Which policy types are most likely to include terminal illness cover?

Terminal illness cover is typically associated with policies that provide a lump sum payment upon the diagnosis of a terminal illness. Whole of life insurance is designed to provide cover for the insured's entire life, and it often includes terminal illness cover as a built-in feature to ensure that the policyholder's beneficiaries receive a payout if the insured is diagnosed with a terminal illness. Term assurance, on the other hand, offers coverage for a specified term or period and can also include terminal illness cover, allowing for a payout in case of terminal illness during the term of the policy.

The combination of these two types of policies in the chosen answer reflects a common offering in the insurance market, facilitating financial support during critical health situations, which aligns with the primary purpose of terminal illness cover: to provide financial protection when facing such serious health issues.

Policies not included in this answer, like endowment policies, while potentially having some features in common, do not typically focus on terminal illness cover specifically. Accidental death and critical illness insurance are more focused on specific events rather than long-term health situations. Similarly, income protection focus on earnings replacement due to illness or injury, rather than terminal conditions, which is distinct from the terminal illness cover offered by whole of life and term assurance policies.