Accident, Sickness and Unemployment (ASU) - also known as Mortgage Payment Protection Insurance (MPPI)

Provides tax-free replacement income, in the event of ill-health or unemployment, to cover the monthly mortgage and other regular payments, usually for up to one year.

Critical Illness Cover (CIC)

Pays out on diagnosis of a listed condition (depending on the insurer) during the policy term.

Decreasing Term Assurance (DTA)

Decreasing life cover decreases at a flat, fixed rate each year as opposed to matching a mortgage (mortgage protection insurance), which typically reduces more slowly in the early years.

Family Income Benefit (FIB)

Rather than paying out a lump sum, this type of cover will provide a tax free annual income until the end of the term specified at outset.

Guaranteed Premiums

Guaranteed rates remain the same throughout the term of the policy.

Income Protection (IP)

Provides a tax-free replacement income in the event of sickness and/or disability until you either return to work, retire, the policy term expires, or death.


This is normally a choice option to a term policy. It means that the policy can be linked to inflation where premiums and benefits increase annually.

Level Term Assurance (LTA)

Life cover that pays out a fixed lump sum if the policy holder/s dies within the specified period of the policy.

Reviewable Premiums

Reviewable rates can be reassessed at the insurer's discretion. Some insurance companies may review annually, while others will review after five years.

Terminal Illness Benefit (TIB)

Don’t confuse this with critical illness cover, this benefit allows those who are diagnosed with less than 12 months to live to claim early on a life insurance policy. The benefit is often included with life cover free of charge.

Total and Permanent Disability (TPD)

Most critical illness policies will offer this cover, which covers any illnesses and medical conditions not listed, where there is no long term prospect of recovery.


A trust allows you to arrange for the proceeds of your life insurance to be paid to your dependants in a non-complicated manner (such as waiting for legal proceedings on an estate).

Waiver of Premium

This optional extra will cover the cost of premiums during periods of ill health and/or unemployment.

Medical Insurance Terminology

Acute condition

A disease, illness or injury that is likely to respond quickly to treatment which aims to return you to the state of health you were in immediately before suffering the disease, illness or injury, or which leads to your full recovery.

Chronic condition

A disease, illness or injury which has at least one of the following characteristics:

it continues indefinitely and has no known cure

it comes back or is likely to come back

it is permanent

you need to be rehabilitated or specially trained to cope with it

it needs long-term monitoring, consultations, check-ups, examinations or tests

Complementary medicine

Ancillary benefits, Homeopathy, acupuncture, osteopathy or chiropractic treatment.


Computerised tomography - a form of x-ray that produces a three-dimensional computer generated image of a section of the body.

Day-patient treatment

Treatment which, for medical reasons, means you have to go into a hospital or day-patient unit because you need a period of clinically-supervised recovery but do not have to stay overnight.

Diagnostic tests

Investigations, such as x-rays or blood tests, to find or to help to find the cause of your symptoms.


Treatments and charges that are covered by your policy, subject to all the terms, benefits and exclusions of the policy.


We quote our policies with £100 excess, however you may choose to increase this or ask us to quote with a 'nil' excess. It means that you pay the amount of your chosen excess towards the cost of eligible medical treatment. An excess is calculated on your yearly premium and is only payable once per person per policy year and not on every claim. The higher the excess, the lower the premium.

In-patient treatment

Treatment which, for medical reasons, means you need to stay in hospital overnight or for longer.


Magnetic resonance imaging - diagnostic technique producing computerised images of internal body tissues.

Out-patient treatment

Treatment given at a hospital, consulting room or out-patient clinic where you do not go in for day-patient or in-patient treatment.


Positron emission tomography - diagnostic technique producing computerised images showing the chemical functioning of an organ or tissue.


A medical practitioner with particular training in an area of medicine (such as consultant surgeons, consultant anaesthetists and consultant physicians) with full registration under the Medical Acts, who meets the criteria for specialist recognition for benefit purposes, and who has been told in writing that they are currently recognised as a specialist for benefit purposes in their field of practice