelve insurers and reinsurers have pledged their support for the Seven Families campaign and will be asked to donate £20,000 each.
The campaign will launch on 21 May, with payments to families beginning in July.