Critical illness query

Jap35

My husband bought life insurance policy covering critical illness in 2006 - in 2008 (age 49) he was diagnosed with cancer and had an operation to remove half his stomach and half his oesaphagus. Eight years on and he has the all clear, though not without everyday probs (like not being able to sleep flat etc). He returned back to full-time work 6 mths later as a must and we downsized for a smaller mortgage and hopefully earlier retirement.

We contacted Norwich Union (now Aviva) at the time to notify them what happened and asked for advice and guidance regarding the life insurance, they acknowledged our reply and said there would be no change to the policy. We are still paying this same policy. We do wonder whether we were a bit naive in not pursuing the issue of critical illness at the time. My reason for posting this is: have we left it too long to do anything about and I hope my forum post will help others to think about their own policies should health take a turn for the worst?

fleetingmind

I'm pretty sure there isn't a time limit and as long as you paid your premiums up until the time of diagnosis and the illness matches one on the policy (including any ongoing symptoms) they should still pay out.

dunstonh

You should make a claim on the CI policy within 120 days of the event or as close as possible to that given that circumstances won't always allow it.

Whilst most insurers will consider retrospective claims, the longer you leave it the harder it becomes as NHS records may not be available and tests cannot be completed.

I would suggest making the claim now explaining that you did not realise he was covered and see what happens from there.

kingstreet

Jap35 wrote: »

My husband bought life insurance policy covering critical illness in 2006

It was definitely life and critical illness cover and not life and terminal illness cover?

Do you have the policy documentation and the list of critical illness definitions covered?

Jap35

Many thanks for your reply - I think you are correct about having life and terminal illness cover, we had mistakenly assumed CI cover was in place because our policy information book mentions this - our actual policy details highlight life and TI cover only though. Thanks again.

dunstonh

It is a very common error and one we see on this board frequently.

ThinkingOutLoud_2

Sounds like good news that your husband is doing so much better.

And per you aim to help others, I think now you have clarified you have a life insurance policy which may start to pay out if he is ever diagnosed as terminally ill (and usefully before he dies). This approach is actually quite standard, but as you found can be misleading / confusing vs. critical illness over which this is not. The diagnosis must be life-ending, I believe.

One question you don't ask is if you should keep that policy going? Assuming you need some money if he should pass away. I think the answer is YES! You may be clearer on this, of course.

Although he is now "better", the premiums you are paying reflect the fact you took the cover out before he was ill. Your insurer promised when you took the policy out to pay out if he later died and cannot exclude death due to any illness that arises after the life policy began.

If you tried to buy the same level of cover today - every insurer is going to look for a much higher premium - partly because he is older, but mainly down to past cancer diagnosis.

So long may he prosper, but that policy is certainly one to keep going in my humble view! (not advice just opinion)