Important Features to Check Before Buying Critical Illness Insurance

Posted on: Dec 14, 2022 | | Written by:

Important Features to Check Before Buying Critical Illness Insurance

Published on December 12, 2022. EST READ TIME: 4 minutes

Critical illnesses are life-threatening conditions that may require extensive treatment, medication and expensive surgeries. When diagnosed with a critical illness, the patient must visit the hospital multiple times and spend on doctor’s consultation fees, hospitalisation bills, medicines and other associated expenses. All these bills can add up over the months and pose a huge financial risk. This is when having a critical illness insurance policy can help.

A critical illness policy is an insurance product that covers the policyholder against many life-threatening conditions. On the diagnosis of a critical illness, the insurance company will pay a lump sum to the policyholder and then the coverage will cease to exist. The policyholder can use this amount to pay for their medical as well as non-medical expenses, such as school fees, loans and electricity bills. Since regular health insurance plans may not cover life-threatening conditions, it is always wise to take critical illness coverage along with individual health insurance to prevent financial setbacks.

Importance of Critical Illness Insurance Policy

A critical illness insurance policy offers many benefits to policyholders and saves them from major financial setbacks. Here’s a look at the importance of this insurance policy:

1. Comprehensive coverage:
A critical illness policy covers many critical illnesses, such as cancer, heart attack, stroke, kidney failure and multiple sclerosis to name a few. The treatment of these life-threatening conditions can burn a hole in your pocket if you don’t have critical illness insurance.

2. Lump sum payout:
When diagnosed with a life-threatening condition, the policyholder receives a lump sum from the insurance company. The policyholder can use this money for their treatment as well as for meeting other household expenses.

3. Financial security:
A critical illness insurance policy ensures financial security for the policyholder and his family. Hence, they can concentrate on the treatment instead of worrying about the finances. It also keeps the savings intact and prevents financial setbacks later.

4. Income replacement:
The lump sum payout acts as an income replacement as well. The policyholder can use the money for their day-to-day expenses and for paying off debts, electricity bills, school fees and more.

Important Features of Critical Illness Insurance

Some important features to consider while buying critical illness insurance are:

1. Cashless hospitalisation:
This facility will help you avail of quality treatment at network hospitals without worrying about the bills. Opting for a cashless hospitalisation facility also saves you from filing a reimbursement claim. Hence, choose an insurance company with a long list of network hospitals, with some good ones in the vicinity.

2. Lifelong renewability:
Take a critical illness insurance policy with lifelong renewability. This will save you from the hassles of buying new insurance after some years. When you have one that offers lifelong renewability, you just have to renew the policy on time and stay covered against critical illnesses throughout.

3. Yearly health check-ups:
Choose a critical illness insurance policy offering free annual health check-ups at the time of policy renewal. This will help in the early detection of a health condition and its timely treatment.

4. Option to pay the premium in instalments:
Insurance companies offer the option to pay policy premiums in instalments. With this option in place, you can choose a higher coverage or sum assured without worrying about the premium amount. Although a higher sum assured will have a higher premium, you can pay the same in 3 or 4 instalments and enjoy a wide coverage.

5. Advanced technology methods and day care treatments:
This is an important feature to keep in mind when buying critical illness insurance. Select a policy which covers advanced technology methods and day care procedures. This will ensure high-quality medical treatment and quicker recovery. Since many conditions require less than 24 hours of hospitalisation, it will be wise to take a policy covering day care procedures as well. You can also use your individual health insurance policy to cover day care procedures.

6. Global coverage:
When buying a critical illness insurance policy, choose one that offers global coverage. In case you get diagnosed with a health condition, you can use the policy payout for better treatment in another country. Any kind of treatment in a foreign country can be quite expensive. However, when you have a critical illness insurance policy with global coverage, you can help you opt for the finest treatment without worrying about the bills.

Conclusion

In today’s times when different health conditions are on the rise, staying covered under a good critical illness policy is a wise thing to do. This health plan is especially important for those with a family history of critical illnesses. Hence, along with individual health insurance or other any other health insurance plan, you must buy critical illness insurance for yourself and your loved ones for those uncertain times.

Disclaimer: The above information is for illustrative purpose only. For more details, please refer to policy wordings and prospectus before concluding the sales.

Cancer Insurance or Critical Illness Cover? Here is How to Choose

What is the Difference between Critical Illness Rider and Standalone Critical Illness Plan?

Why a Critical Illness Cover for Serious Diseases is a Must-have to Avoid Heavy Expenses

Facts About Common Types Of Cancer In Women

All You Need To Know About Immune System And Boosting It