Life Insurance Payout, Terminal Illness?

[EDDIE51]

A close friend of mine has been diagnosed with terminal cancer and given 2 to 3 months to live!
His partner says she has heard that in this situation the life insurance can payout before the actual death. I have never heard of it, anyone know for sure? If it is true it would solve a lot of their problems over cash.

[bhg481]

This happened to the son-in law of someone I worked with about 10-15 years ago. He was given no hope by the doctors, his life assurance paid out and then he recovered. He did not have to return the money.
I have no details and am no longer in contact with the people involved.

[webbo3]

It all depends if it is life and critical illness cover, they probably wont pay out for the life as the person insured has not passed away , but if they have a critical illness they will.

Again check with the insurers.

Dave.

[EDDIE51]

This guy really has no hope he has a very fast spreading cancer, I have mentioned this before he had a Whipple procedure . But the cancer has spread all over his body now.

[woofgang]

I have known this happen twice to two separate friends but it does depend on the particular policy.

[Davemano]

GoCompare.com explains terminal illness policies.

[Peter Pedant]

its called a viatical settlement - here

https://en.wikipedia.org/wiki/Viatical_settlement

but it looks as tho you sell on the policy at greater than cash value

I also thought there was a system of paying out an insurance policy to the holder for less value but before death

they are pretty strict about terminal
when I asked my surgeon about colon cancer - he said one problem you arent terminal
and I havent tried it with the consultant who is treating me for lymphoma and recurrence. - oncos never say "die" to be honest

[Peter Pedant]

oh ca pancreas
terrible prognosis
try ringing the insurance company ( or he can )

sorry for you and your fren' Ed

[EDDIE51]

His partner is trying to get an answer from the insurance company, she just asked me if I knew anything about it, but I have never heard of an early payout before.

[webbo3]

I used to work in pensions,bonds, life insurance and critical illness cover but couldnt remember an answer to give so I spoke to an ex work mate and this is what she said "if diagbosed with less than 12 months to live they should be able to pay out but they need to check the t+c of that policy and he can also see if he can cash his pension in as well.

Dave.

[Davemano]

^^^^ That's what was shown by GoCompare.com 2318 post

[EDDIE51]

Thanks people I have passed the information on.

[New Judge]

Don't know the answer to your question but sorry to hear of your friend's plight, Eddie.