As a parent, it’s natural to think about the health of your loved ones. Yet, these types of concerns can weigh on your mind and might mean you’re unable to focus on the positives or enjoy your time together. One step that may offer peace of mind is to consider how financial protection could support you.
A February 2025 survey from LV= suggests parents across the UK are becoming increasingly worried about the wellbeing of their children and how a critical illness could affect their family.
In these circumstances, critical illness cover may be valuable. Read on to find out how it might provide an income boost when you need it most.
The critical illness cover essentials you need to know
Critical illness cover is a type of financial protection that would pay out a lump sum if you were diagnosed with one of the conditions named in the policy. It’s important to note that not all illnesses would be covered, and how comprehensive your cover is can vary.
While some forms of critical illness cover would payout if your partner or child was diagnosed with a serious illness, this isn’t always the case.
So, it’s crucial you read the paperwork before deciding which option may be right for you.
The payout you receive could be used however you wish, such as to meet day-to-day costs, pay off your mortgage, or adapt your home if necessary. When you’re dealing with a critical illness, not having to worry about your finances could be a huge weight off your mind and allow you to focus on recovering.
To maintain the cover, you’ll need to pay regular premiums. The cost of cover varies depending on a range of factors, such as your health and the size of the potential payout.
62% of working parents say a critical illness would affect their finances
Almost two-thirds of working parents worry about how being diagnosed would affect their ability to earn an income, the LV= survey found. Worryingly, 31% of those said they weren’t confident they could cope financially if they were diagnosed with a critical illness.
If you were diagnosed with a critical illness, it may involve taking time away from work. In some cases, you might find your current position is no longer suitable.
As a result, the diagnosis could affect your family’s short- and long-term finances. Taking out appropriate financial protection could help you manage your household budget, meet financial commitments, and keep long-term plans on track.
67% of families worry about the prospect of their child being ill
As a parent, you might not only worry about becoming ill yourself but be anxious about your child’s health too.
Indeed, the LV= survey found that 67% of parents worry about their child being diagnosed with a serious illness, and 68% expressed concerns about their mental health.
While you’re dealing with the emotional challenges of your child being ill, the last thing you want to worry about is money. However, 62% of parents said they were concerned about the effect it could have on their ability to work.
You may need to take time off work to care for your child or attend appointments. A critical illness payout might mean you don’t need to worry and can take the time away from work you need. In some cases, critical illness cover might also payout for accommodation, which may allow you to stay close to a hospital if necessary.
Your child being ill is every parent’s worst nightmare, and while critical illness cover can’t remove health risks, it could mean you don’t need to worry about finances should the worst happen.
Contact us to talk about protecting your family
If you’re worried about how your family would cope if you or your child were diagnosed with a critical illness, please get in touch. We could help you create a financial safety net, including financial protection if appropriate.
Please note: This blog is for general information only and does not constitute financial advice, which should be based on your individual circumstances. The information is aimed at retail clients only.
Note that financial protection plans typically have no cash in value at any time and cover will cease at the end of the term. If premiums stop, then cover will lapse.
Cover is subject to terms and conditions and may have exclusions. Definitions of illnesses vary from product provider and will be explained within the policy documentation.
