Critical Illness Insurance

Critical illness insurance is a type of health insurance, which provides the sum insured in case the insured suffers from any critical illness. The diseases and health problems covered in critical illness insurance mainly depends on the policy chosen by you. However, it generally includes cancer, severe burns and coma.

Our lifestyle has changed a lot; junk food, stressful work and family worries have become a big part of our life, which increases the risk of developing serious diseases. In such a situation, when you suddenly get a serious illness, critical illness insurance can be life-saving for you.

(Read more: Which is the best health insurance?)

Taking health insurance is a good option for everyone, as it does not let you become financially weak at the time of a medical emergency. Critical illness insurance is very important for people who are at high risk of getting serious diseases. A critical illness insurance plan provides coverage for emergency medical expenses so that you can keep your savings safe. This health insurance plan also helps you in providing a good hospital and quality medical care.

The following benefits can be availed from critical illness insurance:

• Cheap premium: As mentioned above, critical illness insurance provides you coverage for expenses incurred due to certain critical illnesses. Because of this, the premium of these plans is much less than other health insurance plans. They help you be prepared for any serious medical situation and, at the same time, your pocket is not affected much.
• Freedom of use: If you have taken a critical illness insurance plan, then you can use that amount for any other purpose other than medical expenses. Therefore, after the diagnosis of critical illness, the lump sum amount that will be given to you by the insurance company can be used as per your wish.
• Tax benefits: If you have taken a plan for critical illness insurance and are paying premiums regularly, then you can get a tax exemption of up to Rs 25,000. If the insured is a senior citizen, you can get a tax exemption of up to Rs 50,000. If you have taken critical illness insurance for your parents and they come under the category of a senior citizen, you can still get a tax exemption of up to Rs 50,000.

Apart from this, there are many other benefits of critical illness insurance, such as:

• Coverage on expensive treatment
• Coverage of expenses before and after hospitalization due to critical illness
• Cashless facility at the network hospitals

(Read more: Which is the best cashless mediclaim policy in India)

If you are thinking of taking critical illness insurance, then it is important for you to first know what is covered in this plan. You should consult an expert or someone who has knowledge about it so that you can be sure whether this plan is suitable for you or not. Some of the main features of critical illness insurance are as follows:

• The cost of treatment of the hospitalized patient is covered.
• Medical expenses incurred before and after hospitalization are covered.
• Daycare (if there is only one-day treatment and no need to be admitted) is also included in this plan.
• OPD expenses are covered.
• The cost of ICU and other medical machines is covered.
• The cost of an ambulance is included in this plan.
• Organ donor expenses are covered.
• You also do not need to invest money in the cost of chemotherapy and radiotherapy.
• An international second opinion is also covered by critical illness insurance.
• Apart from this, you can get your health checkups done from time to time, for which you do not need to spend any extra money. Once you have taken critical illness insurance, you can renew your policy by paying a premium every year.

It is also very important for you to know that what is not being covered in the plan of critical illness insurance that you are thinking of buying. Although different insurers have different standards in this too, there are some things that are commonly separated by insurance companies:

• Any dental problem or treatment
• Cosmetic surgery cost
• Medical expenses from hormone replacement therapy
• Cost of any treatment related to infertility or fertility
• Medical expenses of sexually transmitted diseases
• Expenses associated with serious diseases that develop from the use of tobacco, smoking, alcohol or any other intoxicant.
• Medical expenses for serious diseases caused by fighting, military attacks, etc.
• Expenses of critical illnesses due to internal or external congenital conditions

(Read more: What does health insurance cover)

In all health insurance policies, including myUpchar Bima Plus Health Insurance, some critical diseases are also claimed. However, it is suggested to take separate critical illness insurance for such conditions. Different insurance companies cover different types of diseases under critical illness, some of which are mentioned below:

• A major type of cancer
• Severe heart attack
• Coronary artery by-pass surgery
• Stroke or trauma
• Kidney failure
• Coma
• Paralysis
• Heart valve surgery
• Blindness (loss of sight)
• Deafness
• Being unable to speak
• Multiple sclerosis
• Fulminant hepatitis
• Major organ or bone marrow transplant
• Primary pulmonary hypertension
• Alzheimer's disease / severe dementia
• Surgery for the aorta
• Severe burns
• Terminal diseases
• HIV due to blood transfusion or occupation
• End-stage lung disease
• End-stage liver disease
• Muscular dystrophy
• Parkinson's disease
• Aplastic anemia
• Angioplasty and other surgical treatment of coronary artery
• Bacterial meningitis
• Benign brain tumours
• Viral encephalitis
• Motor neuron disease
• Apelic syndrome
• Being unable to function
• Major head trauma
• Other serious coronary artery diseases
• Polio
• Progressive scleroderma
• Systemic lupus erythematosus with lupus nephritis

(Read more: Difference between health insurance and life insurance)

Anyone can be diagnosed with a critical disease, especially since all of our lifestyles are becoming worse. Given the situation, it has become necessary for everyone to have critical illness insurance cover. When someone in the family suddenly develops a serious illness, then the expenditure on their treatment can make your financial condition weak. It becomes impossible for poor or middle class people to get treatment for any serious disease.

Critical illness insurance proves to be financially helpful in such situations. Taking a suitable critical illness insurance policy that suits you and your family is a good investment into your future health and finances. Below are some of the main points explaining why and for whom it is necessary to buy critical illness insurance:

• Whose family has had a serious illness before: Those who have a family history of a particular disease are at an increased risk of developing that disease in the future. In such a case, critical illness insurance can be a profitable option, which is necessary for both health and financial conditions.
• Those bearing the responsibility of money: If you are the sole breadwinner in your family and all the household expenses are on you, then a critical illness insurance plan is very important for you.
• Women: Cases of cancer and many other serious diseases are found more in women than men, so critical illness insurance can be a good option for them too.
• Persons of a particular age group: When you cross a certain age (usually 40), your risk of getting serious disease increases. In such a situation, with the help of critical illness insurance, you can keep yourself financially ready to fight these diseases.

(Read more: What is not covered in health insurance)

Treatment of serious diseases usually takes a long time. Apart from genetic diseases, a busy and hectic lifestyle can also increase the risk of many serious diseases. Therefore, you are advised to be prepared in advance for such sudden problems. But while buying a critical illness insurance plan, it is advisable to keep some things in mind, including the following:

• Evaluate your risk of a particular disease and whether it is covered in the plan of critical illness insurance or not.
• Estimate the medical expenses that will be used for the treatment, so that the appropriate plan of critical illness insurance can be selected accordingly.
• Before taking an insurance plan, find out its waiting period, so that you’re fully aware of how much time you can claim after if required.
• Opt for a good critical illness insurance plan, which offers many other benefits and conveniences, such as organ donor cover, alternative therapies and treatments, etc.

(Read more: What is family floater health insurance)