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People need to be aware of the financial help they can receive if they are out of full-time work for a long period, it has been stated, although a loan could provide a cash pot for those suddenly without a job to fall back on.

Individuals also do not realise the changes to the Welfare Reform Act, a piece of legislation important to workers, says a spokesperson for LV=.

Commenting on the situation, she explains that nearly 18 million people in the UK "are unaware of financial support that could be available to them and the fact that the Welfare Reform Act has bought about quite significant changes to payments people might be able to receive".

Research by the firm found that 5.8 million people could come under severe financial pressure should they be unable to work, because they are unsure about what they are entitled to or expect to receive no monetary assistance from an employer.

But rather than putting themselves in an uncertain situation, individuals may want to take out a secured loan, which could reassure them that they have money to fall back on should they lose their job.