A Critical illness cover mortgage offers a way for people to borrow money that is secured against their property. Loans can be taken out for the cost of the mortgage, but also for other costs that may arise, such as outgoings or maintenance. The benefits of this kind of borrowing are immense, but what about the disadvantages? Unlike simple loans, a critical illness cover mortgage requires several documents to be completed. However, once these are completed, the loan is usually processed within a few days and can be paid back over several years.   

Critical illness cover mortgages are popular because they offer great protection in the event that you have to make major outgoings or the property itself is damaged seriously. If you do not have medical insurance, critical illness cover mortgages are invaluable and are a great way to pay for them.

For critical illnesses that require frequent hospital visits or long-term care, the loan can cover these expenses as well. This alleviates the stress of having to take out a separate loan or make another claim on health insurance. The amount you borrow is usually paid back over several years with interest, although this varies according to the lender.

Advantages of a Critical Illness Cover Mortgage Include: 

– Stops you from taking out a separate loan             

– Keeps other claims aside 

– Eases medical costs 

– Can be used for other costs too   

Critical illness cover mortgages have many advantages to consider. But do also think over the disadvantages. If you are certain about taking out a loan, then critical illness cover mortgages are the way to go.  

Critical illness cover mortgages have been around for a while. They have been promoted heavily and had features added to them over the years. However, there are still some disadvantages that people should consider before getting one.      

  1. The premium can be expensive and may take up to 6 months to pay back if you die or are diagnosed with a critical illness 
  2. There is a possibility that you will never claim on it (it is an ‘insurance’ policy after all) 
  3. 4. You may get more insurance than you actually need
  4. All this depends on you having good medical care and the illness being critical. 

The critical illness part is of vital importance to a critical illness cover mortgage. Only illnesses that you yourself feel are really critical will be covered. For instance, if you have bronchitis and go to the doctor expecting to be sent home with some antibiotics, then this is not what a critical illness is. 

Conclusion –     

It is very important to understand what you need from a critical illness cover mortgage and what you cannot do without it. There are many on the market, but only a few are fit for purpose. This is why it is essential that you find out more about what a critical illness cover mortgage can do for you so that you can be sure that it will be of benefit to your care.