Due to changing lifestyle habits and stressful work-life has led to an increase in critical health conditions in people across the country. The number of cancer cases in India has quite risen. This has forced the insurance industry to offer adequate coverage for the disease under its critical illness coverage section.
Cancer can be hard to deal with. While you have to suffer enormous physical pain, it can be equally hard on your mental health. The treatment expenses of the disease can be hefty on your pocket as well. Given the situation, many life insurance plans in India offer financial coverage for the treatment of the disease.
It is commonly believed that life insurance plans do not cover critical illnesses such as cancer. However, term insurance plans with critical illness benefit will cover you for cancer as well as other critical health conditions.
What is Term Insurance with Critical Illness Benefit?
Ideally, a term insurance plan only offers death benefits to the beneficiaries of the policy in case of your (the policyholder’s) death. However, to enhance the coverage of the term plan, insurers in India offer rider benefits. One such rider benefit that can come in handy is the critical illness benefit/cover.
Having critical illness cover along with the existing term insurance will offer you financial protection in case you are diagnosed with a critical health condition. The insurer offers a lump sum amount that can be used for the treatment of the disease.
So, if you are diagnosed with cancer, having a term insurance plan will ensure that the treatment and hospitalisation expenses are well taken care of. Also, in case you do not survive the disease, the policy will pay the death benefit to the beneficiaries of the policy. This ensures that your loved ones are financially secure, even after your death.
How To Choose A Term Insurance Plan For Cancer Patients
- Buy a term insurance plan with critical illness benefit.
- Choose a plan that offers coverage to most forms of cancers at different stages (whether the disease is diagnosed at an early stage or advance stage).
- The expenses for radiation therapy, hospitalisation, chemotherapy, and medical treatments should be covered.
- The policy should cover some of the most common types of cancers, such as lung cancer, breast cancer, ovarian cancer, etc.
- Given the fact that the medical costs in India are gradually rising, the term plan you choose should offer a high amount of coverage – between INR 15 lakh and INR 50 lakh – for the treatment of critical health conditions.
- Check whether the policy offers free cancer screening.
- Having critical illness benefit under term insurance makes you eligible for tax deductions under Section 80D of the Income Tax Act, 1961.
When buying term plans for cancer patients, you must opt for the critical illness benefit. Without it, the expenses for cancer treatments will not be covered under the policy.
Also, we understand that insurance is expensive due to rising medical costs. Hence, the poor and low-income families in India can get access to basic term insurance coverage with Pradhan Mantri Jeevan Jyoti Bima Yojana that offers death benefits only.
Know that term insurance is one of the basic life insurance products available in the market. Having one will ensure that your loved ones are financially protected in your absence.