Understanding Critical Illness Insurance
Critical illness insurance is a policy designed to provide financial protection if you're diagnosed with a serious medical condition or illness covered by the policy. It offers peace of mind and financial support during challenging times.
Financial Protection
Provides a safety net in case of serious medical conditions or illnesses covered by the policy.
Lump-Sum Payout
Offers a one-time payment if diagnosed with a specified critical illness during the policy term.
Medical Expense Coverage
Can be used to cover medical expenses, ensuring access to necessary treatments.
Flexible Usage
Payout can be used for various purposes including mortgage payments or replacing lost income.
Remember: The specific terms, conditions, and covered illnesses may vary between policies. Always review the policy details carefully before making a decision.
Key Details of Critical Illness Insurance
Critical illness policies typically cover a range of serious medical conditions, which may include heart attack, stroke, cancer, organ transplants, and other major illnesses. The specific illnesses covered can vary among insurance providers, so it's essential to carefully review the policy terms.
Critical Illness Insurance: Coverage and Exclusions
What does critical illness insurance cover?
Exactly what's covered by critical illness insurance will depend on the insurance policy you take out. The severity of the condition can affect whether you're covered, but conditions covered typically include:
- Heart attacks
- Strokes
- Non-terminal cancer
- Multiple sclerosis (MS)
- Parkinson's
- Organ transplants
- Severe head injuries
Critical illness insurance can also cover you if you've suffered a physical disability following an injury, such as after a serious accident at work.
You can choose between two main types of critical illness insurance: level cover or decreasing cover. It depends on whether you want a substantial pay-out to cover your family's ongoing living costs, or just enough to cover your mortgage or other debts.
With level cover critical illness insurance, you choose how much the lump sum pay-out will be. The cover amount and your monthly payments will remain the same throughout the term of your policy.
This could be a good option if you want to cover your family's ongoing living costs and you need to know exactly how much the pay-out will be.