to take out health and critical illness insurance?

[FrenesiGates]

I'm nearing 40 and am getting increasingly worried about what would happen if I were to get seriously ill (no foundation for this, just general worries about getting older!) I am thinking about health insurance and critical illness insurance but have no idea where to start and what to look for... any advice? Is health insurance worth it in the UK with the NHS? I keep hearing different things. It also seems very expensive from what I've seen and I don't have lots of disposable income, but am scared of getting ill and having to deal with illness and financial worries. Thank you!

I had both when I was diagnosed with breast cancer 10 years ago.

The critical illness cover was enough to pay off our excising mortgage which was a massive weight off our shoulders at the time (and since of course).

Although cancer care is (maybe was due to the effects of covid) very good on the NHS, my private cover gave me options in my treatment which I wouldn't have had on the NHS.

since, and totally unrelated, I've had 2 other major surgeries privately. One was my gallbladder removed. I initially went to my GP and he referred me on the NHS as I was having frequent gallbladder attacks. I then decided to go privately and had all the pre assessments and was actually back at work having had the gallbladder removed, by the time the initial NHS appointment came through.

All this was pre-covid and the affect that has had on the NHS.

for our family, we scrimp and save and do without other things to keep it. On the other hand, DH has paid out every month too and never (touch wood) had to use it.

Do you have dc or other dependents op?

You are far more likely to need critical illness cover than life insurance (during the term of a mortgage, which is the usual prompt for taking cover). The former will protect YOU financially if you are unable to work due to diagnosis of a number of conditions, the latter will support your dependents in the event of your death.

Health insurance is a bit of a luxury and cannot beat the nhs for cancer pathway/treatment (to quote my dh's private healthcare provider after his recent diagnosis 'we have a suite in the oncology wing (of the local nhs cancer) but all it means is you get tea in a nicer mug and a carpet in the waiting room, everything else is NHS) and it can be incredibly expensive AND at 40 you might face exclusions if you have ever had any sort of health investigations.

I had cancer and was grateful for mine too. We hadn't taken out as much critical illness as it was expensive but was still hugely beneficial. Getting the treatment quicker and in more comfort was also good. We still pay for health insurance (though it excludes the sort of cancer I had) and it is expensive but both worth it I think. I have a separate life insurance policy too.

My sister had life insurance etc 12 years ago at 30 something when she had thyroid cancer and they bought a new house. She’s been fine since but thankfully she was covered. Sil just diagnosed with breast cancer at 44 sorting her finances at the moment. Her job is temporary too so no security for her it’s terrifying to worry about money when you’re having treatment and feeling dreadful.

@Loverofoxbowlakes I don't have DC (and unfortunately likely won't due to infertility). I'm more concerned about mitigating any financial stresses while ill, especially as I work freelance.

@Toffeesgirl thank you for sharing your experience. It definitely seems like it was very worthwhile for you, and these are the kinds of things I worry about. I'm glad that it was there to support you! May I ask what kind of insurance / who you went with?

@sunflowerdaisyrose thank you for sharing. could I ask what kind of critical insurance cover you did have?

@Shopper727 this is exactly the kind of thing I'm worried about. I work freelance and so would have no financial security if I were ill – I'd be entirely relying on DP / family, which I don't want to do. I'm also talking to DP about him getting the same kind of insurance as he is also self-employed. I'm so glad to hear your sister is better now, and all the best to your SIL.

Does anyone have any recommendations for critical illness cover?

We took out private health insurance after I saw the way my father was (not) treated in hospital. It was utterly shocking. The NHS is a total shit show. The insurance is expensive but I would rather go without other things than be left to rot in a hospital corridor.

@AmandaHoldensLips I'm so sorry you and your father went through this... I'm hearing a lot of horror stories about this kind of thing at the moment with the NHS and it's fairly terrifying. I can't imagine anything worse than not getting the care you need and the consequences that might have. I have now taken out critical illness insurance (I went with Vitality) but am also looking at private health insurance. It's so expensive though and seems extortionate to get worthwhile cover that would ... Do you mind me asking who you went with and how much you pay monthly for health insurance?

