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Critical Illness Insurance

A Primer on Critical Illness Insurance


No matter how healthy one might thing themselves, a serious (or “critical”) illness can happen anywhere and anytime. To address this concern, good critical illness insurance is available to help families, which can go a long in easing the very real possibility of bankruptcy, as it is designed to assist financially those who are directly suffering from a critical condition until they are able to recover and get back to normalcy. This coverage can provide a family the resources it needs to cover all their bills and take care of mortgage payments and so on when a critical illness prevents a breadwinner from working. This protection can also be applied to medical expenses not already covered by a typical workplace benefits package.

Who it Benefits

Although there a variety of policy forms our there, there are several conditions this kind of insurance generally will address. The top three of these are cancer, heart attack and stroke. There are other policy provisions that can address other necessary conditions such as heart or major organ transplant, paralysis, bypass surgery, kidney failure and angioplasty, Parkinson’s and Alzheimer’s disease, blindness, deafness, HIV/AIDS, Multiple Sclerosis and more.

The Benefits of the Coverage

Treatment costs for these conditions can be staggering and more often than not completely overwhelming for those who even have normal coverage but are sick and therefore unable to work for extended periods of time. This is why good critical illness insurance coverage can be such a proverbial life-saver.

What Types of Insurance Are Available for Critical Illness?

• Lump Sum Payments
Many policies will offer lump sum pay outs to the policyholder that he or she may then spend on care as they see fit.
• Direct Provider Pay
Other plans will compensate the care provider directly, which tends to means the policyholder can avoid exorbitant late fees for bills or in enduring a long wait for their policy payout.
• Travel Plans
Some of these plans cover medical transport to other medical providers who’s services may offer the patient a better chance for a cure, including care provided out-of-country.

How Critical Illness Insurance Works

The various mandates of how diagnosis is undertaken may vary by policy. Some plans mandate that a regular treating physician’s diagnosis be officially made for one of the accepted major illnesses prior to coverage kicking in, while other plans outline that the diagnosis be confirmed via a specialist in the illness with which the policyholder is stricken. Claims are then allowed after a diagnosis has been made by the appropriate physician, along with the provision of any supporting medical documents.

Critical Illness Coverage Benefits

A major health issue can literally cause one to go into bankruptcy. Surviving cancer can often end up costing a patient anywhere from $500,000 to $1,000,000 dollars in no time flat. Carrying the proper policy that enables critical illness coverage, in conjunction with a standard catastrophic healthcare policy, might be all a healthy person will need in his or her near future so as to be adequately safeguarded.
Contact an insurance agent to discover more about what a good critical illness policy can do for you!