Contractor Critical Illness Insurance

It’s hard to imagine but critical illness happens. Who’s got your back?

Government statistics suggest that you’re five times more likely to develop a critical illness than to die. That may seem obvious, but what exactly does it mean?

Being young and fit is not necessarily a pre-requisite for good health. On the outside, you can appear ready to take on the world. On the inside, especially with the added pressure that contracting brings, do you really know what’s going on?

We should take our lead from the Health and Safety Executive and look at the strict disciplines they impose on employers. We are both our own employee and employer. As such, it’s up to us to impart similar guidelines upon ourselves to protect our own interests.

We all try to stay healthy, but the reality with contracting is different. Very few freelancers work a straight 40 hours a week. Whether they admit to it or not, when you’re self employed, there’s no one to pay you holiday pay, no sick pay, no statutory holiday pay.

Admittedly, those are conditions that we accept as contractors as we venture beyond the 9-5 and begin working under our own steam. But that doesn’t take away the need for back up should the worst happen. It’s even more prevalent when there’s a mortgage and family to consider.

Just imagine for a moment, if you will, what added pressure your household would be put under if critical illness was to waylay you for an indefinite period. Your income gone, overnight. Not looking good?

Now compound that thought by considering that at least one family member would maybe have to relinquish their job to care for you. Or hire staff to care for you in their absence, then accept the role of carer when they got in from their job at night.

This is in no way meant to over-dramatise a situation. The simple fact is not one of us can predict when our health will be severely impaired.

Furthermore, no amount of saving or preparation can be set aside to deal with the exorbitant expense and time of caring for someone incapable of looking after themselves. Certainly not to the extent that a critical illness policy will provide in your hour of need.

Don’t take our word for it; here’s what our contractors say

We’ve arranged literally hundreds of critical illness policies over the years. Whether they’ve been used to provide lump sum payments or cover one-off expenses like hospital bills or treatment costs, they’ve been a lifeline for our contractors.

Here’s just a snippet of what our policy holders have gone on record as saying after securing the peace of mind that our cover brings:

Critical Illness Cover – protection for you and your family

Once you get to a certain age, the odds are that you know someone who’s been affected by cancer. Whether it’s curable or not, it’s not only the physical battle that ensues, but the mind games cancer sets off, too.

Having a plan to protect you and yours as soon as cancer’s diagnosed will allow you to concentrate on beating it, rather than fretting over the consequences of this terrible disease.

The beauty of the type of policy we offer is that a lump sum is actually paid out when diagnosis has been made. This means that you’ll be able to pay bills and for treatment in time for the money to be beneficial.

Unlike a life insurance plan, which deals more with the prospect of not leaving the family in debt and paying a mortgage, the payout may even precipitate a much needed holiday while you convalesce.

Critical illness cover benefits

As the testimonies suggest, above, our cover is simple:

• Our cover pays out when you are diagnosed, not when you die. This way, it helps you through the recovery process.
• It helps to maintain your independence by providing cash towards changes to your home and/or your car if your mobility is affected.

What to look for in a good policy

There are several key aspects to consider when choosing a critical illness policy. Specifically, these include:

• Ensuring that the cost of premiums remain affordable. It’s especially important that you’re able to contribute to the policy as time goes by, since this is when you’re more likely to need its cover
• Check that the provider is reputable and that you have some assurance that they will pay out on claims. Terms for a life insurance policy are pretty black and white: the person is either alive or dead, thus the provider must pay. Critical illness cover is a little different. Some providers may try to dispute terms and definitions. Look out for complex medical definitions that they could hide behind when the time comes to claim

Use the cover to work the way you want it to

Like any insurance plan, critical illness cover can be put to work in several ways. It’s therefore prudent to ensure that you take out a policy that works best for you:

• Coverage can be used with PHI. Contractors usually like to take out both together. PHI guarantees a monthly income if you become too ill to work and will keep paying until you are well enough to return
• Your critical illness policy can be used like Life cover. You can stipulate whether the policy is to run up until you reach a certain milestone, e.g. retirement, or if you want to be covered for life
• You also get the option of Decreasing Term Assurance, where the cover decreases over a set amount of time, or Level Term Assurance, where coverage remains constant

Critical illness cover is a way of controlling financial risk and providing sound protection for you and your family in the eventuality that you become too ill to work.

Do you have any specific queries about critical illness cover?

Or perhaps you’d like to know how you can combine this policy with other related products?

Please call us to discuss your critical illness cover today. It will both put your mind at rest and also allow you to offer your service, rather than worry about the ‘what ifs’ that can cloud even the brightest day.