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CRITICAL ILLNESS COVER

Compare Critical Illness Cover

  • Protect what's important to you with critical illness cover

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Compare life insurance quotes from 20 trusted UK providers 4

Get cheap life insurance by comparing deals from leading UK insurers, all in one place.

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1Based on £100,000 worth of level term cover for a 30 year-old non-smoker with no pre-existing medical conditions over a 20-year period (April 2024).

2Gift Card value varies based on the first monthly premium of the policy and will be confirmed on the results page. Offer ends 21st October 2024.

3Restrictions apply, see www.amazon.co.uk/gc-legal

4Accurate as of May 2024.

What is critical illness cover?

Critical illness cover is a form of life insurance designed to provide financial security if you become seriously ill or injured. If you're diagnosed with an illness covered by your policy, you typically receive a tax-free lump sum payment.

This money can be used however you see fit, whether it's to pay off your mortgage, compensate for lost income, make home modifications, or provide financial support for your dependents.

How does it work?

Compare quotes to find a policy that suits your needs and as long as you keep up with your monthly or annual premiums, you'll remain covered until the end of your policy's term. If you're diagnosed with a critical illness and need to make a claim, you'll have to provide evidence such as medical test results.

Once your provider has assessed and approved your claim, your insurance provider will pay out your lump sum payment. Your cover will end as soon as your claim has been made.

Choose from two main types of life insurance

MoneySuperMarket compares two main types of life cover with features to suit differing needs and budgets.

Family protection- level term

Level term life insurance policies, often referred to as family life insurance, have a fixed payout that stays the same for the whole policy term.

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Advantages

  • Your premiums stay the same: helps to simplify your budget, knowing exactly how much you need to pay each month

  • You know how much your policy will pay out: offering peace of mind to you and loved ones

Disadvantages

  • More expensive: not as cheap as other policy options

  • Doesn’t account for inflation: this may devalue the final payout in the future

Mortgage protection- decreasing term

Decreasing term life insurance policies, often associated with mortgage life insurance, pay out a lump sum that decreases over time. 

A Chart depicting decreasing term insurance with a line showing premiums declining with length of policy


Advantages 

  • Usually offers cheaper premiums than other policies: a good option if you're looking for a life insurance quote on a budget

  • Suitable protection for a mortgage or debt: eases the financial pressure for you and your loved ones

Disadvantages

  • Not suitable for all mortgage types, e.g., interest only mortgages

  • There is little to no payout remaining once you have paid off the debt

What conditions are covered and not covered?

Critical illness insurance covers a range of conditions but the full list of conditions and the severity of each illness you're covered for can change depending on your provider or the level of cover you choose.

Here are some of the most common conditions that are covered, sometimes covered, and not covered with critical illness insurance:

  • Tick

    Core conditions

    Critical conditions recognised by UK insurance providers typically include:

    • Cancer

    • Heart attacks

    • Strokes

  • Plus

    Sometimes covered

    Common conditions covered by critical illness insurance policies include:

    • Multiple sclerosis

    • Alzheimer's

    • Loss of limbs

    • Organ failures

    • Permanent disabilities

    • Traumatic head injuries

    • Parkinson’s

    • Permanent disability.

  • Cross

    Conditions not covered

    • Pre-existing conditions

    • Hereditary illnesses

    • Chronic conditions

    • Temporary illnesses

    • High blood pressure

    • Broken bones

    • Alcohol or drug abuse

    • Injuries as a result of hazardous sports or similar pastimes

What factors affect the price of critical illness cover?

How much you pay for critical illness cover will depend on factors including:

The younger you are, the less you should pay, so it can be worth it to purchase insurance sooner.

Some jobs are seen as higher risk and will increase your premiums.

Certain habits such as excessive alcohol consumption or smoking will push your premiums up.

Having a clean bill of health with no serious health scares will reduce your premiums.

Choosing individual or joint cover will affect the cost of your policy.

The level of cover will have an effect on cost, with greater cover being more expensive.

Alicia Hempsted

Our expert says

Critical illness cover can help you when you need it the most, which is when the unexpected happens. According to the Association of British Insurers* the three biggest claims for illnesses in 2023 were stroke, heart attack, and cancer. All of these are difficult to anticipate, making it crucial to have the right insurance in place.

Some policies even offer a hospital benefit, which will pay out an amount per day while you're receiving hospital treatment as an inpatient. Check your policy to find out what extra benefits yours will give you.

- Alicia Hempsted, Insurance Expert

How much critical illness cover do I need?

