Sedentary lifestyle, unhealthy eating habits, and stress increase the risk of critical ailments like cancer, diabetes, and hypertension. According to research, almost 25% of Indians are at risk of dying due to lifestyle-related ailments or cancer before the age of 70.
Regular exercise and a healthy diet can mitigate the risk of critical ailments. However, some illnesses like cancer may be hereditary. Treating a critical ailment is expensive, and without insurance, you may find it tough to meet these costs.
About critical illness insurance
A regular health insurance plan pays for hospitalization expenses and may cover some portion of the pre- and post-hospitalization costs. However, a critical ailment may require long-term treatment. Moreover, you may be incapable of earning during a particular period if you suffer from a critical illness. In this situation, coping with regular household expenses along with the treatment costs may be financially difficult.
A critical illness health insurance policy is beneficial here. It pays a lump sum when you are diagnosed with the illness. You may use the money for treatment, meeting regular expenses, or repaying any debt.
Benefits of Critical illness insurance
- Coverage for a wide range of ailments, such as kidney failure, heart attack, brain surgery, and cancer, among others
- Continous coverage even if you claim one ailment covered under the medical insurance plan
- Income tax benefit on the premium under Section 80D of the Income Tax Act, 1961
- Opportunity to receive 150% of the sum insured as the payout in case of a comprehensive plan
- Benefit from chronic management programs to recover faster and manage your ailment
- Shorter survival period from the day you are diagnosed with the illness
- Wellness coach who offers a customized plan for quick recovery and personalized advice to adapt to the critical disease
Difference between regular health insurance and critical illness insurance
| Regular health insurance | Critical illness insurance | |
| Basis | Indemnity-based, where benefits are paid only for hospitalization | Lump-sum payout when you are diagnosed with the ailment |
| Sum insured | Higher sum insured requires a greater premium, which may be unaffordable | Affordable, as coverage is only for the specified ailments |
| Coverage | Wider coverage for hospitalization occurring due to an accident or illness | Available only for critical conditions covered in the policy document |
If you have a family history of severe ailments, like high blood pressure, opt for a critical illness plan, which offers health insurance for high cholesterol. It can be a standalone policy or a rider to your base mediclaim plan. Such A critical illness plan may be beneficial for seniors who may suffer from severe ailments and require funds to meet their expenses, especially post-retirement when they do not have any other income.
