Critical illness sometimes called catastrophic illness. Critical illness insurance provides a benefit if you experience one or more of the following medical emergencies:
- Heart attack
- Stroke
- Organ transplants
- Cancer
- Coronary bypass
Because these illnesses require extensive medical care and treatment, their costs can outstrip a family’s medical insurance policy quickly. If you don’t have an emergency fund, you’ll have an even harder time paying those bills out of pocket.
There are exceptions to critical illness insurance coverage. Some types of cancer may not be covered, while chronic illnesses are also frequently exempted. You may not be able to receive a pay out if a disease comes back or if you suffer a second stroke or heart attack. Some coverage might end when the insured reaches a certain age. So, like any form of insurance, make sure to read the policy carefully.
Why one should Buy Critical Illness cover?
To pay for critical medical services that might otherwise be unavailable.
To pay for treatments not covered by a traditional policy.
To pay for daily living expenses, enabling the critically ill to focus their time and energy on getting well instead of working to pay their bills.
Transportation expenses, such as getting to and from treatment centers.
It can be used to cover ambulance costs and room rent along with pre- and post-hospitalisation expenses. Besides, if you have any outstanding loans like a home loan or a car loan, the pay-out can help dealing with the EMIs.
You can avail all these benefits because as soon as you have been detected with any of the critical illness, the insurance company will hand over the entire critical illness cover amount.
How do I buy Critical Illness cover?
You can purchase critical illness insurance as a separate policy or you can take an add on cover along with your term insurance which can be more affordable.
How is critical illness different from health insurance?
Under critical illness, once the person is detected with one of the illnesses, the insurance company gives that person a particular lump sum amount, which can be used for other family expenses as well, while the person is getting treated.
Under health insurance, once the person gets admitted in the hospital, the bills, the medicines and the treatment cost are only covered by the health insurance. Auxiliary costs and the loss of income due to the illness where liabilities won’t be covered by health insurance.
Can I purchase a critical illness benefit once I am diagnosed with an illness? No.
