The critical illness cover is very distinct from a basic health insurance plan. It covers you against diseases that can put your life at stake. The hospital and medical bills for these treatments are exorbitantly high and are only expected to increase further with new breakthrough medicines and treatments in the medical industry. 

In such a situation basic health insurance will not be able to cover any of these costs. The critical illness health insurance covers Cancer, Kidney failure, Primary Pulmonary, Hypertension, Multiple Sclerosis, Organ Transplant, Coronary artery bypass and Paralysis to name a few.

Why should you buy a Critical Insurance Cover?

A critical illness health insurance is essential because:

  • The coverage provided will be high and can be changed by modifying the policy as well.
  • The amount once claimed can be used for any purpose related to the management of the disease or otherwise.
  • The policy includes multiple life-threatening diseases
  • The policy allows for the settlement of claims swiftly and gives a daily cash allowance
  • If the right policy is selected it will even cover the education of the children of the policyholder

What is entailed in the policy and what is not?

The policy entails roundabout 50 plus illnesses that have exorbitant treatment prices, the sum once provided in a lump sum can also be used for miscellaneous purposes to deal with financial instability post-treatment, the benefits can be derived post commencement of the policy whenever required and the claim settlement process is quick considering that this is for life-threatening diseases.

The policy does not entail compensation for the demise of the holder within 30 days of the diagnosis, diseases developed as a reason of drugs and substance abuse as well as a congenital disorder, anything related to maternity or newborns and any issue arising due to suicidal behaviour or adventure sports.

Things to keep in mind when choosing this policy

The following things should be considered while choosing the critical illness policy:

  • It is essential to keep in mind the sum being offered in the policy as some medications and treatments are lower than others and determining the kind of coverage you want from the policy is important. You can compare the various covers being offered and choose what suits you.
  • Senior citizens' critical illness insurance policies provide greater coverage at a higher insurance cost. This is because senior citizens are more likely than young adults to have serious diseases. Insurance experts suggest choosing a critical illness insurance plan based on your age.
  • It is important that you consider whether you are going for a standalone policy or a rider policy as standalone policies have costlier coverage but provide more comprehensive coverage in the case of rider policies, the premium is lower but the sum that is being assured is also lesser. The reason is that the rider policy is added to an already existing policy’s base plan. 
  • It is essential to check the sub-limits of a policy as it has an impact on the cost that will be borne by you. These sub-limits are applied to the total sum that is assured under this policy.  That is to say that the policy has bifurcations for what amount can be used for surgery and what can be used for tests. Depending on these divisions, you will have to add to the payment if the sub-limit is lower than the desired payment for the treatment. Thus, it is important to check the details of the sub-limits for the diseases being selected. 
  • The inclusion and exclusion in a policy should be thoroughly checked. It will provide you with a better understanding of the terms and conditions of the policy. For example, policies centred around cancer will not include a cover for cataracts or strokes. 
  • The maximum renewal age should be kept in mind. Several health insurance policies give coverage until a certain age, whereas some offer coverage indefinitely. You should be aware of the exact age at which you, as a policyholder, can extend the policy. Many plans cannot be renewed after, say, 60 years. Insurance experts advise choosing a critical illness insurance policy with a maximum renewal age.
  • The waiting period is another thing to be kept in mind. Critical illness insurance plans typically include a waiting period. This implies that when the waiting time has expired, the policyholder will be able to obtain insurance coverage for approved critical diseases. Insurance experts suggest choosing a critical illness insurance plan with a short waiting time.