Critical Illness Cover


Many of us insure our mobile telephones, contents and our cars. However, many of us neglect to insure the most important thing – ourselves. If you had a cash machine in your house, you would maintain it and insure it against breakdown or malfunction. Without the money it provides, you couldn’t exist. Think of you as the cash machine. What would happen if you suffered from a stroke or cancer? How would you maintain your lifestyle? How could you provide for your family?

‘Overall, we were able to pay 91.2% of all Critical Illness claims made in 2010.’ (information provided by Zurich)

Whilst most people take out life insurance when purchasing property, many people neglect to think about Critical Illness cover. Most people think it will never happen to them, and indeed we hope that all our clients will live a long and healthy life. But why take the chance? You can insure yourself against critical illness and be safe in the knowledge that should the unexpected happen, you have a financial cushion to help you and your family.

Case Study

Whilst the names in the study are fictional, the story is based on real life.
Paul is a young man in his early 20’s. He recently married his wife Louise and enjoyed a wonderful wedding day with their friends and family, and honeymoon in the Caribbean. They had just purchased their first property and life was looking rosy. Louise fell pregnant very quickly, and the couple were delighted with the news. Their mortgage advisor had recommended they take out critical illness cover with their mortgage, and Paul was reluctant to commit to the extra expense. In fact, soon after taking out the policy, Paul called his advisor to cancel the policy, especially with the added expense of a new baby. The mortgage advisor persuaded Paul not to cancel the policy, advising him that should he wish to take this cover out when he was older, the premiums would increase with age. Paul decided to keep the policy, and continued to pay the premium. However, their world was about to be shattered when 6 weeks later, Paul was diagnosed with testicular cancer. In a panic, Paul rang his mortgage advisor, and was relieved to know that despite the policy being new, he was still covered. The payout he received upon diagnosis helped Paul to focus on the important thing, getting better, without worrying about how he was going to meet his mortgage payments whilst undergoing chemotherapy. With Louise on maternity leave, and the baby due imminently, Paul’s illness couldn’t have come at a worse time. However, the financial burden was taken away, and Paul continues to successfully recover.

At Charles Derby Consultancy we can give you the help and advice you need, contact us on 01603 901520 or tina@charlesderbyconsultancy.com