Thursday, December 14

The Benefits Of Critical Illness Cover

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A large number of people will, at some period in their lives, be stricken with a serious illness. The success and importance of the insurance industry can be attributed mostly to this fact and people’s desire to have some form of protection in case a severe affliction strikes.

Critical Illness Cover is an inexpensive, uncomplicated insurance policy that gives a substantial payment to a policy holder who is diagnosed with a life threatening condition. The illnesses or disabilities covered by the policy are listed in its terms and conditions and if the individual’s specific illness is not included in the list, he or she will not be able to avail of the payout.

Examples of conditions usually seen in the list of exclusions are drug abuse, criminal acts, engaging in dangerous sports or hobbies, self-inflicted injuries, and many more. Alzheimer’s disease or Parkinson’s disease may also be in the exclusions if the policy holder is diagnosed after 60 years of age.

As can be seen, many of the conditions that may prevent payout are the result of personal choices and circumstances beyond one’s control. This is very important to consider for someone who is planning to take out a CIC insurance contract.

Meanwhile, the conditions that are usually covered are cancer, stroke, heart attack, coronary artery bypass, major organ transplant, and multiple sclerosis.

Critical Illness Cover is typically affiliated with life insurance. Some CIC policies pay out either upon the diagnosis of a covered illness, or in the event of death; while other policy contracts allow paying out in both events. There is also something called buy-back critical illness cover, which is an option that would allow a CIC policy holder to sign up for additional policies for life insurance at a greatly reduced price after obtaining a claim from his or her current CIC policy.

The reason why such an option is attractive to many is that it is enormously challenging to try to take out a new cover after recovering from a critical illness, considering that the survival or recovery rates from critical illnesses are generally high. Furthermore, this policy option is very important to consider because it covers cancer, heart attack, and stroke, the three most prevalent critical illnesses from which a policy holder might recover from but still risk further affliction or attack in later years.

Regardless of these benefits, an individual looking for a policy to sign up with must make sure his or her options conform to particular needs. It is always a good idea to shop around and compare policies and fees before committing.


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