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Key Factors to Consider When Choosing Critical Illness Insurance

In an era where the cost of healthcare services is constantly rising,  critical illness insurance is considered an effective solution to deal with the financial challenges that come with serious health conditions. Moreover, if you are looking for insurance that covers for your planned treatments and surgeries overseas, you can opt for a Global Health Insurance plan.

Now, let us look at some essential factors to consider while choosing critical illness insurance. 

How to Choose Critical Illness Insurance?

To secure the best critical illness insurance, you must consider the following factors:

List of Covered Illnesses

If your family medical history includes certain critical illnesses, ensure those are covered under your insurance policy. Only then will your insurance policy offer you coverage for the potential illness.  After all, a good insurance policy should meet your coverage expectations.

The Sum Insured

This is the most essential aspect when choosing the best critical illness policy. The sum insured should be adequate to meet the financial requirements of your family in case one is diagnosed with a critical illness that may result in partial or total disability or death.

Claim Settlement Ratio

When you are finalising a critical illness health insurance policy, you must consider the claim settlement ratio of your selected insurance provider. It gives you an insight into the chances of your insurance claim’s rejection or approval. The better the claim settlement ratio of your insurance provider, the better the chances of your insurance claim being approved.

Claim Procedure

While choosing an insurance provider, ensure that you review their claim procedure. Ideally, the claim process should be smooth and hassle-free, with minimum paperwork. The claim process should be straightforward and be able to offer quick settlement at your convenience.

Waiting  Period and Survival Period 

A critical illness insurance plan comes with a survival clause, in which the insured individual must survive for a specified period after the diagnosis to file a claim. The survival period usually lasts up to 60 days. However, it may vary depending on the insurance company.

The waiting period is the specific duration (usually 90 days) from the start of the policy. During this waiting period, your policy will not provide coverage for critical illnesses. Again, the waiting period can vary between different insurance providers.

Ensure the critical illness insurance plan you choose has a low survival and waiting period.

Age

It is essential to consider the age limitations of the critical illness insurance plan. Some policies might include certain age restrictions; therefore, choose a policy that aligns with your future and current requirements.

Financial Position

Assess your financial capacity to pay insurance premiums regularly. While it is important to have sufficient coverage, it is equally important to select a critical illness insurance plan that fits well with your budget.

Review Exclusions

Thoroughly review the critical illness insurance policy document to identify any limitations or exclusions that might have an impact on your coverage. Understand the scenarios under which the policy might not offer coverage.

To Wrap It Up

Before finalising a critical illness insurance plan, you must consider several factors, including coverage,  sum insured, age, claim settlement ratio, exclusions, waiting period, claim procedure and financial position. By considering such factors, you can make an informed decision on the best critical illness insurance policy.