If you mean is private health care worth it, it depends what for imho

most private hospitals do not have emergency facilities- if you have a bad reaction to an GA, or have a stroke or cardio event while in their care they’ll have to call 999 effectively. Any serious consequences of care going wrong - also picked up by nhs. Personally if I’m having serious surgery I’d rather not risk that ambulance transfer time.

the consultants in private hospitals are mostly either retired or nhs workers, who are doing private work part time. Worse case they’re doing it after full shift rotas at nhs. So, again prefer not to take my chances on significant stuff with someone who is in 60s or 70s and may not be trained on latest techniques, or some knackered tired person at the end of a long working week 🤷🏼‍♀️

so, it’s probably not surprising then that I’ve had more op’s and procedures going a bit wrong, or not working under private (BUPA scheme for over 30 years with my employer) than I ever have had with nhs. I’ve had 12 op’s and numerous procedures in my life so not a small sample size comparison . Ok, I’ve not had serious stuff go wrong, but infections, procedures just not working etc,

I avoid private for anything in way of surgery now - if it can wait on nhs list so be it. But, admittedly I’ve not had to face long list for say hip replacement. But I’d sure be happier to wait it out on nhs for a good time, than jump straight to private option

what private cover is brilliant for is testing, scans and physio. A first port of call to get a diagnosis for straight forward stuff, and to get outpatient treatment like physio or ongoing minor treatment like getting my ears microsyringed once in a while due to recurrent bouts of ear ache. All the standard out patient stuff.

they’re also good with mental health issues, quick access to counselling and, at a push for serious issues even to psychotherapy.

but you only get an allowance per year .so, you have to use carefully. There are allowances for outpatient, for scans and then for each procedure, but the outpatient can add up,quickly and limit how long you can get treatment for.

the costs charged at cost price ( you get to see invoice even if bills settled directly through insurance) will make your eyes water - god forbid nhs collapse s and you can see why in USA, medical bills literally bankrupt people

But it’s just my opinion

The reasons it’s so expensive for you is

1. you’re female - need morecstuff
2. your approaching 40 , it’ll keep going up at 50, 60 etc- and oddly enough (🤦‍♀️) the older you are the more likely you’ll need it

my cover is free from my company, but I do pay tax benefit in kind on it. Most private care is covered by people in company schemes- not private individuals , and in USA most people’s medical cover is also through their employer. This works out cheaper per person as costs Of treatment are spread right across the workforce- in effect the young subsidise the older groups. otherwise private medical care would be unaffordable to companies as well.

the other way to fund it is to pay as you go/ need and create your own savings into your own ISA , that way you can use it if and when you need it. Search on line for typical costs of procedures or protocols you’ll probably most want to use, and that’ll give you better option. Also, think about a separate pension pot - you can take it at 55 if needed ( realistically more likely you’d need treatment for something serious after 55 at youngest) , or wait as long as 75, and that way government pension tax relief contributes 👍.

I had cover with Legal and general and claim process was straightforward and they paid the claim quickly. My life cover is still with them. I will look into getting critical illness cover again soon as think I may be able to again.

Re critical health insurance- read the small print carefully. Numerous stories of people being refused payouts . Just like insurance for anything.
if they can find wriggle room out they will.
you will have to declare all historical conditions and illnesses, and if you’re having ANY test at the time, or waiting on results, no matter how minor, don’t think about applying until you’ve been given all clear.

Sorry, should say, saving into separate pension pot, you can then take as your tax free lump sum if and when needed. As long as it’s less than 25% of your combined “ pots”:

I was diagnosed with stage 4 breast cancer last year at 58 and just paid off my mortgage yesterday using my critical care insurance payment. I have been able to go part time at work now without a mortgage payment. If I really need to, I can retire comfortably. I am so glad I opted to get it.

I also get private health insurance through work. They pay me per diagnostic test and treatment I get on the NHS and at this point, there are no treatments they could provide that I'm not getting. I cannot fault the cancer care I'm receiving on the NHS.

Critical health insurance is wise, assuming you can afford the premiums, the rates have increased significantly, I had a small policy and it paid out very quickly when I was unexpectedly diagnosed with Multiple Sclerosis at 40.

DH also has critical illness and life insurance.

We also have private medical insurance for us and our family, claimed many times on that over the year, sadly.

It's a long time ago now, and I'm still living the consequences. I had masses of cover and, when things went pear-shaped, was grateful that I could still pay my bills & mortgage. I also got counselling via BUPA to help me cope with the sudden reversal of fortunes.

However, I hadn't paid enough attention to the pages of tiny-print clauses. Before two years were up, every single policy had found a reason to stop paying out and to ban me from future cover unless I paid absurdly large fees, which of course I couldn't afford (and wouldn't be worthwhile if I could).

My illness wasn't defined as 'critical' so I never qualified for a large payment that could've stabilised my situation.

So - yes, it's worth having for a modicum of security BUT you must realise these firms are not there to look after you! They'll leap on any reason to deny claims, and to cease cover. They've foreseen most of these reasons, and you sign away those rights when you begin the contract.

