In 1983, the first form of critical illness cover was introduced in South Africa. It was known as dread disease insurance and has quickly became a popular form of insurance around the world. It was originally sold as a way to protect yourself from cancer in North America and it covered a variety of types of the disease. This “cancer policy” was the original critical illness cover and has became quite popular in Europe, North America, and even parts of Asia.
The policies cover you, if you are to become ill during the term of policy. They will cover you against a specific number of illnesses as listed by the insurance provider. At the time of diagnosis you will receive a lump sum of money. It is often tax-free. The types of critical illnesses that will be covered can vary but you can be rest assured that cancers, stroke, heart attack, and most types of heart surgery will be included in a policy like this. Many companies may only cover 5-10 illnesses but they will likely be cheaper policies while over policies could over 100 different illnesses. When you are diagnosed with a critical illness it can be a difficult time on its own, so not having to worry about finances can be very helpful for many people. That way you can focus on getting better.
The term Dread Disease Insurance didn’t really catch on around the world so it was soon marketed under different names to help popularize this form of insurance. You wont hear many firms calling it that anymore. Instead, they will use alternatives like trauma cover, crisis cover, or even living insurance but Critical illness cover and critical illness insurance are the most popular. At one point in it’s history critical illness cover had very strict guidelines as to when it would payout but that has changed in recent years. Now it is a safe form of insurance that has strict guidelines that dictate when someone will or will not be paid out. A lot of insurance providers have expanded the number of conditions in order to be able to tap into a much larger customer base.
Critical cover is most useful for people that live in countries with poor social health insurance that would not cover them for a serious illness. In many countries around the world if you get sick, it becomes your problem and no one will pay for it except you. You might also want to get critical illness cover if you want extended coverage if you fall ill. Having this protection could mean that you have the best possible care and treatment and for many people that is worth it. It means they can get healthy faster.
There are a number of extras that come along with this type of policy as it will cover medical expenses as well as normal life expenses in many cases. Your policy could cover the repercussions of any illness and for that reason alone, it might be worth it to think about one of these policies. Chances are your home and modes of transportation will need to changed as a result of a serious illness or disease and this can be quite expensive but many Critical Illness policies will cover against this.
Looking to find the best deal on critical illness cover for children, then visit www.criticalillnesscover.org.uk to find the best advice on the illness covered with critical illness cover.
Tags: critical illness insurance, life cover, life insurance, money