Insurance Plans India 409 views August 30, 2021

The treatment of critical illnesses can not only be lengthy but expensive too. The cost of these illnesses varies based on the operation performed on the patient. For instance, organ transplantation and open heart surgery can make you pay about INR 5-10 lakh. Whereas cancer, which can be of different types, can cost you more than INR 10-15 lakh. Looking at such costs, a critical illness insurance plan is imperative for you to have.

But the key lies in choosing the best plan to have adequate financial protection in case you do fall sick to any of the critical illnesses. We can help you select the best critical illness insurance plan by sharing with you some important points to consider. Let’s read such points in this article.

Points to Consider When Choosing the Best Critical Illness Insurance Plan

As hinted above, the key lies in having adequate financial immunity against critical illnesses. Besides adequacy, you will also need to check the number of critical illnesses covered under different policies. And last, but by no means the least – the cost of such plans. Comparing plans based on these parameters will help you choose the best one. So, let’s read such parameters without any further delay.

Rider Plan vs Standalone Critical Illness Plan – Which Should You Choose?

You can have a critical illness plan either as a rider to a base plan or as a standalone plan. If you choose the former, you will need to pay the premium for both the base plan and the critical illness rider. Whereas, in a standalone critical illness insurance plan, you will need to pay the premium for the covered illnesses.

A standalone plan is likely to offer wider coverage against critical illnesses than that of a rider plan. The rider sum insured will anyway be less than that of a base plan. So, on the point of coverage, standalone plans emerge as the winner. But cost-wise, standalone plans will be dearer. So, check which of the two plans cover you adequately against critical illnesses and come in your budget.

Consider Inclusions and Exclusions of Plans

Nobody likes the last-minute hassle during claim settlement. One big reason for such hassles is that most remain unaware of inclusions and exclusions. They sign the deal by just looking at the coverage amount and the premium they need to pay. And when they face a rejection, all they express is frustration. So, if you want to avoid such things, do read the inclusions and exclusions of the plan carefully. Needless to say, the plan with the most number of inclusions and least exclusions should be your pick.

Check the Number of Critical Illnesses Covered

Doesn’t matter which you choose – a standalone critical illness plan or a critical illness rider – it should cover a maximum number of critical illnesses. Most insurers cover around 15-20 critical illnesses.

Check for the Waiting Period

The waiting period, as the name suggests, is the time for which you need to wait to get the coverage. So, if you are diagnosed with a critical illness before 90 days of the policy commencement date, you will not get covered. Some insurers may also require you not to have been covered previously with them without any break. SBI General Insurance Critical Illness Policy is one of them having the condition mentioned above. The waiting period and the other conditions may differ across other insurers. That only reinforces the need to check the policy documents minutely. In case you spot a thing that bothers you, you can cancel the policy within 15-30 days of buying the same.

Consider Renewability too

You can renew critical illness insurance plans by paying the premium on the due date. While some insurers may specify the time up to which renewal can be done, others could come with lifetime renewability. Given that critical illnesses are most likely to occur while you are old, consider choosing the plan with a lifetime renewability option.

The Bottom Line

So, these are the points to consider before choosing the best critical illness insurance plan. What you can do extra is buy the policy as early as possible. The reason being the premium increases with age. And, if you buy it at the youngest of your ages, you could save on the premium outgo.

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