Critical Illness Cover
Critical Illness Cover helps when you are too ill to work
Gives peace of mind that should you be diagnosed with a critical illness, you will get a lump sum payout to help with expenses.
- Pays out a lump sum if you’re diagnosed with a specific critical illness
- Covers cancer, heart attack and stroke, plus many more
- Protects children for free up to age 21 years
- Stand alone policy option or combine with life insurance
How does Critical Illness Protection work?
- All Critical Illness policies differ, but all cover Cancer, Heart Attack and Stroke, which make up around 80% of critical illness claims
- 20-80 other illnesses are often covered by a Critical Illness policy, some cover upto 170 illnesses
- Children for free up to the age of 21 are covered vy critical illness policies
- A claim pay out can help with the financial strain of suffering such a major health crisis
- Critical Illness cover can be stand-alone or combined with Life Insurance
- Cover is generally taken on a term assurance basis, you decide the amount and the term
- A Critical Illness claim pay out is paid tax free, and with the lump sum cover, as a one-off payment.
- Some lower severity conditions are covered by ‘partial payment’ by some insurers
- Most critical illness policies include life cover at no additional cost
- Critical Illness cover can be ‘joint life’ (covers two people and paid out on first claim basis) or ‘single life cover’ (covers one person only per policy.)
What is covered by Critical Illness Protection?
Not all Critical Illness Cover policies are created equal, so not all cover is the same.
- Insurers are required to cover a prescribed list of critical illnesses, at prescribed severities, however, many insurers exceed what is required and provide more comprehensive cover. The quality of that cover can vary between insurers
- The main claims on Critical Illness cover are Cancer, Heart Attack and Stroke. There are many other illnesses cover such as Multiple Sclerosis, coronary artery bypass, kidney failure, and major organ transplant
- Children’s Critical Illness cover is often included, free of charge, on the policy. This gives peace of mind that if your child develops a childhood critical illnesses you can take time off work, pay for medical expenses, and adapt the home without struggling financially
Are Critical Illness Cover and Terminal Illness Cover the same?
No: a critical illness policy pays out upon diagnosis of a critical illness. Terminal Illness cover comes free with Life Insurance and pays out upon diagnosis of a terminal illness with less than 12 months to live.
Does Critical Illness cover pay out more than once?
Yes in some scenarios – most Critical Illness policies include Additional Payments for less advanced illnesses. If you receive a pay out for a less advanced illness, it’s not deducted from the sum assured, and you can claim again if you suffer another less advanced illness, or a more serious illness.
Do I need critical illness cover as I never get ill?
- 1 in 2 people born after 1960 will develop cancer in their lifetime (Cancer Research UK, Key Facts all cancers Feb 2015)
- Every 2 minutes someone is diagnosed with cancer (Cancer Research UK, Key Facts all cancers, Feb 2015)
- Every 7 minutes someone has a heart attack (Heart UK, 2016)
- Every 12 minutes someone has a stroke (Heart UK, 2016)
When does Critical Illness Cover pay out?
Upon diagnosis of a critical illness covered on your policy. The pay out is tax free and normally paid as a lump sum