UK Health Insurance Articles Accident Sickness and Unemployment cover from UK Insurance Net
search advanced search

Home >> Health Insurance Articles


What is Critical Illness Insurance?

Article by Simon Christopher
Article added: 23/4/2005 - Last updated: -
Rating: 3.00 3.00 (1 votes)


Critical illness insurance is designed to pay a tax free cash lump sum upon diagnosis of any one of a wide range of critical illnesses covered by a policy such as Cancer, Heart Attack, Stroke, Brain Tumor and many more.

Many policies will also pay out if, due to accident or sickness, you are totally and permanently disabled and unable to continue your occupation.

A SIGNIFICANT CHANGE OF LIFESTYLE
Being diagnosed with a critical illness would be a major trauma in your life and those around you. Priorities change, goals and ambitions become more immediate and long term planning can suddenly become irrelevant. Your financial commitments would remain and any life assurance wouldn´t pay out until your death. Your employer may pay your salary for a few months but your illness may prevent you from returning to work altogether.

On top of this, the crisis may not be over when the illness is cured. Your doctor might advise you to change the way you live - get more exercise, avoid stress, change your job. The costs can be substantial:
  • the cost of treatment.
  • the cost of a change of lifestyle.
  • the cost of a change of career.
  • the cost of fulfilling a lifetime ambition.
A critical illness could affect you, and surviving could mean a whole new way of life. Critical illness insurance can ease the financial burden, giving you the opportunity of a second lifetime.

POLICY TIPS
  • Work out how much money you would need if you were unable to work long term due to a serious illness. A rough guide of between two and five times your annual salary is often used.
  • What critical illnesses are covered? There are usually two levels of cover, a basic level that includes the six major conditions and more comprehensive cover that includes many more.
  • Check that permanent total disability is covered. Otherwise, if an illness or injury leaves you unable to work again and it is not specifically listed, you would not be able to claim. Also check the insurers definition of permanent total disability. Some policies will cover you against not being able to carry out your own occupation whilst others will only pay out if you cannot do any occupation. Clearly it is easier to prove that you are unable to do your own occupation than any.
  • What is the survival time? To claim under a critical illness policy you have to survive for a set time after your diagnosis, usually between 14 days and 3 months. The shorter the survival time the better.
  • Critical Illness cover is not life insurance and wont pay out if you die. If you need life insurance it is cheaper to buy a combined policy. Be sure to buy a policy which will let you continue your life cover if the policy pays out for a critical illness.
  • If you have or plan to have children, check that children's cover included. Some policies will pay a lump sum benefit if your children are diagnosed with a critical illness covered by your plan.
  • Does the policy include a counselling service? This can be a great help if you develop a serious illness.


PLEASE NOTE: The guidance published in this article is for information only and does not constitute financial advice or a recommendation of any particular product or company. If you are in any doubt please consult an independent insurance adviser. A database of advisers in your area is available at www.unbiased.co.uk

Copyright UK Insurance Index http://www.uk-insurance-index.co.uk. All rights reserved.


comments about this health insurance article

Comments About this Article:

 Add a Comment


share this health insurance article

Share this Article:



rate this health insurance article

Rate this Article:


Please rate this article between 0 and 5
with 5 being top.
All ratings received for this article.

all categories ALL CATEGORIES
A-Z Categories

popular categories POPULAR CATEGORIES
Car Insurance
Home Insurance
Life Cover
Mobile Phone Cover
Pet Insurance
Travel Insurance

directory categories DIRECTORY CATEGORIES
Business
Event
Health
Home & Property
Insurance Brokers
Life & Protection
Marine
Motor
Non UK Insurers
Pet & Animal
Personal Possessions
Specialist Cover
Sport
Travel

review categories REVIEW CATEGORIES
Business
Car & Motor
Health
Home
Insurance Companies
Life Cover
Motorcycle
Pet & Animal
Possessions
Sport
Travel

article categories ARTICLE CATEGORIES
Business
Car & Motor
General
Health
Home & Property
Insurance Awards
Insurance Guides
Life Cover
Pet & Animal
Travel

news categories NEWS CATEGORIES
Business Insurance News Feed Business News
Car Insurance News Feed Car and Motor News
General Insurance News Feed General News
Health Insurance News Feed Health News
Home Insurance News Feed Home & Property News
Life Insurance News Feed Life Cover News
Pet Insurance News Feed Pet and Animal News
Travel Insurance News Feed Travel News

FEATURED SITES
PrudentialHealth Insurance
Pru Health
Prudential is an award winning health insurer that rewards you for maintaining a healthy lifestyle.

Help U Cover Mortgage Payment Insurance
Pinnacle Help U Cover
Helpucover offers competitive MPPI cover and income protection. Pinnacle was awarded Mortgage Payment Protection provider of the year for 2003, 2004, 2005 and 2006 at Mortgage Magazine awards.

latest listings LATEST LISTINGS
Health Insurance Compare
Dencover dental insurance
ActiveQuote Health Insurance - Compare All Leading UK Insurers
Sovereign Health Care
Boots Health Insurance

latest reviews LATEST REVIEWS
AXA PPP Private Health Insurance
Active Quote Health Insurance
ActiveQuote Health Insurance
C S Healthcare (Via Activequote) Medical Insurance
Paymentshield Payment Protection (disability and unemployment)

latest articles LATEST ARTICLES
Important reasons to shop around for health insurance
Six myths about private medical insurance
What is Income Protection Insurance?
What is Critical Illness Insurance?
How Much Does Private Medical Insurance Cost?



Home | Privacy & Cookies | Terms of Use | Contact | Submit Site | Advertisers

Page protected, do not copy

This website uses cookies to ensure a reliable browsing experience. If you continue to use this website you are consenting to us using cookies in this way. To find out what cookies are, which ones we use and why we use them please click here.

Copyright © 2017 UK Insurance Index. All rights reserved.
All directory listings, articles and reviews are provided as information only and do not constitute advice or a recommendation of any product or provider. If you use these insurers, we take no responsibility and give no guarantees, warranties or representations, implied or otherwise, for the content or accuracy of these third-party web sites or companies. If you have any doubts you should consult an authorised independent financial adviser for advice based upon your individual needs and circumstances. A database of advisers in your area is available at www.unbiased.co.uk.