With the diagnosis of a critical illness comes immense readjustment, so the last thing on your mind is paying the mortgage. In addition to normal financial considerations, there may be additional home or lifestyle changes to consider. Critical illness insurance pays out a tax-free, lump sum if you are diagnosed with any serious illness. Typically the illnesses covered include cancers, heart attacks, strokes and Alzheimer’s disease. A lot of people take out critical illness insurance to protect their mortgage, however, consideration should be given to covering any necessary areas of your household or lifestyle.