Critical Illness Insurance protects you and your family if you suffer from a specified illness such as heart attacks, strokes or advanced cancers

Critical Illness Cover (or Critical Illness Insurance as it is also known) is an insurance cover designed to pay you a cash lump sum if you are diagnosed with one of a number of designated illnesses.

Generally speaking this type of insurance covers you for illnesses such as heart attacks, strokes and advanced cancers, amongst others, and will pay out a lump sum which is normal aimed at covering your medical costs or paying off liabilities such as mortgages and loans.

What will Critical Illness Cover protect me against?

The actual list of critical illnesses covered varies from company to company but all must cover a basic set to make things easier for consumers to decide which best suits them. This basic list is defined by the Association of British Insurers but many providers choose to offer cover for additional illnesses as well.

Cover from companies who offer more illnesses does not necessarily mean that your premiums need to be higher. Many of the companies who offer the most comprehensive covers are also those with the most competitive premiums.

What else can effect my Critical Illness Insurance premiums?

Much like other insurances, there are many factors which contribute to the premium that you will pay. Things like age, sex and smoker status will have a direct relation to your Critical Illness Insurance premium along with:

  • Sum Assured (The amount payable by the cover)
  • Length of Cover
  • Past medical history
  • Occupation

How will my health effect my Critical Illness Cover?

One factor which concerns many people when they take Critical illness insurance, is the effect that their health might have on any premiums offered.

In a vast majority of cases, peoples past medical history will not have any effect on the premiums unless the conditions experienced are of a severe nature.

Things like past heart attacks and past cancers will have an effect on the premium because of the increased risk that you may suffer from a reoccurrence. However things like minor broken bones, colds and flu?s are very unlikely to cause any issues.

The exact effect on your Critical Illness Cover premium, because of something in your medical past, is very difficult to judge. It will depend on a variety of factors such as the condition, severity, and reoccurrences, past medication, present medication and general health. An experienced advisor will be able to give you a rough idea of any effect a condition may have on your cover.

Which Critical Illness is most claimed for?

An increasing number of insurance companies are now publishing statistics for the claims that they pay on Critical Illness Cover policies.

One critical illness in particular stands out from the crowd as having the highest claim rate. Cancer ? A word that strikes dread into many families ? is by far the most claimed Critical Illness.

Critical Illness Cover Statistics

In statistics released by BUPA, over 60% of all Critical Illness Insurance claims were paid due to the policyholder contracting cancer and whilst it is a disease that nobody would want to suffer from, it is important to point out what may have happened to the sufferers if they hadn?t of had any cover.

Many Cancer sufferers will spend prolonged periods of time in hospital undergoing treatment and for those lucky enough to be able to rest at home, even they are not able to work. Without been able to work, a vast majority of people would be unable to keep up mortgage payments which could ultimately lead to financial disaster at a time when you definitely do not need it!

So how do I know what is right for me?

Choosing which Critical Illness Insurance policy is right for you can be a confusing decision in itself.

It will very much depend on the cover you need and the reasons why you are looking for the cover.

If you are happy to make these decisions yourself then you can get an instant online critical illness cover quote by clicking here.

If you would rather discuss your needs with a fully trained and qualified financial advisor, then please feel free to contact us and we will be happy to help.


Insurance Glossary

Insurance Jargon BusterInsurance Jargon Buster - A Plain English Guide

Like with most subjects, insurance comes with its own language which can include its own confusing terminology. Our Jargon buster aims to help you clarify what some of the terminology you might find on our website means so that you can fully understand the policies and covers you are considering.

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