Cancers, stroke, cardiac issues, organ failure, etc., are different types of critical illnesses. Individuals who are diagnosed with such health conditions need to spend a lot on the treatment of critical illnesses. Health insurance policies play a crucial role in such conditions, providing financial assistance. However, a basic health plan may not always cover critical illness, so you should opt for critical illness insurance to cover these expenses.
What is a critical illness health insurance plan?
Critical illness insurance is a type of health insurance that provides financial coverage against the treatment expenses of critical diseases. This includes the treatment costs of diseases like cancer, stroke, organ failure, etc. As the treatment costs for these illnesses are expensive, individuals need critical care insurance to cover them.
Why should you opt for critical illness insurance?
Here are some of the reasons why it is important to get critical illness insurance:
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Offers specialised coverage
Critical illness insurance is ideal for individuals with a family history of such health conditions. Individuals who want to protect their entire family from critical illnesses can opt for a family floater plan with critical illness coverage.
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Affordable
The treatment of critical illnesses involves huge expenses as it involves frequent doctor visits, timely diagnostic tests, hospitalisation, medication, etc. This can drain your savings if you don’t have any health insurance policies. Critical illness insurance comes at an affordable premium, allowing you to bear the treatment expenses with ease.
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Extensive coverage
A critical illness policy provides coverage for the expenses associated with in-patient hospital stays, OPD fees, and pre- and post-hospitalisation, medication for critical illnesses. Additionally, it provides coverage for procedures like radiation and chemotherapy, organ donation, and an international second opinion.
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Offers tax benefits
Policyholders can avail tax deductions of up to Rs. 25,000 annually, against the premiums paid for critical health insurance under Section 80D of the Income Tax Act. For senior citizens, the maximum deduction amount is Rs. 50,000.
What are the features of critical illness insurance?
Here are some of the notable features of critical care insurance:
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Covers major illnesses
It provides coverage for life-threatening health conditions like cancer, stroke, kidney failure, cardiac issues, etc. The list of diseases may vary depending on the insurer and plan you choose.
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Waiting period
Critical care insurance comes with a waiting period of a maximum of 90 days. You can claim insurance benefits after this period is over.
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Offers lumpsum payout
When you are diagnosed with a critical illness, you can make a single claim for health insurance benefits. The insurer pays a lump sum to meet your treatment expenses. You can use this payout to cover medical expenses or loss of income as per your needs.
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Survival period
There is a survival period of a maximum of 30 days for critical illness health insurance policies. So, after being diagnosed with a critical illness, an insured needs to survive for this period to avail the insurance benefits.
Conclusion
Critical care insurance offers extensive coverage for a wide range of critical illnesses, but most plans do not cover pre-existing diseases or congenital conditions. So, keep these in mind while buying a plan and claiming insurance coverage. The claim procedure for critical illness is hassle-free. You can claim it by providing the necessary medical reports and documents.
