Critical Illness Cover Calculator

Work out critical illness cover instantly with clear inputs, formula shown and shareable results.

About Critical Illness Cover Calculator

Critical illness cover pays a lump sum on diagnosis of a listed condition, which is a different purpose from health insurance: it replaces lost income and funds non-medical costs during recovery. Sizing it therefore requires the income gap as well as the uninsured treatment cost.

Formulas

Income replacement need

Income need = Annual income x Recovery years

Recommended cover

Cover = max(0, Treatment cost + Income need - Existing health cover)

Worked example

With the default values below, Critical Illness Cover Calculator returns Recommended critical illness cover of $4,900,000.00. Change any input above and every figure here is recalculated in your browser.

Inputs used

Annual income: 1,400,000
Estimated treatment cost: 1,500,000
Years of reduced or no income: 3
Existing health insurance cover: 800,000

Results

Recommended critical illness cover: $4,900,000.00
Income replacement need: $4,200,000.00
Treatment cost not met by health cover: $700,000.00
Total financial need: $5,700,000.00

Step by step

1Values used
2Income replacement need
3Recommended cover
4Recommended critical illness cover= 4,900,000.00
5Income replacement need= 4,200,000.00
6Treatment cost not met by health cover= 700,000.00
7Total financial need= 5,700,000.00

Assumptions and limits

The result is derived only from the 4 inputs listed above. Anything not among them is not part of the calculation.
In particular, this calculator does not take inflation or tax into account.
Figures are rounded for display to 2 decimal places, so totals built from several rounded parts can differ slightly from the unrounded arithmetic.
Indicative estimate only. Fees, entitlements, limits and formulas vary by jurisdiction, statute, policy wording and the facts of the case. This is not legal, tax, insurance or financial advice — confirm with a qualified professional or the relevant authority.

How these calculators are built and tested is described on the Methodology page. If a figure looks wrong, please report it.

Indicative estimate only. Fees, entitlements, limits and formulas vary by jurisdiction, statute, policy wording and the facts of the case. This is not legal, tax, insurance or financial advice — confirm with a qualified professional or the relevant authority.

Frequently Asked Questions

Is critical illness cover the same as health insurance?

No. Health insurance reimburses medical bills; critical illness pays a fixed lump sum on diagnosis regardless of what treatment costs.

Are all illnesses covered?

Only the specific conditions listed in the policy, each with its own definition and severity threshold, and almost always after a survival period of 14-30 days.