One of the most common products of insurance is the critical illness insurance or also known as critical illness cover. Typically, this is where an insurer is contracted to make lump sum cash payment if the policyholder is detected with one of the listed critical illnesses identified in the insurance policy.
What is in the critical illness insurance?
The insurance policy may be planned to cost regular income and this may be put on the policyholder who is diagnosed with a critical illness or is undergoing a surgical procedure. Additionally, it may also require the policyholder to endure a minimum number of days since the start of the illness. This is usually referred as the survival period, which differs from one company to another. The most typical survival period is up to 14 days.
The critical illness insurance contract terms also consist of specific rules, which describe when a diagnosis is made about when a critical illness is considered legitimate. The policy may state that the diagnosis should be examined by a physician who is expert in that particular condition or illness. It may also name particular tests such as EKG to verify the diagnosis of your condition.
What are the conditions covered?
The conditions or illnesses covered in the insurance differ from one company to another. Several examples of conditions that may be covered in the policy include:
- Heart attack
- Kidney failure
- A major organ transplant
- Parkinson’s disease and Alzheimer’s disease
- Terminal illness
- Paralysis of limb
- Multiple sclerosis
The conditions covered in the policy depend on several factors such as the market need for the coverage, insurers’ competition, as well as the perceived value of the benefits offered to the policyholder. With such reasons, illnesses such as rheumatoid arthritis and diabetes may become the standard coverage in the future.