The wider value of critical illness cover in a challenging market

September 27, 2022

The wider value of critical illness cover in a challenging market

Blog by Neil Davies, Commercial Director, AIG Life

Households and businesses are being hit hard by the cost of living crisis – rising bills and inflation are at a 40-year high1. While everything seems to be going up, there’s pressure on families to keep their costs down. So now more than ever, critical illness (CI) cover should be affordable for our customers.

It’s understandable people feel they should tighten their purse strings. I’m sure my children would be more upset if I cancelled Netflix over my life insurance, but it really worries me that 41% of people would consider ditching life insurance in the near future2. If they lost their main source of income because a loved one has died, covering the bills might be even harder. We have to help customers see that life and critical illness insurance is indispensable. So here at AIG, we’ve been working on a range of ways to help our customers understand the value in protection insurance, and making it more affordable.

How AIG is supporting customers

There are two ways we can help customers get, or stay protected, and keep their protection costs down. Take AIG’s flexible policy request. Introduced at the start of the pandemic, this allows premiums to be reduced for up to six months while keeping their cover active – with no need for any financial hardship evidence or further underwriting. With 85% of people continuing to be insured after their flexible option ended3, this is one way we help our customers realise the value in protection.

We also have the multiproduct discount when buying more than one product at the same time. This can seem a small amount every month but over time it adds up and can make a big difference.

Changes to Critical Illness Choices

Recent changes to our CI cover means even more choices. We’ve designed personalised cover that works for your clients’ needs, priorities and budgets. They can now choose between Core and Enhanced options, for both themselves and their kids. Our Core cover accounted for 96% of the conditions people claimed for in 20214, meaning customers get both value for money and quality cover.

As a parent, I know how important it is to get the right protection for your children – so we’ve kept parents in mind too.

Our CI cover also creates better and fairer customer outcomes. Whatever the name of the condition, our cover focuses on the impact an illness has so your clients are more likely to be covered. We understand that everyone is different. Which is why our new CI product allows flexibility, value and better outcomes for our customers.

See our changes in more detail >

Looking after the whole family with Smart Health

Importantly, it also comes with Smart Health – providing value from day one. Available to every customer, their partner and their children up to age 21, it offers the perfect blend of health and wellbeing services, available 24/7. It’s award-winning with 95% customer satisfaction5 and consumers valuing it at £43 a month6.

For everything you need to know about our Critical Illness Choices take a look at our website:



  4. AIG Life 2021 claims stats
  5. Smart Health usage data supplied by Teladoc Health, correct as at 31 July 2022
  6. AIG Life commissioned research produced by ID Consulting, January 2020: 2000 consumers