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covering critical illness

Critical Illness cover is designed to take the financial pressure off an employee, should they develop a medical condition defined as a critical illness by the insurer. Typically, roughly 13 core illnesses are covered including cancer, heart attack, stroke and dementia.

TAX-FREE SUPPORT

In the unfortunate event a critical illness is diagnosed, a tax-free lump sum will be paid directly to the employee who can spend it how they wish. It could be used to pay bills, fund healthcare costs, or finance a well-earned holiday to enjoy once treatment is complete.

The lump sum is normally based on a multiple of an employee’s salary from 1X to 5X, with the maximum benefit up to £500,000.

Children are typically covered free of charge from birth until their 18th birthday with lower benefits. Partners of employees can also be considered.

ADDED-VALUE BENEFITS

Most critical illness insurers allow the cover to be extended, at additional cost, to cover a more extensive list of medical conditions.

Added-value benefits such as stress counselling, nursing helplines and second medical opinion services are often incorporated within a critical illness policy. 

Including critical illness cover in an employee benefits package will show your employees that you care about their well-being. As a result, not only will you retain employees, but you will also attract new starters to join. 

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