October 20th, 2025
If you’re a contractor, freelancer, or self-employed professional, you already know the freedom that comes with working for yourself — but also the uncertainty. When work slows down, or life throws an unexpected curveball, that flexibility can suddenly feel fragile.
Most contractors protect their income by staying proactive: keeping contracts lined up, managing expenses, and saving when possible. But what happens if you can’t work — because of illness, injury, or personal circumstances — and your income stops altogether?
This is where protection becomes essential. It’s not about “what if”; it’s about making sure that when life happens, you don’t lose everything you’ve built.
What Happens If You Don’t Have Protection
Imagine this: you’re midway through a mortgage term. You’ve been contracting for years, income is stable, and your bills are on track. Then suddenly, you can’t work — maybe due to illness, an accident, or taking time off for recovery.
Without any protection in place:
- Your income could stop overnight. Most contractors don’t receive sick pay or redundancy packages.
- Savings run out faster than you think. Even with a healthy emergency fund, covering your mortgage, utilities and living costs for several months can be a stretch.
- Missed mortgage payments can impact your credit. A few missed payments could make refinancing or securing future lending harder.
- Financial stress affects recovery. Worrying about bills when you should be focusing on getting better adds unnecessary pressure.
These aren’t scare tactics — they’re realistic challenges we see contractors face every year. Many only discover the gap when it’s too late.
How Protection Insurance Works for Contractors
Protection cover is designed to replace your income or cover essential costs when you can’t work. For contractors, that usually means Income Protection, but there are several types of policies that can work together:
- Income Protection – pays a monthly income if you’re unable to work due to illness or injury. You can choose how long payments continue — for a fixed term or until you return to work.
- Critical Illness Cover – pays out a tax-free lump sum if you’re diagnosed with a serious medical condition listed in your policy, such as cancer, heart attack or stroke.
- Life Insurance – provides financial support for your loved ones if you pass away during the policy term, helping to cover your mortgage or living costs.
- Mortgage Payment Protection – covers your mortgage payments for a set period if you can’t work, helping you keep your home secure while you recover.
Why Protection Matters More for Contractors
Traditional employees often have built-in safety nets — things like employer sick pay, redundancy packages, or long-term disability cover. Contractors, on the other hand, rely on themselves.
Your contracts may pause or end if you can’t deliver the work, and rebuilding your income stream can take time. Without protection, even a short break in earnings can create long-term financial stress.
At CMME, we work with specialist insurers who understand how contracting income works — including day rates, limited company structures, and variable monthly earnings. We’ll help you find cover that matches your contract setup and budget, not a generic 9-to-5 plan.
How CMME Can Help You Stay Protected
We know contractors value flexibility and control. That’s why we build personalised protection plans that fit your situation — whether you’re a first-time buyer looking to secure your mortgage, or an experienced contractor protecting your family and business.
Here’s how we can help:
- Review your mortgage and income needs together
- Identify any gaps in your existing cover
- Find protection that fits your budget and contract structure
- Help you adjust or pause cover when your circumstances change
Our goal is simple: to make sure your mortgage payments are protected and your home remains secure — even in times of stress.
The Bottom Line
Protection isn’t about expecting the worst. It’s about being ready for anything.
When you work for yourself, your ability to earn is your greatest asset — and it deserves the same level of protection as your home, car, or business.
If you’d struggle to cover your mortgage or bills for more than a couple of months without income, it’s time to explore your options. Speak to a CMME Protection Specialist today to find out how we can help safeguard your mortgage, income, and peace of mind.