Why cover?
  • affects 1 in 4 women / 1 in 5 men before retirement
  • 94.1% of the critical illness claims are paid
  • protect yourself and your family if you get seriously ill
Why us?
  • get the cover that will pay when you need it
  • save up to 35%, cover from £5 a month
  • free, fast and without obligation quotes
Insurers: Aviva, Legal & General, Liverpool Victoria, Scottish Widows, Vitality, Zurich

Determining the Length of Your Coverage

How long should a critical illness policy be? This, of course, depends on your individual circumstances and your budget.

Critical Illness Claims by Age*

  • <34 years old: 5%
  • 35 – 44: 25%
  • 45 – 54: 45%
  • 55 – 64: 22%
  • >65: 3%

*Based on the critical ilness claims report for Scottish Provident for the first half of 2012.

Here are some considerations based on a particular need:

  • Critical illness cover bought to secure a mortgage.

    The length of the coverage should at least be equal to the length of the mortgage. Once the mortgage is paid off, you decrease the need for a critical illness cover.

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  • The circumstances of your family.

    As your children become older and become independent, your role as the family’s breadwinner and provider also goes down. How long will you be having dependents? Are you providing for elderly parents? Are you nearing retirement? These things should be put into consideration.

  • Your age.

    Of course, the length of your policy will also depend on how old you are at the time the policy is issued. The policies (as well as specific critical illnesses) have maximum age limits. Critical illness policies usually have a maximum age limit of 70 to 75.

  • Minimum and maximum years of the policy.

    The policy also has a minimum and maximum number of years for the policy term. There are policies that are renewable annually or every five years. Since you are older by that time, the premiums will also increase. Your health situation may also change and this will impact your premiums further. Also, when you reach a certain number of years, you may no longer be insurance or may not be eligible since you have surpassed the age bracket.

What about changes in my life circumstances?

One thing to consider is a critical illness cover that offers Guaranteed Increase Options. This allows you to opt for an increase in your critical illness coverage for a particular life event. This option is available to you without the need for providing additional medical evidence. The life events include: marriage/civil union, divorce or dissolution of civil union, becoming a parent and getting an increase in mortgage.

Can I lower the policy term later?

It is actually easier to lower the length of your policy rather than extend it. You can simply contact the customer service department of your provider.

Last updated on: 18.1.2013

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