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However distasteful or uncomfortable it may be to consider our own mortality, it is best to be prepared for the worst, if only for the benefit of those who are left behind. Ensuring that your life is adequately insured will mean that your beneficiaries will not face financial hardship should the worst actually happen. Similarly, many people also prepare for the possibility of contracting certain medical conditions and illnesses, or for physical disability that will prevent them ever working again - by taking out a special type of cover in the form of critical illness insurance. With this type of policy a lump sum is paid out following diagnosis of a condition or illness that appears on the insurer’s approved list. Although not all lists of critical illness and conditions issued by insurers are identical, common inclusions are cancers, kidney failure, permanent total disability and terminal illness. Depending upon medical history some individuals may not be covered for certain conditions, but the insurance company will alert those individuals to that fact before they take out their policy. Critical illness cover pays out a lump sum should you ever be unfortunate enough to have to claim, which can allow you the financial freedom to come to terms with being diagnosed with a serious illness, and to focus on your recovery. For example, you could pay off your mortgage; or make changes to your home, enabling you to feel more comfortable, and allowing you to get on with life. When calculating the amount of cover needed you could base it on a multiple of your annual salary, or set it according to a particular goal i.e. paying off the mortgage and leaving you with a lump sum to live on. Of course if you’re unsure as to how much cover you need, you should speak to a financial adviser. Critical illness insurance is often an add-on to life insurance policies, and insurers may also include free cover for children. As with the majority of life insurance policies, critical illness cover is available as single or joint cover and the cost of premiums will depend upon the age of the person insured, medical history, etc. - just as with any standard life policy. Although it varies between different insurers, generally to apply for critical illness cover you cannot be older than 60 or under 17 years-old. If you have dependants and already possess life insurance but without critical illness cover, you may wish to approach your insurer and enquire what options are available to add it to your policy, or indeed take out a new policy altogether that include both. Either way, it is important to consider your future, and from having suitable critical illness cover you can be sure that this is one less financial worry to be concerned about.
Article Source: http://www.mycontentbuilder.com
Andrew Regan writes for a digital marketing agency. This article has been commissioned by a client of said agency. This article is not designed to promote, but should be considered professional content.
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