Before we commence the article, let us first understand what critical illness insurance is. In the latter part of the article we will see how it helps.
What is Critical Illness Insurance?
Critical Illness Insurance offers coverage against specific life-threatening diseases, as mentioned by the insurance company. Generally, treating critical illnesses may ask for multiple visits to the hospital over a long period of time. These visits come in addition to the hospitalisation cost and other costs such as doctor visits, medical expenses, etc. In a Critical Illness plan, the insurance company pays a lump sum amount which can be used to cover these expenses along with the additional ones, if any. This lump sum pay-out is in addition to any medical claim or health insurance policy which you may have before the critical illness policy.
Since health problems, strike unexpectedly, the result is a sudden financial burden for families who face this challenge. With the critical illness insurance, the families may not worry about meeting the cost of treatment or either the loss of income during these challenging time.
Here are some of the reason why you should opt for critical illness insurance and how will it help you during you illness:
Losing your monthly income:
If you are the breadwinner of the house and if you happen to be a victim of any god-forbidden illness, then it impacts on the monthly salary of your family. With critical illness insurance, you can double it as your monthly income too till the time you are well and fit to resume work.
Offers you peace of mind:
Another reason for buying critical illness insurance is, it provides you peace of mind when it comes to finances. Since the treatment for critical illness insurance is more expensive as compared to other illnesses, funds are the second most affected aspect of life. A critical illness cover goes beyond just hospitalisation costs and helps you cover other expenses like doctor consultation fees, cost of medicines etc. Along with this, it also helps to pay off any outstanding loan such as a home loan, car loan, etc. Critical illness insurance also helps you to deal with outstanding EMIs.
If you do not have a critical illness cover, you may have to spend all your savings on the treatment and other expenses. This may result in draining most of your savings over the years in a matter of months.