Certain diseases can leave patients semi-permanently or permanently damaged, forcing them to be emotionally, physically, and financially dependent on someone less for the rest of their lives. But you cannot always be financially dependent on someone, and the treatment costs of these diseases can be substantially considerable. This is where adequate critical illness insurance plays a pivotal role.
What Is A Critical Illness Insurance Plan?
The critical illness plan covers under the insurance policy different from insurance provider to another. In this insurance plan, you get a lump-sum amount, which can cover the expenses associated with the treatment. You can use this payout along with your health insurance policy for medi-claim that you already own.
How To Choose A Critical Illness Insurance Plan?
The kind of critical illness insurance plan you choose will determine the kind of benefits you will gain. Here are some of the essential tips that will help you choose the right plan –
Choosing Between Stand-Alone or Add-On
Typically, a critical illness insurance plan can be acquired in two ways. The first approach is to purchase a stand-alone policy. This is an individual plan which is separate from your existing general health insurance policy. The second plan is to combine your current life or health insurance plan with a critical illness rider.
A stand-alone policy is considered more flexible as opposed to an add-on if it provides a more comprehensive cover. Moreover, an add-on sum is lesser than the primary policy you hold. And it is unlikely that the insurance provider will exceed the amount of riders than the main policy.
Age and Renewability
Some insurance providers have restrictions on age and renewability. They limit the renewability for the age of 50. And once you cross this threshold, you will not be able to renew the critical illness plan.
This is why you should look for an insurance policy that offers unlimited renewability. If you are above 60, then you should get a plan that covers a wide range of diseases so that you get maximum coverage.
When you choose a critical illness plan, it comes with a waiting period. This is the time frame between the time your policy is activated and until the benefits start to kick in. Generally, a critical insurance plan has a waiting period of around three to four years post which the critical illnesses are covered. When filtering critical illness policies, choose the one that starts as early as possible.
Check the Critical Illness Covered Under the Plan
The insurance providers have a list of critical illnesses that they cover under the plan. So when going through insurance policies, check out the illnesses they cover. This way, you can avoid investing in a critical illness plan that is not relevant to you at that time.
Life is uncertain, and medical emergencies can come when you least expect it. That’s why you need a critical illness plan backing you up. This plan makes sure that the medical bills do not burden you. With a reliable critical illness plan, you can rest assured and concentrate on getting better. Above, we have shared some essential tips that will ensure you invest in the right critical insurance plan.