5 FAQs about Critical Illness Insurance
Many people wonder whether critical illness insurance is worth it. Besides the severe emotional toll of being diagnosed with a critical illness, you will need to make sure that you and your family are financially provided for. Here are the five most common FAQs about critical illness insurance:
- What Illnesses Are Covered Under A Critical Illness Policy?
Major diseases that are fatal are considered ‘critical illnesses’ under most critical illness policies. These include stroke, paralysis, heart attack, organ transplant, bypass surgery, kidney failure and organ transplant. Upon diagnosis of any of these illnesses, a tremendous financial burden can be placed on a family.
- Do I Need A Critical Illness Policy If I Have Health Insurance?
A health insurance plan will cover your hospital bills, but it may not cover the cost of rehabilitation and treatment. A critical illness policy can ensure that a lump sum is paid into your account upon diagnosis, and that you have savings to cover the ongoing treatment of your illness.
- Should I Add A Critical Illness Policy To My Health Policy Or Buy A Separate Critical Illness Policy?
If you are able to add a critical illness policy to your existing health insurance, then the cost will likely be a lot less than buying a new critical illness insurance policy. Talk to an adviser to make sure that you are adequately covered.
- What Illnesses Are Excluded In A Critical Illness Policy?
The illnesses that are not covered in your critical illness insurance policy will vary from insurer to insurer. Pre-existing diseases or illnesses related to drug abuse, illnesses that occurred as a result of criminal activity or self-inflicted injuries are excluded in most critical illness policies.
- What Is the Difference Between Income Protection Insurance And Critical Illness Insurance?
- An income protector will pay a monthly benefit if you are unable to work due to your critical illness or disability. This is generally not limited to specific illnesses and will pay out if you are unable to work for a specific period of time.
- Critical illness insurance provides a lump sum of money when a person is diagnosed with a critical illness.