Legal & General has launched Children’s Critical Illness Extra (CCIx), a paid for option, which provides enhanced features for parents who would like more cover for their children.
As part of the optional add-on, the insurer will pay 50% of the amount of cover, or up to £25,000 for a valid claim. Children will be covered from birth and there is no limit to the number of children a parent can claim for and the child is protected until the age of 22, irrespective of whether they are in full-time education or not.
As well as all the original benefits covered as part of Children’s Critical Illness Cover, CCIx includes a new children’s terminal illness benefit, providing cover of £10,000 if the child is diagnosed with an advanced or rapidly progressing incurable condition, with a life expectancy of less than 12 months by the hospital consultant and Legal & General medical officer. 12 additional illnesses are covered under CCIx as well, including Cystic fibrosis, Crohn’s disease, Spina bifida, Downs syndrome and type one diabetes. Terms and conditions apply.
Legal & General has also enhanced its Children’s Critical Illness Cover. The new services include covering children from 30 days and extending the maximum age of cover from 18, or 21 (in full-time education) to 22 and a reduced survival period from 14 to 10 days. There is also an increase in Child Funeral Benefit from £4,000 to £5,000.
Children’s Critical Illness Cover continues to be included when a customer takes out a Life with Critical Illness Cover policy.
Legal & General will also continue to provide its range of existing benefits. These include a £5000 Child Accident Hospitalisation Benefit, Childcare Benefit of up to £1000 if the main policyholder suffers from a specified critical illness and Family Accommodation Benefit of up to £1000 in the first three months following diagnosis.
Craig Brown, director, intermediary, at Legal & General, said: “Dealing with a critical illness is extremely challenging for anyone, but when it is a child, this makes it particularly distressing. The support provided by a children’s critical illness policy can make a huge difference in helping those during difficult times, yet only 13% of UK employees have taken out a CIC policy. The UK still suffers from a significant protection gap and as this figure shows, there is a serious risk of leaving children exposed and parents vulnerable to financial difficulty if either suffer from a critical illness.
“As an industry, it is our duty to try and close this protection gap. There is of course more we can do to educate consumers about the importance of cover but improving our offerings to consumers is also part of that mission to close the protection gap by providing clients with the additional support, protection, and peace of mind they need. We always strive to offer the best service for both our brokers and customers alike and we will continue to review our product offering to ensure our customers are well-supported during such tragic events.”