Why critical illness cover cannot be ignored

One of the most compelling arguments about committing to critical illness cover is that nobody really knows what’s coming their way. Even people with the healthiest lifestyles can find themselves experiencing a life-threatening condition, a situation that often radically alters their way of living.

For an adviser, the starting point would be undertaking a comprehensive financial needs assessment for their clients to identify the appropriate risk benefits. 

Liberty’s claim statistics for 2024 show that cancer, heart-related diseases and respiratory disorders remain the top three causes for claims. This has been consistent over the years, and all of these conditions can have serious lifestyle consequences. 

Having appropriate cover in place can assist with alleviating some of the financial burdens that come with these diagnoses. 

Understanding the depth of cover

Liberty’s Lifestyle Protector cover is designed to protect against a broad range of possible conditions and will pay for claims arising from one of over 150 defined critical illnesses. 

This cover offers a lump sum pay-out upon diagnosis, that may be used to cover any unexpected costs incurred in the client’s treatment or recovery, for example. 

This forward-looking benefit also includes embedded features, which mean that the cover stays relevant as medical procedures and treatment evolve.

Cover that goes the extra mile 

Advisers should be aware that something like cancer is never an easy condition to manage. Historically, claimants would simply receive an insurance payout at the beginning of their diagnosis, only to find they need more funds if the disease progresses or persists in some way. 

Liberty’s Cancer Claim Booster covers cancer progression beyond initial diagnosis and treatment. It pays an additional 25% after stage three or four cancer that progresses despite treatment, or which reoccurs after remission, or results in a 12-month life expectancy or less. 

A critical illness booster

Along with the innovative Cancer Claim Booster, Liberty also offers a Critical Illness Booster, which pays out an additional 25% to 100% for certain long-term conditions that require additional support. 

This offers support to clients who may have had a heart transplant, for example, and need something like anti-rejection medication for the rest of their life.

Having cover like this in place alleviates some of the financial burden that may result from a condition that has a life-long impact. Another example would be the loss of a limb, where ongoing treatment for physical and mental outcomes would be required to lead a more normal life.

Early cancer and mild illness cover upgrades 

A further cover offering is an upgrade to Liberty’s Extended Option that offers a breadth of cover for less serious diseases, but which still require some financial assistance. In this case, the cover pays out 10% of the Living Lifestyle sum assured.

Some of the most comprehensive insurance packages available 

Another useful benefit is the Child Living Lifestyle benefit in which a child, all the way up to the age of 25, stays covered. This recognises the global trend where children can sometimes spend longer in education to get ahead. 

An adviser should always be looking at new ways to offer comprehensive cover with their clients’ evolving needs. Most people will suffer a serious medical condition at some point in their lives, and being ready for this can make an enormous difference to the quality of life they experience.

Disclaimer: This article does not constitute tax, legal, financial, regulatory, accounting, technical or other advice. The material has been created for information purpose only and does not contain any personal recommendations. While every care has been taken in preparing this material and the portal links for this material (based on the information available to us at the time), no member of Liberty gives any representation, warranty or undertaking (expressed or implied) and accepts no responsibility or liability as to the accuracy, or completeness, of the information presented nor to the safety and security of the portal links provided or the sites to which it links. 

Liberty Group Limited is a Licensed Life Insurer, an Authorised Financial Services Provider (no. 2409) and part of the Standard Bank Group. Terms and Conditions apply.