In life, we often plan for the expected – a new job, a family holiday, or retirement. But what happens when the unexpected strikes? For Laura, a 52-year-old self-employed childminder from London, and her family, the unforeseen happened in the form of a severe health crisis.
Laura’s husband, John, has been a civil servant for over 20 years and loves his job. However, their lives took a dramatic turn last July.
John woke up feeling unwell and, believing it to be heartburn, decided to go to work. The next day, Laura received a distressing phone call from one of his colleagues. John was experiencing severe chest pains and had collapsed at work. His colleague was phoning her from the ambulance.
Fortunately, one of his colleagues, trained in medical emergencies, acted quickly and saved his life. John had suffered a massive heart attack, with 98% of his arteries blocked. Two stents were inserted immediately, but the road to recovery was long and arduous.
Financial hardship looming
John had to take four months off work and although he continued to receive his full salary, the family lost out on vital overtime income they had come to rely on. With mounting expenses and debts from a recent family trip to Australia, the financial strain could have been immense.
The lifeline – critical illness cover
However, one of MB Associates’ mortgage advisers, Leslie Morris, provided a glimmer of hope. While discussing their mortgage, Leslie pointed out that the couple could possibly make a claim on their critical illness cover – a policy they had taken out through another adviser over 20 years ago but had overlooked.
Laura recalls: ‘To me, critical illness meant I’d lost my arm or a leg and been permanently unable to do my job, or if I had cancer. We had no idea that John could claim for a heart attack until we were speaking to Leslie about our mortgage.’
Encouraged by Leslie, they decided to give it a try. To their surprise and immense relief, the claim was successful, and they received a lump sum of £60,000.
Rebuilding and planning for the future
The payout was truly a lifeline. The family used £40,000 to carry out much-needed renovations on their home, including roof repairs, a new bathroom, and new carpets. John and Laura each set aside £10,000 to help clear debts and provide a financial buffer.
‘None of us has a crystal ball,’ says Laura. ‘You never know what will happen in the future. This money has been a Godsend for us. We can now rebuild our lives, and we have a future to look forward to. We have a financial buffer. We can plan and do things for ourselves, and we would urge everybody to get a critical illness policy – especially if they’re self-employed.’
Laura and John’s experience highlights the vital role that critical illness cover can play in safeguarding families against financial hardship if the unexpected happens.
Key benefits of critical illness cover
- Financial Relief: A critical illness policy can provide a lump-sum payment that helps cover debts and daily living costs.
- Peace of Mind: Knowing you have a financial buffer can reduce stress and allow you to focus fully on your on recovery.
- Planning ahead: Critical illness cover enables you to plan for the future, even when faced with unexpected health challenges.
‘I’m glad they are now financially secure’ – Leslie’s view…
‘I met with Laura and John to discuss their mortgage and conduct a financial review to ensure they would be financially secure in the future. When I recommended they consider having financial protection, Laura mentioned they already had a critical illness policy they’d taken out over 20 years ago. Knowing about John’s heart attack, I immediately recommended they speak to their insurer as I felt it was likely that they would be entitled to a payout. They weren’t expecting anything to happen, but Laura went ahead anyway and made a phone call to their insurer. It was a pleasant surprise for them to receive a substantial lump sum payout.
‘I was very pleased to know that having a conversation with me – and not their original adviser – has meant that they were able to claim on the plan, providing them with future financial security.
‘If you’re diagnosed with a serious illness, it’s always worth consulting your policy to see what conditions it covers, as you never know. It also goes to show how important it is to seek advice from an experienced financial adviser about protecting your income in case of illness. If you have the right cover, it can make such a difference and give you peace of mind about your finances when you need it most.’
What does critical illness cover?
Critical illness typically covers conditions like cancer, a heart attack or stroke, Parkinson’s disease, or multiple sclerosis. Some policies will also cover other illnesses, such as organ failure, paralysis, and Alzheimer’s disease. Find out more about it here.