Critical Illness cover

My first piece of advice in this article is if you have critcial illness don't cancel it! As October is Breast Cancer Awareness month I felt it would be useful to share Amy's story.

She has cover and nearly cancelled her critical illness cover when she was made redundant.

Thankfully she didn’t.

Weeks later she was diagnosed with breast cancer, and critical illness cover proved invaluable.

If there is a story that best illustrates why everyone should have critical illness cover, it is Amy’s.

Being diagnosed with cancer

In the summer of 2022, Amy found a lump in her breast. It was diagnosed as cancerous and within weeks she had a lumpectomy.

What sets Amy story apart from many others is the fact that she was out of work at the time. She was considering ceasing her critical illness policy but chose not to.

A crucial, and correct, decision, as it turned out.

Amy is married with two children in primary school. After a career working in both the public and private sector, she was made redundant in 2014.

She decided to become a self-employed business change consultant. Her husband was also self-employed, so having lost her corporate benefits package, the couple had to think hard about their financial situation.

As self-employed people facing unpredictability and no safety net, both took out critical illness and life insurance policies.

Amy is clear: critical illness cover is not cheap; her policy was costing £77 a month and there were times when she contemplated cancelling it.

She went back to employment for a time then decided to leave and it was whilst deciding on what to do next she received a shocking diagnosis.

The benefit of retaining critical illness cover

When Amy found a lump in her breast within weeks she had a lumpectomy, an early diagnosis meaning the growth was still small.

From November 2022, she faced hormone therapy that will be administered for between five and ten years.

In December of that year she also had to ensure five days of radiotherapy “that completely floored me.”

All of this was made more bearable as Amy could call on her critical illness policy.

She was thankful she had retained the cover as it proved vital in her battle to recover from cancer. “I called Legal and General the day after I received the diagnosis. There was a wait for the payout as the lump and surrounding tissues had to be assessed. The level of payment ranged from 25 to 100 per cent, depending on the severity. My cancer had spread so I received 100 per cent.”

Alleviating financial stress The fight against cancer has been mentally and physically tough for Amy.

But the financial stress she felt following her diagnosis was alleviated following her payout. “I was on employment support allowance for the first few months – £117 a week. That didn’t cover our food bill, let alone everything else.”

Amy was planning to go back to work in March 2023, but that fell through.

Under the circumstances she is relieved: “It was lucky, because I really wasn’t well enough.”

The lump sum replaced her income and allowed her to pay off 10 per cent of her mortgage.

It also meant she could save a substantial amount, providing some peace of mind, given her physical health and the state of the employment market.

Amy’s advice to young women

Amy is a woman who, like everyone else, never believed cancer would happen to her. Her maternal grandmother had been a sufferer in her 60s, but that was the only instance in her family.

She had often questioned whether critical illness was a waste of money.

Now she is emphatic: “Breast cancer is affecting women younger and younger.

Don’t take the risk.

Get covered.” She admits, “I was the principal earner in our family with two young kids. We also owned rental properties. It’s why I decided to keep critical illness in place.

We set up a joint policy that ensured all the mortgages would be paid off. It was so worth it.”

She makes this point: “Without critical illness, we would have ploughed through our savings. Now we have a savings pot that can support us for some time to come – vital when recovering from cancer.”

What is Critical Illness Cover?

Critical illness cover is an insurance policy that provides financial protection to individuals and their families in the event of a serious illness. The policy pays out a lump sum if the policyholder is diagnosed with a specific critical illness, as defined in the policy terms. The importance of critical illness cover cannot be overstated, as a serious illness can have devastating consequences, not just for the individual but also for their family.

The financial impact of a critical illness can be significant, as it can result in loss of income, increased medical expenses and other related costs.

Having a critical illness cover can provide a sense of security and peace of mind, as it can help to alleviate some of the financial burden associated with a critical illness. It can help individuals to focus on their recovery without worrying about the financial implications.

Moreover, the likelihood of being diagnosed with a critical illness is higher than one might expect. According to research, one in two people will develop cancer in their lifetime, and one in three people will develop cardiovascular disease.

Critical illness cover will give you peace of mind and can help you prepare for the unexpected and protect your financial future. Contact me for advice.