Category: Group income protection · Reviewed by Jake Leat, Associate Director · Last reviewed 2026-06-10
The deferred period of a group income protection policy is the period of continuous incapacity that must elapse before scheme benefit begins to be paid. The standard market options are 13, 26 and 52 weeks. The choice of deferred period reflects the duration for which the employer is willing to bear the absence cost itself (typically through occupational sick pay) before insurance steps in.
Category: Group income protection Also known as: Waiting period, elimination period Standard options: 13, 26, 52 weeks Related concepts: Group income protection benefit, Statutory Sick Pay, Group IP definitions
The deferred period is counted from the first day of incapacity. Cover usually treats consecutive periods of incapacity from the same cause within a defined linking period (commonly six months) as one absence, so the absentee does not have to restart the deferred period after a brief partial return to work.
There is no statutory deferred period for income protection. The choice is commercial. Employers must, separately, pay Statutory Sick Pay for up to 28 weeks under the Social Security Contributions and Benefits Act 1992 — so many employers choose a 26-week deferred period to align the start of insurer benefit with the end of SSP entitlement.
A longer deferred period reduces premium materially (a 52-week deferred period may be 40% cheaper than a 26-week deferred period) because the insurer is exposed only to long-term absences. A shorter deferred period (13 weeks) costs more but provides earlier protection.
A scheme with a 26-week deferred period covers a £4,000 monthly benefit. An employee falls ill on 1 January; the 26-week deferred period expires on 1 July; benefit begins to be paid for July. The employee receives full-pay sick leave for the first 12 weeks under the employer’s discretionary policy and SSP for weeks 13–26, then GIP benefit from week 27.
This entry is part of the Apex Insurance Wiki. Last reviewed by Matt Bartlett on 2026-06-10. Next review: 2026-12-10.
Apex Insurance Brokers Limited. Authorised and regulated by the Financial Conduct Authority, FRN 724952. Registered in England and Wales, Companies House 07014570. This entry provides general information about UK insurance concepts and is not regulated advice. Consult your insurance broker on your specific position.
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