Why is critical illness insurance important for cancer patients?

Posted on: Nov 26, 2021 | | Written by:

Why is critical illness insurance important for cancer patients?

Published on November 26, 2021. EST READ TIME: 2 minutes

People are aware about regular health insurance policies, but many may not have the knowledge about critical illness insurance. While it is ideal that people do not suffer from critical illnesses, however, in a practical world the scenario is different. But the stressful lives that we lead today, coupled with improper diet and unhealthy lifestyle habits, and additionally deteriorating environmental conditions, people are more prone to health disorders and critical illnesses like cancer. What’s alarming is that the occurrence of critical illnesses is on the rise in India. According to Indian Council of Medical Research (ICMR)’s 2020 report, India is likely to have over 17.3 lakh new cases of cancer and over 8.8 lakh cancer-led deaths by the end of that year. While the increase in cancer cases is worrying, the cost of treating the disease is equally troubling. In general, the cost of healthcare has increased multi-fold in the last few years. Even with early diagnosis of critical illnesses, not everybody has the access to advanced medical facilities due to a lack of financial resources. And, this is where critical illness insurance comes in to the picture. It is a common misconception that a comprehensive health insurance policy will be enough when it comes to covering the cost of cancer treatment. Ahealth insurance policy or Mediclaim will help you take care of your medical expenses related to hospitalization. It is a reimbursement plan and will only cover the cost of medical expenses incurred, up to the sum assured, subject to terms and conditions of your insurer. A critical illness insurance plan does not deal with hospital bills but safeguards.

Advantages of critical illness policy

• Financial help: Critical ailments affects a person physically as well as financially. A critical insurance pays a lump sum amount which can be used to cover medical and household expenses.

• Tax Benefits: Critical illness payout is tax-free under Section 80D of the Income Tax Act.

• Mental peace: Peace of mind is very important, especially since a person is going through a lot of stress due to the critical illness treatment. The policy gives peace of mind as now one can concentrate more on medical treatment rather than worrying about funds for medical and household expenses.

• Takes care of treatment taking place in a foreign country: Under a critical illness insurance, a fixed sum is paid on the diagnosis of a critical ailment, irrespective of whether the treatment takes place in India or abroad. It means the policy can help you if you want to go abroad for further medical treatment.

Conclusion

Critical illness can affect anyone, and at any time, and thus it’s better to be prepared in advance and keep yourself secured in this ever-changing and challenging environment.

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

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