Illness has a financial as well as emotional impact – and the costs can be considerable. For example, four in five cancer patients face an average cost of £570 a month as a result of their illness, due to costs such as travel to hospital and increased fuel bills, according to the cancer charity Macmillan (April 2013).
And while no one likes to imagine becoming too ill to work, the same report states one in four women and one in five men will suffer from a serious illness before retirement age. So you may want to think about how you’d cope if it happened to you.
Consider what would happen to your bills, mortgage and insurance if you couldn’t work. You might think you could rely on your partner’s salary or that family members could help out financially, but what would happen if they had to take time off work to look after you?
That’s why, when you do your financial planning, you may want to consider insurance such as Mortgage Payment Protection or Life and Critical illness cover.