Whilst we can’t predict the future, we can take steps to protect ourselves and our loved ones from the financial impact of unexpected illness or injury.
One way to do this is by investing in critical illness and income protection insurance. These types of insurance policies offer peace of mind, knowing that no matter what happens, you and your family will be financially secure.
Critical Illness Cover
Critical illness insurance provides a lump sum payment in the event that you are diagnosed with a serious illness. Most will typically cover life threatening conditions such as cancer, heart attack, or stroke. This payment can help cover medical expenses, perhaps repayment of debt, completing necessary changes to your home, or any other financial burden that may arise during your recovery. This type of insurance can be especially valuable if you are the primary breadwinner for your family.
In the UK, someone is diagnosed with cancer every 90 seconds on average. Macmillan Cancer Support estimate that there are currently 3 million people in the UK living with cancer, with this figure estimated to rise to 3.5 million by 2025, and 4 million by 2030.
Heart and circulatory diseases
Heart and circulatory diseases remain responsible for one in four deaths in the UK, with an estimated 160,000 fatalities each year – that is an average of 460 deaths daily or one every three minutes, according to the British Heart Foundation.
Statistics from the Stroke Association reveal that stroke now strikes every five minutes, with around 100,000 people suffering from this condition each year. Stroke is a leading cause of disability and death in the UK, affecting a significant number of people each year.
While it may be unpleasant to consider the sobering statistics above, the prospect of facing financial difficulties in the event of something bad happening is even worse.
Income Protection Insurance
Income protection insurance, on the other hand, would provide a regular income if you are unable to work due to illness or injury, after a period of continuous illness, typically set at 8-26 weeks. This can be particularly important if you have ongoing expenses such as mortgage payments, household expenditure or children’s education fees.
With income protection insurance, you can have peace of mind that you will be able to meet your ongoing financial obligations, if you are unable to work for an extended period. The claims statistics with income protection are largely linked to Musculoskeletal problems, Cancer, Mental Health and more recently Covid 19 according to Legal & General’s Claim Statistics for 2021.
Tailoring protection to meet your unique needs and budget
Both critical illness and income protection insurance policies can be tailored to suit your individual needs and circumstances. You can choose the level of cover that is right for you, as well as the length of time that you want the policy to run. This flexibility means that you can design a policy that will meet your specific needs and budget.
Of course, insurance is not a guarantee that nothing will ever go wrong. However, it can provide reassurance in knowing that you have taken the steps necessary to protect yourself and your family.
In conclusion, while we cannot predict the future, we can plan for it. Don’t wait until it’s too late – consider these insurance policies today to ensure that you are prepared for whatever comes your way.