Trauma Insurance - Also known overseas as Critical Illness Cover, pays a lump sum in the event of suffering a serious illness, the most common 3 claims are for cancer, heart attack and stroke. It is often possible to claim on the policy even if you were to contract an illness that is not immediately life threatening.

Trauma Insurance normally pays a lump sum if you are diagnosed with one of a number of specified ‘critical’ illnesses during the term of the policy. There may be a requirement that you survive for a period of 14 or 28 days following the date of diagnosis for the policy to pay out, depending on the company chosen. You could use the cash payment from a policy either to pay off a debt (such as a mortgage) or to provide you with an income if you become too unwell to continue working.

It is common for a Trauma Insurance policy to be combined with a life insurance policy to provide two types of cover. If you decide to purchase one of these combinations you should bear in mind that you will only be able to claim if you contract an illness, as defined in the terms of the policy, and you may lose the life cover element unless you have bought additional life cover.

You can have a joint policy with your partner, and this may prove to be cheaper than having two separate policies, but bear in mind that if one partner contracts an illness on the policy list, the other partner's cover will cease as the policy has satisfied its intended function.

Like many types of Insurance the prospect of having more than one person covered under the same policy is an important aspect of the planning required. If you need any assistance in deciding which approach is best for you then contact us.