Home
|
About Us | Frequently Asked Questions | Life Insurance Quote | Terms | Disclosure Document

How does Critical Illness cover work?

It’s a way of providing a tax free lump sum if you become seriously ill.

Critical Illness Insurance provides a tax-free lump sum if you are diagnosed with a critical illness which is included on the schedule of critical illnesses issued by your insurance company. Under the policy’s “total and permanent disability conditions”, you can also claim if you have an illness or an accident which means that you cannot work again.

You can spend the money anyway you want.

The one point you should be aware of is that with critical illness insurance you need to survive a minimum number of days following diagnosis in order to claim. This is known as the survival period. With most insurance companies the survival period is 28 days but some have reduced this to 14 days.

Critical Illness Insurance provides much more extensive cover than just Terminal Illness Insurance, as Critical Illness cover is not related to your life expectancy. Indeed, all the Critical Illness policies we sell include Terminal Illness cover at no extra cost.

All the critical illness policies we sell also include cover for “total and permanent disability”. This means that if you suffer from any condition or have an accident that totally and permanently prevents you from working, then you have a claim.

However, before an insurance company pays a “total and permanent disability” claim they will need to know that you are too ill to ever work again. But it is up to you to decide how you want them to define being “out of work”. That is why, before we can quote you, you need to decide what type of employment cover you require. On our web site you have three options:

Conditions that prevent you from following: -

  • Your own existing occupation. This is the most expensive option
  • Any employment to which you are suited. This is the medium-priced option
  • You’re not fit to do any work of any kind. This is the cheapest option
  • You will have to decide which of these three employment options you want.

You can add Critical Illness cover to a Life Insurance policy, making it a combined policy, and this generally saves significant sums compared with having two separate policies. In fact, sometimes you can buy a combined life and critical illness policy cheaper than just a critical illness policy by itself. If it’s really only critical illness insurance you want still try getting a quote combined with life insurance – you may get both together and save money!


Other relevant questions…

What are the benefits of Critical Illness Insurance?
Which illnesses qualify as critical?
Mortgages

Is Life Insurance for me?

  • What is Life Insurance?
  • Life Insurance - why do I need it?
  • How can I make sure that my mortgage is paid off when I die?
  • Does Life Insurance have to be associated with a mortgage?
  • What kind of insurance do I need if my mortgage is Interest Only?
  • What kind of insurance do I need if I have a Repayment Mortgage?
  • How do I protect my monthly mortgage payments if I’m off work because of sickness or unemployment?
  • Should I consider Critical Illness cover instead?

What else do I need to know about Life Insurance?

  • Can you help me with the terminology?
  • What do I need to know about Life Insurance?
  • How does level cover insurance work?
  • How does decreasing cover insurance work?
  • Should I add Terminal Illness cover?
  • Should I consider Mortgage Life Insurance instead?
  • What’s the difference between joint cover and single cover?
  • Is there any investment value in my policy?
  • How does Critical Illness cover work?
  • How is Mortgage Life Insurance different from Life Insurance?

How do I get a Life Insurance Quote?

  • I need an insurance quote immediately. What do I do?
  • What personal details will I need to provide to get a quotation?
  • Why is Life Insurance such good value if I purchase online?
  • What’s the role of the Life Insurance Broker?
  • What else do I need to know about buying insurance on the Internet?
  • Do I have to pay the Life Insurance Broker a fee?
  • Will my Mortgage Lender or Broker not expect me to buy life insurance from them?
  • Will my Mortgage Lender charge a fee if I buy my Life Insurance from someone else?
  • Once I’ve got my quote, what’s the next step?

How do I choose the right policy for me?

  • What level of cover do I need?
  • How long should the cover be for?
  • Should the cover be on joint lives or single lives?
  • Should my policy be written “in Trust”?
  • Is a medical absolutely necessary?
  • Which optional extras are important?
  • Is combined Life Insurance and Critical Illness Insurance a good approach?
  • What if I pay off my mortgage – can my Life Insurance still run?

What if I need cover to be arranged quickly?

  • Can I get a quote for Life Insurance straight away?
  • I have a quote, what should I do next?
  • How quickly will my application be processed?
  • When does my cover start?
  • What if I need the cover immediately in order to arrange my mortgage?
  • Why do delays occur?

How are premiums calculated?

  • What is the premium?
  • How much will it be?
  • Is it best to have guaranteed or reviewable premiums?
  • If I’m asked to supply more information or go for a medical, will the premium increase?
  • Will my premium payments be the price I was quoted?
  • Could I end up paying more for insurance than someone else the same age?
  • Is my premium a fixed price?
  • What factors can add to the price?
  • Why is insurance more expensive for smokers?
  • What impact does my age have on my premium?
  • How does my medical history affect things?
  • What happens if I don’t pay my premiums?

What if I have to make a claim?

  • How do I go about making a claim?
  • Can I still claim if I have lost my policy?

Do I need Mortgage Life Insurance instead?

  • What if I have a Repayment Mortgage?
  • How much cover do I need?

Should I consider Critical Illness cover?

  • What are the benefits of Critical Illness Insurance?
  • Which illnesses qualify as critical?
  • How do I select the right level of employment cover?
  • When can I claim with Critical Illness cover?

What other sorts of Insurance should I think about?

  • Why would I want Mortgage Payment Protection Insurance?

How do I make a complaint?

  • How do I make a complaint about a Life Insurance Company?
  • How do I make a complaint about a Life Insurance Broker?
  • What should I do about misleading advertising?

What do I need to know about the law and Life Insurance?

  • How does the law relate to my purchase of Life Insurance?
  • What’s important about the Financial Services and Markets Act (2000)?
  • How does the law affect Life Insurance sold on the Internet?
  • What do I need to know about the FSA?
  • Disclaimer


    Network Site
  • Loans - loan locomotive
  • Car Insurance - Car Insurance Rover
  • home insurance - home insurance advisers
  • Cheap Life Insurance Cover - Brokers Online


This url is owned and operated by Alliance Internet Ltd.