JerryChicken wrote:
I was self employed for 23 years and my bank tried every year without fail to get me to take up critical illness cover, I laughed at their policy every year, extortionate cost for what was nothing more than a simple life insurance policy.
From memory you had to have been diagnosed (not just treated for an illness) that was life-changing or terminal and the diagnosis had to be six months old before they would start to pay out an equivalent sum to your monthly salary, the idea being that you would fund yourself for six months and then the policy would take over.
As I explained every year, if I was THAT ill, so ill that I couldn't work for six months, then we would sell the business and change our lifestyle and no end of persuasion from a bank sales rep (or "financial advisor" as they prefer to call themselves) would ever convince me otherwise.
When I was diagnosed with RA and was weighing up the options of giving up work, I had a look at what my mortgage "critical illness" would cover me for. And I was shocked. Not only for instance do you have to be an amputee, you have to be a
double amputee before they would even
consider paying. You also had to have something like 6 months to live before they would pay out. Something as debilitating as rheumatoid arthritis that left me bed bound at that time was just a piffiling little ailment to them. As was pointed out to me the DWP will pay the interest on your mortgage for a time, which helps.
I now just have life insurance, as does Mr HWS, to cover either one of us for the mortgage. I woudln't waste my money on illness or critical illness cover and thats coming from someone with a diagnosed, recognised condition
