Do you want to insure your income?

For most of people, that would mean keeping your job (and the paycheck associated with it).  In an uncertain employment environment, however, jobs can be lost at any time.  Moreover, when you find a new job, it may not pay as much as you were previously making.

The solution: salary gap insurance

With salary gap insurance, you would pay a premium that would be roughly equivalent to the cost of an auto insurance policy.  When starting a new job at a lower salary, the insurance would look at the difference between your new and old salaries, and pay you some portion of this, thus “insuring your income”.

The idea of salary gap insurance was originated by Bill Graham, a lawyer from North Carolina.  It’s not currently available in the United States, but has recently been adopted by insurance companies in Europe.

What do you think?  What price would you pay to insure your income?