What is the difference between Life Insurance and Critical Illness cover?
Life Insurance provides a lump sum payment if you pass away during the policy term. Whereas Critical illness provides a lump sum payment if you’re diagnosed with a specified illness covered by the policy and meet the insurer’s claim criteria.
Many people choose to combine both types of cover to create a broader financial safety net for themselves and their loved ones.
What illnesses are typically covered?
Coverage varies between insurers, but many policies include coverage for conditions such as certain cancers, heart attack, stroke, and multiple sclerosis. The exact conditions and definitions will depend on the policy chosen.
Does Critical Illness Cover pay out for cancer?
Many policies include cancer cover. However, the type and severity of the diagnosis may affect whether a claim meets the insurer’s definition, so it’s important to review the policy details carefully.
How is Critical Illness Cover different from Income Protection?
Critical Illness Cover generally provides a one-off lump sum following the diagnosis of a covered condition. Income Protection is designed to provide a regular monthly benefit if you’re unable to work due to illness or injury, subject to the policy terms and conditions.
Can I use the payout for anything?
In most cases, yes. Many people use the money for mortgage payments, household bills, debt repayment, family expenses, rehabilitation costs or home adaptations.
Can I have Critical Illness Cover and Life Insurance together
Yes. Many people arrange both types of protection, either as separate policies or as part of a combined protection plan.
I'm active in sport. Does that affect my options?
Participation in certain sports may affect the insurers available, the terms offered or the premiums charged. We can explain the options available and help you understand any implications before applying.