Critical Illness Cover Calculator
Estimate the right critical-illness lump-sum cover and annual premium for your situation.
How Much Critical Illness Cover Is Right?
A common rule of thumb is 3–5× annual income, plus enough to clear major debts and fund 12–24 months of recovery. Critical illness cover pays a tax-free lump sum on diagnosis of one of a defined list of serious illnesses, so the money can be used however you need it — treatment, mortgage payments, home modifications, or simply replacing lost income while you recover.
What drives the premium
- Age — premiums roughly double every 10 years after age 35.
- Smoker status — smokers pay roughly 1.7–2.2× non-smoker rates.
- Gender — women typically pay slightly less for CI cover.
- Cover term — longer terms cost more per year because you lock in cover at later ages.
- Pre-existing conditions — can lead to loadings or exclusions; not modelled here.
Frequently Asked Questions
A policy that pays a tax-free lump sum if you are diagnosed with one of a defined list of serious conditions — typically cancer, heart attack, stroke, kidney failure, and major organ transplants.
A common rule is 3–5× your annual income, plus an allowance for outstanding mortgage and major dependent expenses.
Age is the biggest driver (premiums roughly double every 10 years after 35). Smoking status, gender, family history, and pre-existing conditions are next.
In most jurisdictions the lump sum paid out is tax-free. Premiums are generally paid from after-tax income.
Yes. Life insurance only pays on death; critical illness pays while you are still alive and unable to work. The two are complementary, not substitutes.