Critical Illness Insurance
updated:
January 21, 2010
A Critical
Illness plan is designed to pay out a lump sum if
you are unfortunate enough to suffer from any of the specified
critical illnesses but survive for a period of time after
diagnosis (normally 28 days).
The policy is designed to pay out on
diagnosis of the critical illness and you
do not have to pay the money back when you recover!
The lump sum could be used to pay for
things like nursing care, home-help or adapting your
house to accommodate a disability. You could use it to
pay off your mortgage or give you a holiday to recover
from the treatment.
You can apply for critical illness
insurance as a stand alone product as
well as an addition to other protection
and investment products. It can be used, for example,
as a mortgage protection type plan or
for family protection.
An employer can apply for key
person critical illness cover to provide the
business with a cash injection after the sudden serious
illness of a key employee.
The comprehensiveness of conditions covered
varies enormously. You should make sure that you study the product
provider’s literature to determine what will and will not
be covered to ensure it meets your purposes.
To obtain further information please click here for our pdf Guide to Critical Illness Insurance.
|
