accelerated critical illness

Meaning

Noun

• Insurance that pays out a lump sum benefit on either the death or diagnosis of a serious (life-threatening) illness in the life assured within the term of the policy, and nothing on healthy survival to the end of the term.

Origin

• On the assumption that any illness covered by the critical illness portion of the insurance is potentially terminal, this is equivalent to a term assurance contract whose benefit payment is brought forward (accelerated) to the point of diagnosis of terminal illness, rather than waiting for actual death.