How A Critical Illness Plan Can Help You Bounceback ?

Let’s understand the difference between mediclaim and critical illness insurance;


Health insurance and a critical illness insurance works differently and provides different benefits. Below are few differences between Mediclaim & Critical Illness insurance;

  • Health insurance generally functions on the concept of reimbursement of medical expenses whereas a critical illness insurance provides a lumpsum amount on diagnosis of a pre-specified critical illness.
  • Generally health insurance is taken for less than 5 lacs which may be adequate for basic hospitalisation and surgical treatments. However, this amount is generally insufficient for treatment of critical illnesses.
  • The premium for critical illness insurance plan is cheaper than health insurance.

The benefits of a critical illness plan;

  • Provides a lumpsum amount on diagnosis itself
  • No bills need to be submitted
  • Provides higher coverage at a lower costs
  • Few plans like Edelweiss Tokio Life – CritiCare+ cover multiple critical illnesses and also provide a multi claim option which allows the policyholder to claim thrice.
  • Provides tax benefit

Review of various critical illness plans:

Now, that you are aware about the benefits of critical illness insurance. Let’s look at the options available. Firstly, not many insurance companies provide a critical illness cover and many don’t offer it as stand alone plan. Some insurance companies cover only one illness like cancer. For example, Aegon and HDFC Life CancerCare covers only cancer and other major illnesses are not covered. Some life insurance companies provide it as a rider in which case you are forced to opt for a term plan too. One stand alone critical illness plan that provides cover against 17 critical illnesses like kidney failure, heart disease, cancer, blindness, organ transplant etc. is Edelweiss Tokio Life – CritiCare+. It also provides a multiclaim option where the policy holder can claim thrice on the diagnosis of two more critical illness. Another benefit is that the premium amount gets waived off after the occurrence of the first claim. CritiCare+ provides complete protection against critical illnesses at reasonable premium rates. It also provides an option for higher coverage which can be as high as Rs 1 crore. Take a decision to secure yourself against critical illnesses today so that you are financially prepared tomorrow.

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