There is a far higher chance that you do not die prematurely but suffer a Critical illness, such as a cancer, stroke or heart attack.
Should you suffer a heart attack or cancer, you may not be able to return to work for a considerable period of time, or maybe not at all. The mortgages remain, as do all the normal household bills and future commitments, but your income has stopped.
Critical Illness cover is available as an addition to life insurance, or as a stand alone policy and is designed to pay out on diagnosis of a number of critical illnesses. This type of policy is designed for the benefit of you, rather than your dependents. The lump sum paid out can be used to clear any outstanding mortgage, produce an income or even used to buy specialist medical treatment.
Since there is a greater chance of contracting a critical illness before age 65 than there is of dying, this cover tends to be more expensive than life insurance
Some recent statistics from Aviva Ltd (a large International Life Insurer) shows that the average age of a male claiming on a critical illness policy was 44 years old and for females it was 42. For males, 54% of claims were for cancer and 20% for heart attacks. For females, 79% were cancer related and only 2% were for heart attacks.
If you would like to learn more about Critical Illness insurance contact us here.
In order to determine the best solution for you, meet with one of our advisers, who will asses your current situation, or issue that you want addressed, and will construct an effective affordable solution specially tailored to fit your needs.