People taking time off work due to an accident or sickness could face a monthly shortfall in income of more than £645, a Bradford-based cash plan provider has warned.

Findings by Sovereign Health Care show that more than two thirds (68 per cent) of people in Yorkshire are unaware of what sick pay they are entitled to and 30 per cent have no provision to cover their finances when off sick, or think they need any. .

Sovereign says that, with national statutory sick pay totalling £353.80 per month, and average monthly outgoings on bills, shopping, rent or mortgage, amounting to £1,000, many are facing a serious income shortfall

Russ Piper, Sovereign Health Care chief executive, said: “Taking time off due to illness can often be unavoidable, yet it appears that many people in Yorkshire don’t have a plan to cover their costs if this should occur. The financial consequences could be severe, especially for people who don’t have savings to tide them over.”

The survey showed that 38 per cent of respondents said they would face losing their job if they were off sick for a long period and around one in six people would have to consider selling their home to cover any large health costs incurred.

Nationally, 18 per cent said they would have to ask a relative for financial help if they were off work sick for over a month, and 16 per cent would be forced to rely on state benefits. A third of people would rely on their savings if facing an unexpected health bill, but 16 per cent have nothing saved to cover an extended period of sick leave.

Russ Piper says health cash plans enabling people to claim money back for both NHS and private treatment could provide a lifeline - but less than six per cent of people have one.

He added: “On top of everyday expenses like rent and utilities, even the most routine health care treatments can end up costing money and the bills can soon mount up. We understand that even minor and temporary illness can have financial implications, which is a worry for many people, especially if their treatment isn’t covered by the NHS.

“Prevention is better than cure. Health cash plans can be a genuine lifeline for consumers looking to manage their health proactively by seeking treatment for conditions before they worsen and require more expensive and complex treatment.”