PPI (Payment Protection Insurance) and critical illness insurance are not the same. They are two different types of insurance policies that serve different purposes.
PPI is a type of insurance that is designed to cover loan repayments in the event that the policyholder is unable to work due to illness, injury, or unemployment. It is typically associated with loans, credit cards, and mortgages. PPI policies provide coverage for a specific period of time and are meant to protect the policyholder's financial obligations.
On the other hand, critical illness insurance is a type of insurance that provides a lump sum payment if the policyholder is diagnosed with a specified critical illness. The purpose of critical illness insurance is to provide financial support to the policyholder during a difficult time, such as when they are unable to work due to a serious illness. The specific illnesses covered may vary depending on the policy, but common examples include cancer, heart attack, stroke, and organ failure.
In summary, while both PPI and critical illness insurance provide financial protection, they serve different purposes. PPI covers loan repayments in the event of illness, injury, or unemployment, while critical illness insurance provides a lump sum payment if the policyholder is diagnosed with a specified critical illness.