Nearly 70% of women’s critical illness claims were for those in their 30s, 40s, and 50s – their prime working years.
This is one of the revelations of Momentum Life Insurance’s 2024 claim statistics, which add that it is a stark reminder that serious illnesses like cancer or heart disease aren’t just concerns of old age, but a pressing financial threat much earlier in life.
One of the biggest financial planning mistakes women make during this stage of life is not ensuring that they are covered for critical illness.
According to Joretha Bothma, head: Product Development, Underwriting and Claims at Momentum Life Insurance, a serious diagnosis in a woman’s prime working years can have a devastating impact, leading to significant income loss and mounting medical bills.
“For women who are the primary or co-breadwinners, an unexpected serious illness can be a double blow, adding financial stress to an already heavy physical and emotional toll,” says Bothma.
She adds that a safety net – in the form of critical illness cover – can provide crucial support to cover expenses not typically included in medical aid such as rehabilitation therapy, specialised treatments, modifications to your home or car, or additional help with childcare.
“This allows individuals to focus on their recovery without added financial anxiety,” she explains.
In 2024, Momentum Life Insurance paid out R895-million in critical illness claims. Of these, 41% were for women. Momentum Life Insurance’s 2024 claims data highlights a growing trend: women are increasingly claiming for critical illnesses at younger ages – often during their peak earning years when they carry significant family and financial responsibilities.
A critical illness can create a financial burden that extends far beyond what health insurance covers. For women balancing careers, families, and financial responsibilities, critical illness cover can be the key to avoiding financial hardship. This lump sum payout can replace lost income, pay for specialised treatment, cover childcare or school fees, and protect savings, investments, and retirement plans.
Bothma stresses that critical illness cover should fit an individual’s specific needs and be based on a personalised approach.
“Start by assessing your financial security, evaluating your current situation, and understanding your risks,” she says. “From there, it’s a good idea to connect with a trusted financial adviser to help you navigate the complexities of financial planning and tailor a solution that meets your unique needs.
“A woman’s prime working years are a time of growth, ambition, and financial building,” Bothma adds. “However, an unexpected critical illness can put it all at risk. Taking the time to secure the right critical illness cover is one of the most important steps women can take to protect themselves and their loved ones.”