Pays out a lump sum in the event of diagnosis of a specified illness within the term of the policy, it can either be on a level, decreasing or increasing basis.
This type of cover can be taken as stand alone cover or can be included with life assurance. The particular illness covered under this type of policy vary considerably from one provider to another and so care must be taken when switching policies.
With all of the above types of insurance it is possible to include other benefits within the policies such as waiver of premium, buy back, income protection and family income benefit.
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