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Terminal illness cover

Life insurance for the terminally ill is a way you can achieve peace of mind for the future. By taking out terminal illness cover, you can protect your family, and yourself, from the financial burden of terminal illness and the prospect of not being able to work in your final months.

life insurance options

We all hope the worst will never happen, but it’s important to remember that planning ahead is the only way to give yourself peace of mind. That’s why some people take out terminal illness insurance. Terminal illness cover is an extra layer of life insurance that pays out if you’re diagnosed with an illness that doctors confirm will eventually prove fatal. It’s a different idea to standard life insurance, so we’d like to explain the details to you carefully.

What is terminal illness cover?

So what do we mean by terminal illness cover? Standard life insurance gives your loved ones a sum of money if you pass away during the term of the policy. Terminal illness protection lets you and your loved ones receive the payout before you die, providing that you can confirm your illness is going to prove fatal within a certain time.

This is usually agreed to be between 12 or 18 months. That is to say, if a doctor can confirm that your illness is estimated to end your life within this time, you will receive the payout. Of course, if you do live longer, you won’t be expected to pay anything back.

What is a terminal illness?

As mentioned above, being terminally ill means that you are diagnosed with a sickness that will ultimately be fatal, and in this type of cover, it is expected to happen within the next 18 months. An example of this could be an aggressive or advanced stage of cancer. Should you find yourself in this situation, there are many other benefits and forms of support that you may also be able to claim, as Marie Curie explains here." 

It can be useful to compare this type of insurance with critical illness cover. This is a different type of insurance that will pay out if you develop a serious condition that could make it harder to live your life as normal. This could include, say, a heart condition or stroke. While not terminal, such an illness could have a critical effect on how you live, the cost of your living, and your ability to earn for your family.

Post Office Life Insurance with Terminal Illness Benefit

It is important that it is clearly understood what is meant by both 'terminal illness' and 'critical illness' by your insurance provider. Please check the insurers policy for their definition of critical illness terms.

Terminal Illness Benefit is absolutely free with Post Office Life Insurance polices, but you can also add an extra layer of protection by purchasing Critical Illness Cover with any of our life cover options. For a full definition of terminal illness please see page 4 of our terms and conditions.

Who would be considered for terminal illness cover?

Most people will be able to get terminal illness cover, unless they have a pre-existing condition that could prove terminal. Once you have terminal illness insurance, you would be considered for a payout only when a doctor or specialist confirms the diagnosis. Some insurers may also ask for an extra, independent review of your condition for confirmation.

Is terminal illness covered by other insurance, such as cover provided by my employer?

Terminal illness cover is often included in life insurance policies, but you shouldn’t just assume that this is the case with your own policy. So if you have life insurance already, or are about to take out a standard life insurance policy, ask about whether terminal illness cover is included. If it isn’t you may be able to add it with an extra premium.

Some people may receive terminal illness insurance as a benefit at work. Again, this will depend on the benefits package and any insurance on offer. Because you’ll be getting this as a work benefit, you won’t be able to take it with you when you change jobs. Generally speaking, as with most life insurance policies, you will get a more competitive policy if you’re healthy and relatively young, so it could be worth getting your own terminal illness cover anyway. That way, you won’t need to worry about having to organise a policy later in life when the premiums offered may be more expensive.

If you are considering taking out a life insurance policy from the Post Office, Terminal Illness Benefit comes at no extra cost.

More ways to get covered

Life Insurance

Our Term Life Insurance comes with Terminal Illness Benefit as standard. We have three types of cover to suit your lifestyle.
 

Life Insurance

Over 50s Life Insurance

Our Over 50s Life Insurance offers you whole-of-life cover so you can leave your loved ones the gift of peace of mind whether you want to help relieve them of the costs of your funeral or leave them a financial security blanket.

Over 50s Life Insurance

Critical Illness Cover

Get extra protection and peace of mind by adding the optional Critical Illness Cover to your Post Office Money Life Insurance.

Critical Illness Cover

Free Parent Life Cover

If you have children aged under four years old, you could get £15,000 of life cover free for a year.
 

Free Parent Life Cover

Still have questions?

You can find more life insurance articles at Post Office My Family.