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Q: Which illnesses are covered under Critical Illness cover?
Answer: Critical illness cover is a long-term insurance policy that will pay out a tax-free, lump sum amount upon being diagnosed with one of the illnesses covered during the term of your policy.
You can use this money to help pay off any debts you may owe or to pay your mortgage or rent. If your injury or illness requires you to renovate your home to better accommodate living with your condition, you could even use the money to make those improvements.
Critical illness policies will only pay out if the specific illness or injury you’ve been diagnosed with is one that your policy covers – one they deem “critical”.
Not all common conditions may be covered and there are often stipulations about how severe your ailment must be to secure a payout.
A few of the conditions that are generally covered by most providers are:
- Stroke
- Heart attack
- Cancer (Specific types and stages)
- Multiple Sclerosis
- Alzheimer’s and Dementia
- Organ failure
- Certain surgeries
These conditions tend to be degenerative in nature, preventing the continuation of leading a normal working life. Different policies will cover different diseases so be sure to review a proposed policy carefully and it’s important to remember that you cannot seek coverage for an issue that you are already aware of.
Also, keep in mind that this type of coverage is not a long term solution as you only get a one-time payment.
To learn more about how a critical illness policy could fit into your financial plan, download our free Factsheet below, and get in touch with the experts at Dental and Medical Financial Services.