Critical illness cover

Critical illness insurance protects you when you are diagnosed with a critical condition such as a heart attack, stroke or cancer. It enables you to be financially supported if you are unable to work covering your mortgage, bills and additional costs associated with the illness.

What is critical illness cover?

Critical illness cover is an insurance policy designed to protect you financially if you are diagnosed with a serious illness. When you become seriously unwell, it may mean that you are unable to work for a long period of time, sometimes even for months. If you are diagnosed, you can make a claim on your policy and receive a lump sum to help you with your finances until you recover.

How does it work?

A policy is taken out much like you would take out your life insurance. You pay the premiums each month and, in the event that you are diagnosed with a critical illness, you are able to make a claim.

Some providers have a defer period before you can make a claim, whilst others will pay out on diagnosis. Either way, it means that you will be able to continue paying your outgoings whilst you are recovering and getting treatment.

How much cover do I need?

 The amount of cover that you require will depend on your income and individual situation. Some people have a family they would like to support, some individuals will have a mortgage that they need to pay during this time. Calculating cover amount will depend on what outgoing expenses you normally have, your income over a period of time.

You will also want to consider travel expenses, alterations to your home or any care you may need. You can never predict how long you may be unable to work, so it is best to consider getting ample cover to protect you and your family.