Critical Illness Cover


A Critical Illness Insurance policy will pay out a lump sum to the policy holder when they become seriously ill or disabled. This usually includes a set list of core conditions such as cancer.

Most insurers will have a list of around 25, but some can offer Critical Illness insurance for more, often around 35. Critical Illness cover is usually offered as an add-on to a Life Insurance policy but it can also be bought as a separate product.

There are a variety of different Critical Illness Insurance policies. Some are linked to a Term Life Insurance policy and finish at the end of the mortgage term, while others have no fixed term and can last beyond the mortgage term.

Who Can Take Out Critical Illness Cover?

  • Most people between the ages of 18 and 60 in good health will have no problem arranging Critical Illness Insurance cover, according to the Association of British Insurers.
  • Many policies also offer the option of buying Critical Illness cover for children.
  • A policy can cover either just one person or yourself and a partner. If a policy is arranged for a couple then the insurer may only pay out when the first person becomes critically ill.
  • Those who have suffered from a serious illness or injury may have trouble arranging Critical Illness Insurance cover. However many insurers may offer the option of buying a policy that excludes the Critical Illness or conditions related to your illness or alternatively charge a higher premium.
  • Having a family history of critical illnesses such as cancer or heart disease does not exclude you from taking out a Critical Illness Insurance policy, however it may mean having to pay higher premiums.

See also: Home Buying Guide: Life Insurance

To start your search for a Life Insurance policy please see our Life Insurance Directory