Analyse Critical Illness Cover policies side by side

05 April 2019

With a number of factors to consider, Critical Illness Cover (CIC) policies are complex and analysing them is time-consuming. Defaqto’s new critical illness cover comparison tool, CIC Compare, provides an easy-to-use way for advisers to compare new and historic critical illness policies in under five minutes, on a whole of market basis, including white labels and direct products.

With a focus on the definition of the condition rather than just the statistical risk, Defaqto partnered with critical illness pricing experts to develop a unique methodology for scoring conditions. This expertise was then applied to Defaqto’s detailed historical database to allocate scores to the main critical illness definitions of all policies dating back to 2009.

The scores allocated to each definition are based on the likelihood of being able to claim in the event of contracting the condition specifically how it relates to the insured population where serious illness is less prevalent than it is for the whole population.

Defaqto has scored 32 conditions (including the 21 conditions set out in the ABI guidelines) accounting for 98.9% of UK claims. CIC Compare also enables the comparison of policy wording for 113 other conditions. So, the adviser can quickly and confidently compare 145 conditions, making it easy to cater to their clients’ individual needs.

A new module in the end-to-end financial planning tool, Defaqto Engage, CIC Compare enables advisers to provide transparent advice by allowing them to easily compare CIC policies side-by-side. The solution ensures that advisers' clients can select the most comprehensive policies with the most fitting wording of CI definitions for their specific needs.

The tool is continuously updated with new products and enhancements to existing products by Defaqto’s own insight analysts and research staff. This means CIC Compare can be used to contrast not just the current version of products but also earlier versions and closed plans. Additionally, CIC Compare can drive further efficiencies through its automatic inclusion of advisers’ own notes in the final report, which also includes detailed policy wording. 

Learn more about CIC Compare.

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