Can You Include Your Partner On Your Critical Illness Policy?
Yes, as with Life insurance, Critical Illness policies can insure one or two lives.
Insuring one life (known as a Single policy)
If you only want insurance cover for one person you want a quote for a Single life. The benefits would be paid to you in the event of a claim and you spend the money as you see fit.
Insuring two lives (known as a Joint policy)
If you and your spouse are to be insured you need a Joint policy. Joint policies are written on what is called a first event basis. This means that if either of the policyholders were to have a claim the policy pays out and then automatically terminates. The policy does not continue for the survivor.
A better option for two people?
If you want to insure two people consider a Joint policy and then cost up the alternative of having a separate policy for each person. Why? Because with a Joint policy, after a first claim the policy automatically terminates. This leaves the survivor uninsured and at an older age when it is more expensive to obtain insurance or maybe impossible due to deteriorating health.
However, a Joint policy will always be cheaper than two Single policies.
Here’s a Tip:
You may find that you can get quote for a Life Insurance policy with Critical Illness cover cheaper than just Critical Illness policy alone! That would give you far more protection and it's cheaper too!
Frequently Asked Questions related to the above topic.
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