When you are diagnosed with a critical illness, it can quickly add up financially. Critical illness insurance can offer you additional coverage that can help cover those out of pocket expenses that may come with a diagnosis of stroke, heart attack, or cancer, but other illnesses may be covered, depending upon the insurance company.
A critical illness policy will pay out a lump-sum payment if you are diagnosed with one of the illnesses covered. Your standard insurance policy will cover your prescription and medical costs, but an addition critical illness policy will cover gaps, such as copays and deductibles. It can also cover the gaps in your disability coverage, as it only pays a portion of your income.
No one knows when or if they will be struck with a critical illness. Even if you eat healthy and exercise, you can get cancer or have a stroke. By purchasing critical illness insurance you can protect your financial future and your family.
This type of insurance works just like other kinds of insurance. The insured must meet the basic criteria for coverage, as well as any preexisting conditions. The insured will then pay premiums for coverage, which will vary upon your age and other factors. If the insured is diagnosed with one of the illnesses, then they will receive their benefits.
While a lump sum is normally given to the insured, some policies do not pay out in a lump sum. Some pay the doctors or hospitals directly, while others pay for travel costs to treatment centers. The important thing is to carefully look over any policy that you are considering to be sure that you understand it completely.
Having critical illness insurance can be a huge benefit if you are diagnosed with a serious illness. This can save your finances and allow your family to take care of you without worry.