Critical Illness Insurance – The Press Are Giving Insurers A Hard Time.
Policies that cover those who are in a critical condition following an accident are designed to provide financial protection for those on the brink of death. But insurers are struggling to keep up with rising costs, and this means that many people who could benefit from such policies have been denied the ability to purchase them. Those who buy insurance typically do so as a result of previous medical conditions, making individuals without serious health issues more likely to be denied insurance. The best way for individuals without serious health issues or medical conditions to get coverage is through investing in life insurance, which does not experience the same rate of denial as critical illness plans do. Life assurance provides financial protection should you die prematurely due to a critical illness or injury.
"The end of the year traditionally sees a spike in the number of people who claim to have been denied coverage due to their previous medical history. The high number of claims this year comes at a time when many part-time workers are worried about keeping their jobs, according to analysts"
"Insurers say they are increasingly under pressure from regulators and health authorities to ensure that individuals who do not have pre-existing medical conditions can get critical illness insurance."
A Critical Illness Insurance policy is designed to provide financial protection should you die prematurely due to an accident or some other medical condition. This means that you will receive a lump sum payment should you die as a result of getting sick. All of this is designed to provide the financial security required by those dealing with medical expenses on a regular basis.
The problem comes in the fact that insurers often cannot offer a policy to individuals who have previously dealt with medical problems. This results in an increasing number of people finding their claims being denied, which can cause them financial stress. The best way for you to protect yourself from situations such as this is by purchasing life insurance. This type of protection can be purchased in a way that does not require pre-existing medical conditions, meaning that you will be protected if you become sick or injured on the job and subsequently need surgery or treatment on a regular basis.
This is the reason some of the biggest life insurance companies in the world are introducing policies which will provide financial protection to their customers should they be involved in an accident or medical emergency. This provides individuals with a way to protect themselves from situations such as this, and it also means that they will be able to protect their families.
It should be noted that although these policies are designed to provide financial protection, it is not possible for you to get one if you have previously received a payout due to an accident or medical condition. Nonetheless, these companies are working towards finding ways to allow their customers access to these types of policies. It is not just life insurance companies that are working to provide this type of protection, with other insurers offering critical illness policies which do not factor in previous medical history.
Despite the fact that there is plenty of help available from companies offering these types of policies, a lot of people are still finding themselves stuck when it comes to getting cover. This means that you may be able to get a critical illness policy if you are able to get a physician who isn't affiliated with your health plan to write your letter. However, this can be expensive and inconvenient for many people. If you need financial protection for serious illnesses or injuries that occur through no fault of your own then it would be worth looking into the different options available.
Source: The Press Are Giving Insurers A Hard Time. The Guardian, 20 December 2016. By Natasha Loder. [Link]
Title: Life insurers will take part in work on critical illness insurance
"Major life insurance companies are taking a greater interest in setting up a scheme that would underwrite cover for chronic health conditions such as cancer, according to JLT Financial Services, the co-owner of investment manager Old Mutual UK.
As part of a review of the UK's critical illness insurance market, the Association of British Insurers and the Treasury have suggested that insurers become involved in setting up a reinsurance-based scheme that would be backed by government.
Such a scheme would remove an important barrier for people who want to buy cover but are rejected because they have had medical problems"
Source: Life insurers will take part in work on critical illness insurance. Financial Times. By Alice Ross and Emily Gosden, 16th January 2017. [Link]
Title: Insurers to set up £4bn-a-year critical illness protection fund within three years
"Insurers are set to commit more than £4bn a year in premium income by 2022 to an industry-led critical illness protection scheme, that will be backed by the government.
The move is expected to include premiums of £2.3 billion from general insurers and pension providers, and more than £2.4 billion from life insurers over the next three years, according to an industry estimate made in consultation with regulators"
Source: Insurers to set up £4bn-a-year critical illness protection fund within three years. The Telegraph. By Martin Isola, 16th January 2017. [Link]
Title: Life insurers desperate to push ahead with critical illness protection
"Insurers are desperate to push ahead with an industry-wide initiative that would provide a way for consumers to buy cover for chronic health conditions."
Source: Life insurers desperate to push ahead with critical illness protection. The Telegraph. By Emma Duncan, 16th January 2017. [Link]
Title: 1 in 4 life insurers predicted to embrace critical illness cover over the next three years
"The number of life insurers planning to introduce a critical illness cover product over the next three years has doubled from one in four in 2015, according to the Association of British Insurers' (ABI) annual survey. The ABI said that this figure has now risen even higher at 36%. This is 7 times higher than it was last year when it stood at seven percent."
Source: 1 in 4 life insurers predicted to embrace critical illness cover over the next three years. The Guardian. By Emily Gosden, 16th January 2017. [Link]
Title: Life insurance industry agrees to introduce a critical illness product
"The insurance industry said on Monday it will introduce a critical illness product within the next three years, as part of a broader agreement with the government. Some 85 percent of insurers that took part in ABI's annual survey said they would introduce a product within three years."
Source: Life insurance industry agrees to introduce a critical illness product. ReinsuranceOnline. By Thomas Johnson, 16th January 2017. [Link]
Life insurers have agreed to introduce a critical illness product over the next three years with the Government after pledging to raise funds for such schemes through higher insurance premium returns.
Conclusion : The insurers have agreed to set up a new critical illness product within the next three years, following a pledge from the ABI and Treasury to support an industry-wide proposal that could be backed by government.
Source: Life insurers agree to introduce critical illness cover. The Telegraph. By Emma Duncan, 16th January 2017. [Link]
Title: UK insurers make £3bn pledge for life-critical illnesses fund
"Insurers will raise £3 billion each year through increased insurance premium returns over seven years to support a new industry-led insurance protection fund, the Association of British Insurers (ABI) said on Monday.