Why critical illness?
The ‘’Why life Insurance’’ section has highlighted why life insurance makes sense for just about everyone, but what about critical illness cover – is it really necessary? Interestingly, according to the Association of British Insurers (ABI)* we are five times more likely to claim on a critical illness policy than a life insurance policy before the age of 65.
How to get critical illness cover
Critical illness cover can be purchased as an additional benefit to most life insurance policies. It pays out a lump sum if you are diagnosed with a life-threatening illness such as cancer or heart disease (and with a Zurich policy, 30+ other illnesses too).
The money paid to you is tax free and can be used in any way you like – either related directly to the illness, such as private medical care payments, or in any other way, such as to pay a lump sum off your mortgage.
Do you need it?
It is worth checking what benefits you have with your employer, as while most employers offer life insurance, not many include critical illness cover.
If you are a single person with no dependants, critical illness cover could actually be more valuable to you than life insurance because it pays out a lump sum if you become ill – which is money you can use yourself to replace income while you are not working, or in any other way, such as to pay for private medical bills.
And if you have a family, you need to ask yourself how they would cope if you became ill and were unable to work. Your loss of income could affect the payments on your home as well as the aspirations for the future of your children.
Delivering when you need it most...
Zurich is pleased to be a leader in the field when it comes to settling claims. Zurich’s claim payouts are unsurpassed in the Middle East, a fact that we are very proud of. View our latest claims statistics.
Just so you know, the two most common reasons claims get declined is because either the medical condition was not covered by the policy, or an influencing fact was not disclosed at the time the policy was taken out.
What is Permanent and Total Disability (PTD)?
PTD is different to critical illness, in that it covers disabilities and not illnesses. It is a separate benefit and pays out when a person can no longer work due to a physical disability.