Avail a crucial additional cover for a nominal additional premium.
The recent Global Burden of Disease (GBD) studies show that cardiovascular diseases are the leading cause of deaths in India. These diseases include ischemic heart disease, Chronic Obstructive Pulmonary Disease (COPD) and stroke.
Treatment for all of these critical illnesses is very expensive. While basic health insurance policies do cover these illnesses, thesum assured they offer is highly inadequate. For example, most health insurance policies offer a sum assured of 2 to 5 lakhs (family floater), while the treatment for ischemic stroke itself amounts to 6 lakhs. Here, traditional life insurance policies are also of little help because they grant the sum assured upon the demise of the insured.
This is where the critical illness rider is useful.
What is a Critical Illness Rider?
A critical illness rider is an optional add-on feature that can be bought to compliment the life insurance policy. It ensures that a lump sum (Sum Assured) is paid to the policyholder if he or she is diagnosed with any of the critical illnesses specified -inthe policy. Once the payout is made, the rider terminates while the life cover under the Base Plan and other riders (if any) continue.
What are the illnesses covered under the Critical Illness Rider?
Each insurance company covers a different array of illnesses under this rider. However, the critical illness rider typically covers:
Some companies also offer special Women Critical Illness riders.
What are the conditions of the Critical Illness Rider?
Although the critical illness rider covers the specified illnesses completely, there are a few scenarios where claims are rejected. Generally:
What are the types of critical illness riders available?
"Be the CEO of your life"- Robin S. Sharma -
QUOTE OF THE DAY
A pre-existing medical condition should not be a deterrent for buying your family health insurance and securing their financial future. However, proper disclosure and some precautions ensure that in case if any unfortunate event, you have a smooth and hassle free experience.
Though both Individual and Group Health Insurance Plans provide similar coverage, they do differ in various aspects, such as cost and customisation.
It is important to have sufficient health insurance cover in order to meet medical emergencies. It is equally important to understand the provisions of any health insurance product that you may be holding, to avoid unpleasant surprises at the time of making a claim.
Health and critical illness are separate categories and each has its own place in a consumer’s insurance requirement. Here’s a simple guide to knowing how to choose between the two, or decide if you need both.
A health insurance policy is a critical piece in the overall puzzle of a family’s personal finances. A claim free year does not mean that the money goes down the drain. These covers should be treated as pure risk covers where the return is peace of mind of having secured family’s financial position.