Farrell Heyworth Estate Agents help you find your next home, sell your current home or rent out your property. We are a one stop shop because we specialise in Residential Sales, Lettings, Auctions, EPCs, Mortgage Services, Conveyancing and Surveys and Valuations. FH are one of the largest independent estate agency groups, with over 600 Home Sale Network offices and 20 Farrell Heyworth offices in the North West.
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We never know what life has in store for us.
 
Of course, we all want to lead a long and healthy life, but unfortunately, the reality is that that’s not always the case. Illnesses are often unpredictable meaning that preparing for such a thing is an imperative part of life.
 
Saying this, John French, Sales Director for Mortgage Advice Bureau at Farrell Heyworth Estate Agents, discusses how important cover could be should the unfortunate happen.

Critical Illness Cover (CIC) is an insurance policy that covers a specific set of illnesses. If you were to be in the unfortunate situation of having one of these illnesses, CIC would pay out a tax-free lump sum that you could spend how you wish – be it paying off your mortgage or making alterations to your home should your illness require you to do so.
 

Does CIC cover all illnesses?
 

No. Each policy differs, but the key word is ‘critical’. Examples of critical illnesses include heart attacks, cancer (though only certain stages and types are usually covered) and other conditions such as multiple sclerosis.
 
Traditionally, early stage cancer would also not be covered until the disease reached a more serious stage.
 
And, although it should be noted that not all serious illnesses will be covered in your policy, this has begun to change in newer policies and you are now more likely to receive a partial (typically 15-20% of the full amount) lump sum if this was the case.
 
The amount of the lump sum pay-out will depend on how much you are paying into the cover and this would all be set out and explained in your policy prior to you taking the cover out.
 

So, what wouldn’t I be covered for?

If you are a smoker, you will have to pay a higher premium than a non-smoker, and if you have any previous existing conditions prior to taking out the cover, you may not be covered for those in particular.
 

How much does it cost?

How much your CIC costs you depends on the policy and a number of varying factors such as your age, whether you’re a smoker, your medical history, your job and the amount of cover you take out.
 

Is it really worth it?

The likelihood is that state benefits may not amount to enough to completely replace your income when you are off ill.
 
If you don’t have any savings that you could fall back on and you don’t have a benefit package with your workplace, CIC is something that you should seriously consider.
 
Think: take care of your family by taking care of yourself. Paying a small monthly payment could help take the pressure off yourself and your family, meaning you can spend more time dealing with your recovery.
 
For insurance businesses, we offer products from a choice of insurers.
 
For further information please call into your local Farrell Heyworth office, freephone 0800 389 1666 or visit www.mortgageadvicebureau.com/farrellheyworth. MAB 5801
 
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