The answer for an existing policy comes from its schedule and terms. The insurer's current marketing pages may describe a different product version from the one you hold.
Linked benefits can change after a claim
With some combined arrangements, a qualifying critical illness payout reduces or ends the associated life cover. That may be appropriate for the need the policy was arranged to meet, but it should be understood at the outset.
For example, if both benefits are intended to address the same mortgage debt, a payout used to clear that debt changes the original need. A separate need to support dependants after death may still remain.
Separate cover needs a separate explanation
A standalone critical illness policy alongside separate life insurance can work differently. Do not rely only on labels such as package, plan or combined: ask what each benefit pays and which parts remain after a claim.
Additional or partial payments may have different effects from a full critical illness payout. Where a policy offers a feature preserving or restoring benefits, its conditions and any additional cost need checking. No such feature should be assumed.
Ask for a before-and-after explanation
A useful way to review the arrangement is to ask your adviser to describe three situations:
- What happens following a full critical illness claim?
- What happens following a smaller additional payment?
- What happens if a life insurance claim occurs first?
For each situation, establish the amount payable, who remains insured and whether further premiums are due. On policies covering two people, check the position of each person rather than only the total cover amount.
Reviewing a policy you already hold
Locate the schedule, start date and relevant conditions. Ask for the particular wording governing linked payouts. Keep the original policy in place while investigating any alternative; replacement terms and availability cannot be assumed.
A review is not automatically a recommendation to replace cover. It may simply confirm that the existing structure still meets your needs, or identify a separate gap to consider.
We can help you understand the arrangement and the choices available. The objective is a clear picture of the protection you would have left when circumstances change.