Critical illness cover pays a tax-free lump sum if you’re diagnosed with a defined critical illness during the policy term. Provided you keep paying your premiums, you should be covered throughout the term.
When you take out a policy you can decide how long it will last e.g. until your children have grown up, or until the mortgage is paid off. Critical illness cover is often available as a combined policy with term life insurance. In these instances, you can often only claim once. For example, if you get a cash payout after being diagnosed with cancer, the policy is effectively finished. There is usually no life insurance payout if you die at a later date.
Plans may not cover all definitions of a critical illness. The definitions vary between providers and will be described in the key features and policy document if you go ahead with a plan.
