A Detailed Guide to Critical Illness Cover
medical insurance or health insurance covers is its flexibility. The pay-out you receive under critical illness coverage can be used for various expenses, not just medical bills.Let's consider an example to illustrate this:Suppose there is a person named Raj, who is a 40-year-old software engineer with a wife and two children.
Raj leads a healthy lifestyle, but to ensure he is never caught off-guard by a medical emergency, he decides to buy a health insurance with a critical illness cover with a sum insured of ₹50 lakh.A few years later, Raj is unfortunately diagnosed with a severe heart condition that requires immediate surgery. The hospital staff tells him that the surgery will cost him ₹15 lakh, and after the surgery, he needs to take complete bed rest for three months and cannot go to the office.
Raj also has a home loan for which he pays an EMI of ₹30,000.However, soon after being diagnosed with the cardiac ailment, the insurer credits the entire amount to his account.Since the pay-out usage is not restricted, Raj first settles his treatment costs. Next, he pays off a portion of his debt.
After keeping some cash in his savings account, he invests the balance in a scheme from which he can get regular income post-retirement.The list of diseases covered by critical illness insurance add-on varies among insurers. Here are some common conditions that most insurance policies cover if you buy the critical illness cover:An add-on is defined as additional coverage to your standard plan or policy.
You don't need to undergo any medical screening when you buy critical illness coverage as a rider. However, the downside is that the sum insured under this add-on cover cannot exceed the coverage amount of the base plan in any
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