When working out how much cover you need, you need to think about the following:

  • Consider current earnings: Evaluate your current earnings and the required level of financial cover you'd need if you were unable to work.

  • Confirm your outgoings: Assessing your monthly bills and essential expenses is crucial when determining what amount of cover your outgoings if you become critically ill.

  • Factor in mortgage and debts: Take into account outstanding mortgages or debts while calculating the necessary level of critical illness cover, ensuring comprehensive financial protection.

  • Consider your budget: Take into account outstanding mortgages or debts while calculating the necessary level of critical illness cover, ensuring comprehensive financial protection.

Receive a gift card when you buy life insurance

Take out life insurance online through MoneySuperMarket and receive an Amazon.co.uk Gift Card* worth up to £250.

The gift card is redeemable within 40 days of the 6th life insurance payment. Gift Card value varies based on the first monthly premium of policy and will be confirmed on the results page. Terms and conditions apply. Not available to those who’ve received a voucher with life insurance purchased after the 1st of May 2022. One voucher per person. Offer ends 21st October 2024.

*Restrictions apply, see www.amazon.co.uk/gc-legal

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Compare joint life insurance with MoneySuperMarket

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    Fill in the type of cover you're looking for, your age, height and occupation, whether you smoke or drink, your family's medical history, and any pre-existing conditions.

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    Once you've found the policy that's right for you, all it takes is a click through to your chosen provider to buy your policy today for the price you see

Need advice on life insurance?

We run our life insurance service with our partner, LifeSearch. If you’d like some guidance about what kind of cover you need, you can talk to them free of charge. Give them a call on 0800 197 3178.

Their opening hours are: 

  • Monday to Friday 8 am to 8 pm

  • Saturday 9 am to 2 pm

  • Sunday 10 am to 3:30 pm 

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You and your partner can take out a joint critical illness cover policy. Think carefully about how you want the policy to work. With most joint policies you will only be allowed a single claim. So, for example, if you were to be diagnosed with a critical illness and then claimed on the plan the policy would end and your partner would no longer have the cover. In some cases, however, you can buy joint policies that continue to cover the second person – even after a partner has claimed.

Some insurers offer automatic cover for your children under their critical illness policy, while others may add family cover at a lower cost – either way, you should check beforehand if you think it’s something you might need.

What you should keep an eye out for is the amount of cover your child will get – it could be a range, a set amount or even a specific percentage of the amount of cover you have for yourself.

Some providers may offer standalone critical illness life cover. However, most people take it out alongside life insurance because it’s generally cheaper to buy the two types of cover together.

Most insurers will let you adjust the level of cover you have with your policy, as well as the duration of the policy term and any extras you might want to add or remove. However, you shouldn’t automatically assume this is the case – check with your insurer to be certain.

Your critical illness policy is unlikely to have a cash-in clause, either during or at the end of the term.

If you have combined critical illness cover as part of your life insurance policy you’ll only get one payout – which means if you claim for a critical illness your life insurance policy will end.

However, critical illness cover can also be added to a life insurance-only policy for an extra cost.

If you have the additional critical illness cover with your life insurance policy, it will pay out both when you’re diagnosed with the illness and when you pass away.

The purpose of the lump sum is generally to pay for medical costs or treatment to improve your quality of life, but you’re free to spend it however you would like.

No. Once you have claimed and a lump sum is paid out your coverage under the policy automatically ends.

Terminal illness cover is different to critical illness cover and is usually included as a standard in life insurance policies. It means your insurer pays out if your doctor has confirmed you have a terminal condition and you’re likely to pass away within 12 months.

While both critical illness insurance and income protection insurance support you financially if you are unable to work, they do so in different ways. Critical illness cover will typically provide you with a one-off lump sum payment if you are unable to work because of a health condition. Income protection insurance works differently by covering your loss of earnings for a fixed period or until you can return to work. Different types of income protection insurance are available that can either cover a set portion of your salary, or your mortgage or loan repayments, for example.

The main difference between critical illness cover and terminal illness cover is that critical illness cover pays out for serious conditions that don't necessarily lead to death but can impact your way of life, such as strokes or heart attacks, whereas terminal illness cover pays out for conditions that are more likely to be fatal within a year and can't be treated, such as certain stage cancers and tumours.

The main difference between the two is how you receive your lump sum payment if you make a claim. Critical illness pays out to the policyholder directly if they have a medical emergency that affects their lifestyle, such as a heart attack or a stroke that affects.

Life insurance pays out the amount to loved ones after the policyholder dies. Both can be purchased individually, or you can add critical illness onto your life insurance policy.

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