Buying Life Insurance
When You Have a Critical Illness
illness insurance is a product that can help individuals, and in turn help
their families, in case something unexpected happens to them that is
deemed to be a serious illness. There is a specific list of critical
illnesses which include life threatening cancer, heart attack, deafness,
blindness, stroke, kidney failure, paralysis, and organ transplant
The insurance policy will pay a lump sum payment based on the face value
of the policy to the insured in the occurrence of any of these conditions.
There are no employment income or incurred expenses requirements or any
other factors that will effect the payment of the benefits to the insured.
There are also critical illness policies that will pay a certain
percentage to the policy holder in the event of a less serious illness.
The illness does not need to make the person disabled in any way for them
to get their benefits either.
Critical illness insurance can be purchased as a rider to either
disability income insurance or a life insurance policy, or it may be
purchased as it's own policy. There is a catch here though that is quite
interesting however. An exception to getting these benefits is the fact
that if one dies within 30 days of the critical illness, there are no
benefits paid. Another thing to keep in mind about these policies is that
normally there is a waiting period after purchasing the policy before it
will actually go into effect.
This coverage is available to both businesses and individuals, and the
covered illnesses can also vary depending on the company issuing the
policy. For example, the most comprehensive policy covers 154 different
illnesses and is issued by the company PruProtect. What is somewhat
staggering is the next most comprehensive coverage you can get only covers
38 such illnesses. The least number of illnesses covered appears to now be
26, although when this policy first came into existence there were only
four conditions covered; coronary-artery bypass surgery, cancer, stroke, and
It seems as though this type of coverage has come a long way since it was
originally introduced in 1983, and there are many UK insurance companies
that offer this product today. When purchasing a critical illness
insurance policy just remember to know what is covered and what is not,
because as you can tell from the information here, there could be a wide
range of which illnesses are covered and which are not.