Did you know: that only about 12% of UK adults have Critical Illness insurance and yet statistically, 1 in 3 of us are likely to suffer a serious condition?

Critical illness insurance pays out a lump sum should you contract any of a number of specified illnesses, perhaps allowing you to cover day-to-day living expenses while you receive treatment, or funding private medical treatment to ensure you get better more quickly.

The definition of a critical illness varies from insurer to insurer, but may include certain types and stages of cancer, stroke, heart attack, multiple sclerosis, Parkinson’s or Alzheimer’s disease or a major organ transplant.  It is important to read the policy to understand what is and is not covered.

As with any insurance, the more likely an illness is to happen, then the more expensive the policy will be, so the cost of critical illness insurance varies widely depending on age, medical history and what is covered.  As the critical illness is more likely to happen before death, this type of Insurance is more likely to pay out and therefore benefit the insured.

For a single person, in particular, critical illness insurance may be more relevant than life insurance, as such people may be more focussed on protecting themselves if they do not have any dependents.