image title

Looking For Health Insurance? Cancer Insurance Plan Deserves a Look

Inderpal Ahluwalia 19 January 2018

If you are planning to buy health insurance then do take a look at the cancer insurance plan. Cancer insurance is gaining popularity among people today as cancer cases have been on a rise not only in India but all around the world.

Cancer Health Insurance

Importance of Cancer Insurance Plan

Cancer insurance is a specialist cancer policy which is designed to cover cancer and pay-outs are customised according to different stages of cancer giving the policyholder comprehensive protection in time of crises.

W.H.O statistics state that cancer cases are going to rise by an alarming 70% in the next two decades. Unfortunately, India still does not have a good state-sponsored cancer treatment available therefore it is very important that you secure yourself and your family against a comprehensive health insurance plan.

All you need to know about Cancer Insurance

Cancer insurance is a type of health insurance plan intended to manage risks associated with cancer. It helps the policyholder to manage the costs of cancer treatment and provides with the much needed financial support during a time of crises. It helps you to be prepared for a financial contingency especially against cancer treatment and care. Cancer care insurance policies are introduced with this very objective of offering comprehensive coverage against cancer. During the time of crises and trauma, having a cancer insurance will help the patient and members of the family deal better with the situation.

Some important points about cancer insurance policy

  • Cancer Insurance policy offers comprehensive insurance especially related to cancer.
  • Most cancer plans offer a waiver of premium benefit for the specific period say for 3 to 5 years or for entire policy duration. Some of the plans even offer a regular income benefit for a fixed period of time up to 5 years to cover daily costs of running a household while the policyholder is out of work due to illness. This is usually a percentage of the sum assured (say 1 percentage monthly).
  • Most cancer insurance plans offer an increase in sum assured as a plan option
  • One of the most distinguished benefits of buying a cancer insurance plan is that the insurance coverage continues even after the diagnosis and payout in the early stage of the disease.
  • Cancer insurance plans also offer tax benefits under section 80D of the Income Tax Act.

Things to focus on before buying a cancer insurance plan

It is advised to do some research before taking a cancer insurance plan. Below are some of the points that need to be focused on before going for a specific cancer insurance plan

  • Make sure the sum assured is of a sufficient amount : We all know medical expenses have risen over the years and are going to continue to rise. Medical inflation is estimated to be 15% every year. Cancer treatment takes time so it is advisable to opt for a cancer insurance plan with an adequate sum assured. This will ensure there is no shortage of funds for your life-saving cancer treatment.

  • Check the payment schedule under a cancer insurance policy : A good cancer insurance policy should offer comprehensive coverage for all stages of cancer. Such policies will provide for expenses for early stage 30% and remaining 70% on major stage.

  • Check fine prints of policy, waiting period and survival period : The fine print in the policy gives you details on the waiting period i.e the amount of time you will have to wait before the policy will start coverage and survival period i.e the amount of time after cancer diagnosis the policyholder has to be alive in order to claim benefits of the policy. This clause needs to be understood by the policyholder to avoid having any confusion when claiming benefits.

  • See if you get hold of additional important policy benefits in your cancer insurance : Insurers put add-on benefits to make their policy stand out from the competition. Some of the benefits are the waiver of premium or regular income for the fixed period. These add-ons are crucial to have as they can provide some added relief during the tormenting period. Although most policies have this feature but ensure it comes with the cancer insurance policy you are buying for yourself or your family.

  • Duration of the cancer insurance policy: A cancer insurance policy which is a long policy is always beneficial as it will give policyholder protection for longer periods on the same premium.

  • Different insurance policies for cancer to choose from : Today market has different plans covering cancer. Most of these are available to people who have never been diagnosed with cancer before. Let’s have a look at these different plans

  • Term insurance policy with terminal illness benefit : Under this, the benefit is either inbuilt in the plan or need to purchase additional as a rider. The lump sum payout is given on diagnosis of the critical illness. The payout is usually a percentage taken out of the sum assured and subsequently the death benefit is reduced by the equal amount of the benefit paid earlier. Term insurance is often the cheapest form of insurance but the plans are not customized especially for cancer insurance.

  • Specialised cancer insurance : This is a special policy which is directly related to cancer treatment and the benefits are designed to offer seamless cancer treatment. The payouts are made as per the minor and major stages of cancer. Check the waiting period and survival period clause before getting the policy.

  • Critical illness rider in health insurance : You can buy this critical illness rider along with the basic health insurance to cover for an expensive critical illness like life-threatening cancer. It starts paying benefit for treatment after the policyholder is diagnosed with the mentioned critical illness. Depending on your requirements and budget you should take coverage against cancer as the modern day sedentary lifestyle and environmental pollution are making humans’ sitting ducks for contracting cancer viruses. A comprehensive cancer insurance will be the best choice but if not, you can always go for other coverages to have at least some cover for the life threatening disease.

Recommended Read : Health Insurance Can Save You from Cancer Expenses