How Much Critical Illness Cover Do I Need?

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Understanding the importance of critical Illness Cover is crucial, as it provides a financial safety net during a serious illness, ensuring you can focus on recovery without worrying about your finances.

Through our experience providing mortgage advice in Hull, we have found customers are interested in taking out critical illness insurance in order to cover mortgage repayments; however, they are unsure of how much they need. Check out our guide on factors to consider when working out how much critical illness coverage you will need.

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What's Critical Illness Cover?

Critical Illness Cover is a type of insurance that pays out a lump sum in the event you are diagnosed with one of the serious illnesses listed in the policy.

This insurance generally covers conditions including cancer, heart attack, stroke, and multiple sclerosis. Furthermore, the lump sum you get can be used for anything, with many people using it for medical bills, mortgage payments, and more.

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Take a look at your current financial obligations

To determine the necessary amount of critical illness coverage, it is important to assess your current financial responsibilities, including mortgage/rent payments, living expenses, debts, and any dependents, such as children or elderly parents.

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Review your health and family history

Another factor that can help you determine the coverage you need is your health and family medical history. If your family history includes individuals with serious illnesses, choosing a higher coverage is best.

Remember to also factor in your health and existing condition, as this might increase your risk.

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Think about any future plans you have

Thinking about your current financial situation is important, but it's equally crucial to consider your future plans. For example, if you're thinking of having children, it's essential to factor in the costs of childcare. Remember, you can always review your protection in the future if your circumstances change.

Our Insurance Specialists in Hull are here to help

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Whether you are looking to take out new critical illness coverage or have a current policy you'd like to review, our team of experts can help you find the coverage you need tailored to your financial situation.