If you really want to be covered, you need to have savings & investments that would fill the gaps in a worst-case scenario. Depending on your circumstances, it may be better to do that instead of taking insurance.

It's also true that private healthcare instantly defaults to NHS critical. This makes me very angry, ever since I realised an ambulance was on standby to take me to an NHS hospital when a BUPA surgery was taking too long. It was nice to be comfortable and solicitously cared for at the private facility, but wtf? Whoever signed that agreement on behalf of the NHS was a sucker! Or, probably more likely, being paid on the down-low.

@Appleofmyeye2023 made good points, imo.

I have both and I needed them and used them when I was diagnosed with thyroid cancer last year.

Some things to be aware of:

People are correct when they say NHS cancer care is usually decent. However private insurance grants you a couple of things. It makes it a lot easier to change if the NHS gives you a consultant you don't gel with - and some of them can be awful. If you don't trust the person in charge of saving your life it's a problem.

The NHS is also sometimes not great at treating the side effects that result from cancer treatment. The NHS sorted my actual treatments, but I've been left with a couple of lifelong conditions that need careful management. The NHS consultant who did my operation decided I didn't need a specialist endocrinologist to handle this and I was in and out of hospital for a few months as my calcium levels roller coasters until I got a private referral. Since then I've been much more stable.

Critical illness cover is absolutely great when it pays out. The problem I had here was not with the company but that getting it to pay out meant a consultant filling in a form about my condition (same guy who decided I didn't need a specialist...). My consultant held onto my form for six months with shrugs of "Oh I'll get to it" "he's busy" and "..oh honestly I don't know when he'll get to it" from his secretary until I made a complaint through PALS and my MP - magically filled in within a week. Luckily I had savings to fall back on but I couldn't work within that time and as a single parent if I hadn't had savings we would hVe been utterly screwed. I also held bavk several times in making complaints about what was some really shoddy treatment because I was scared if I did that form would never happen - its a six figure sum and I could not afford to risk it. When I started researching I found out about other people who nearly turned down potentially life saving treatment because their consultant had just said they "didn't do those kind of forms". I was very polite and very conscious I was bugging people who were probably overworked to do extra admin but if I had the time again I'm pretty sure they were taking the piss and I should have complained sooner.

If I get life and critical illness insurance again it will be specialist and through a broker and have a ton of exclusions. They won't even look at me for any if them until October when I get another scan. It may still be worth doing however as my children will be covered by it - there's no way to cover minors seperately from a parent.

Oh and if you want recommendations I was with AIG Life. I had a broker help me find cover which helped - he helped me with the forms which made me a lot more confident I hadn't missed anything. Whilst getting the consultant to fill out a form was awful once they had it they confirmed full pay out within a week and the money was in my bank days after that.

A financial planner will be able to help you find the right policy. Different companies cover different conditions, so it’s important to be clear about what you are buying.
Vitality are a good value option, particularly if you are active - you get activity based discounts.
Critical illness cover is less expensive on a decreasing basis - the level of cover reduces as you pay off you mortgage. This can make it more affordable.
you can also consider Income Protection. This covers a % of your salary if you are unable to work because of your health. Income protection will usually cover mental health and back problems. These wouldn’t be covered under a critical illness cover.

@FrenesiGates we went with BUPA and it's hundreds per month. I now drive a really cheap car bought off ebay and have made all sorts of other economies too. Our health insurance is non-negotiable to me.

Dh had critical illness cover, they fought tooth and nail not to pay out though when he was diagnosed with a brain tumour! 😡 We finally got the money out of them and it paid off the mortgage.

@Appleofmyeye2023 I've just seen all your replies – thank you so much for taking the time to reply with so much useful information! I'm going to go through it all carefully and make some decisions next week. I have already taken out the serious / critical illness cover – and did go through a full (probably too full!) medical history (including for my parents) so they definitely have everything. I'm not covered for mental health as I'm currently on anti-depressants but I was expecting that.

@MissyB1 I'm so sorry you had to fight for what you were owed at such a stressful time – that sounds awful. But, I'm glad it's been resolved and it sounds like it made a big difference when it came through. I hope your DH is doing well.

@AmandaHoldensLips I'm looking at Bupa and Vitality – and thinking about maybe speaking to a broker (I have no idea if it's better to go through a broker or go direct!)

@Swg I haven't looked at AIG Life, but will look into them too! I'm also thinking of using a broker – there's just too many options and it's all quite confusing to know what you need etc.

I say this on every thread about this subject but definitely use a broker and I mean a qualified advice giving in your best interest broker

MmB
Willis towers Watson
Premier choice
IHC are a few I would recommend