What Could Critical Illness Cover Mean for You?
By WeCovr
Explore the value of a financial safety net
A serious illness can have a devastating impact, and not just on your health. The financial strain of being unable to work, paying for private treatment, or making adaptations to your home can be immense.
Critical Illness Cover is designed to ease this burden. It pays out a tax-free lump sum on the diagnosis of one of the specific conditions covered by the policy, giving you the freedom to make choices that are right for you and your family. You could use the money to clear your mortgage, replace a lost income, or simply give you the breathing space to recover without financial pressure.
Use our Cover Explorer below to visualise how different levels of cover could provide peace of mind during a difficult time.
Critical Illness Cover Explorer
Select Your Desired Cover Amount:
A lump sum of
£100,000
could provide significant financial peace of mind.
This could replace the average UK salary for approximately:
2.9 years
allowing you to focus on recovery without financial strain.
Critical illness cover calculator guide for UK families
WeCovr's critical illness cover guide helps UK families estimate a lump-sum safety net, supported by FCA-authorised guidance and 900,000+ policies issued across protection products. It is designed to show how a payout could help protect your home and income after a serious diagnosis.
How to use this critical illness calculator
The calculator helps you visualise a range of cover amounts so you can decide what would meaningfully reduce financial stress during recovery. Many people start with their mortgage balance, major debts, or a year or two of income.
Coverage needs are personal and depend on your savings, household costs, and whether you would need to fund private treatment or home adaptations.
Focus on mortgages, debts, and income replacement.
Consider one-off costs such as adaptations or travel.
Review any employer benefits or existing policies.
What critical illness policies typically cover
Policies pay a tax-free lump sum after diagnosis of specified conditions, such as certain cancers, heart attacks, or strokes, according to the insurer's definitions. The covered conditions and severity definitions vary by provider.
Understanding the policy definitions is as important as the cover amount. Claims are paid when the condition meets the defined criteria.
Choosing cover that matches real needs
Some people aim to clear a mortgage and keep their monthly expenses low, while others prioritize replacing income for 12 to 24 months. You can also combine critical illness cover with life insurance for broader protection.
Why families use WeCovr
WeCovr provides FCA-authorised guidance with high customer satisfaction ratings. We also offer complimentary access to the CalorieHero AI calorie tracking app and discounts when customers take PMI or Life insurance.
Data sources and guidance references
This guide references FCA guidance on insurance advice, NHS information on treatment pathways, and GOV.UK resources on financial planning.
Critical illness cover structures compared
| Option | Estimated cost | Key factors | Best for |
|---|---|---|---|
| Standalone cover | Moderate | Lump sum on diagnosis | Focused critical illness protection |
| Life + critical illness | Higher | Payout on death or diagnosis | All-in-one family protection |
| Family income benefit | Lower | Pays monthly after illness | Ongoing income support |
Related WeCovr resources
FAQs
How much critical illness cover should I have?
A practical starting point is to cover your mortgage and major debts, then add 12 to 24 months of income for recovery costs.
Does critical illness cover pay for any diagnosis?
No. It pays for specified conditions that meet the policy definitions, which vary by insurer. Always review the full list of covered conditions.
Can I combine critical illness cover with life insurance?
Yes. Many people choose a combined policy so that a payout is available on either diagnosis or death.
Is a critical illness payout taxable in the UK?
In most cases, payouts are tax-free when the premiums are paid personally.
Choosing the right amount of cover is a personal decision. Some people aim to cover their mortgage balance and other major debts, while others choose an amount equivalent to one or two years of their salary.
It's vital to check the policy documents for the full list of conditions covered and their precise definitions, as these can vary between insurers. Many people choose to combine Critical Illness Cover with a Life Insurance policy for comprehensive protection.
Our advisers are on hand to help you understand the details and find a policy that fits your needs and budget. Tap the button below to get a personalised quote and expert advice, completely free of charge.
Critical illness cover calculator guide for UK households
WeCovr's critical illness cover calculator helps UK households estimate lump-sum cover, backed by FCA-authorised guidance and 900,000+ policies issued across protection products. WeCovr also supports private medical insurance UK planning, while this guide outlines critical illness basics.
What this critical illness calculator estimates
The calculator estimates a lump-sum target based on debts, recovery costs, and income replacement.
Policies and definitions vary by insurer, so the results are illustrative only.
Estimates a lump-sum protection target.
Highlights major costs during recovery.
Supports planning alongside life cover.
Condition definitions matter
Insurers define covered conditions differently. Always review the policy wording before buying cover.
Why WeCovr supports family protection
WeCovr provides FCA-authorised guidance with high customer satisfaction ratings. We also offer complimentary access to the CalorieHero AI calorie tracking app and discounts when customers take PMI or Life insurance. If you are also exploring private medical insurance UK, we can help you compare private health cover with a trusted PMI broker.
Data sources and guidance references
This guide references FCA guidance and UK health and protection statistics.
Critical illness planning checklist
| Area | Why it matters | Example costs | Notes |
|---|---|---|---|
| Mortgage | Keeps housing secure | Balance payoff | Often a priority |
| Recovery costs | Covers treatment gaps | Travel or rehab | Varies by case |
| Income gap | Supports bills | Monthly expenses | Pair with IP |
Related WeCovr resources
FAQs
Does critical illness cover pay monthly?
No. It typically pays a lump sum on diagnosis of a covered condition.
Is the calculator result guaranteed?
No. It is an estimate to help you plan and should be checked with adviser guidance.
Can I combine with life insurance?
Yes. Many people combine life and critical illness cover for broader protection.
Does it cover every illness?
No. Coverage depends on each insurer's definitions and terms.