Blog, Health Insurance Concepts

How Much Sum Insured You Need ?


Women have always been the ones to take care of the family. Even today’s modern, working women are still the primary caregivers of the children and the elderly in the family. The budget for everyone’s needs, make sure there’s always food on the table and stay up nights with a sick child. Because of their crucial role in caring for the family, it is important that more women become aware of health insurance and its benefits. Any woman who has had to care for a sick child or hospitalised elderly parent knows exactly how expensive healthcare can be. For this reason, women should be equipped with the correct knowledge of how health insurance works and why they should consider buying a plan that benefits the whole family.

Amidst caring for others, women also need to take care of their own health because sometimes life takes unpredictable turns and impacts health.  In such scenarios, your health insurance plans give you the financial comfort required for your recovery.  Beyond this, there might be instances when you contract critical illnesses which will require a larger amount of money for treatment and not taken care by your regular health insurance plans. According to The Indian Council of Medical Research (ICMR), 17.3 lakh new cancer cases of cancer will rise by 2020. Since the occurrence of critical diseases is on the rise, supplementing your existing health insurance with critical illness insurance is essential for a better living. IRDA has done a great job in giving greater clarity in new definitions .

Choose Critical Illness Insurance, Choose Complete Care

Before we dive into the importance of opting for a critical illness insurance plan, let’s understand the basic difference between regular health insurance and critical disease insurance. Health insurance falls under the ‘indemnity insurance’ category, through which you can recover the expenses you have incurred like hospitalisation charges, medical bills, etc. Whereas critical insurance belongs to ‘benefit insurance’, where the insurer pays you a lump sum amount when you are diagnosed with a critical illness mentioned in their plan, irrespective of you spending anything for its treatment. The money received can be used for expenses other than hospital bills like medicines, long-term treatment or recovery, paying off debts, and provide financial support during your recovery time. Besides this, here are a few more reasons why you should choose insurance for critical diseases and not limit yourself to normal health insurance.

Know, What is covered and not covered in Health Insurance ?……….

Save Yourself From Massive Medical Bills

Diseases like Covid , cancer, heart attacks, bring along with them expensive treatment and medicines. For example, Herceptin, an effective drug for breast cancer costs almost a lakh for a vial; around 20 vials are required for treatment. In such cases, relying solely on a health insurance plan will disrupt your finances as it will take care of your hospitalization expenses only. A critical illness insurance plan will provide you with a lump sum amount which can be utilised for the recovery procedures and the long-term medical treatment required in such cases.

Support Your Income Through The Lumpsum Amount Received

When diagnosed with a critical illness, you might not be able to go to work and meet your daily expenses. If you are the breadwinner of your family, this becomes a bigger problem for you. By opting for a critical insurance plan, the huge amount you receive can be used for paying off your existing loans, your long-term treatment or your everyday spending till the time you can get back to earning on your own.

Receive Comprehensive Coverage With Minimal Documents

Traditional health insurance plans require you to submit medical bills to obtain the promised amount from the insurer. With critical insurance plans, you can obtain a large amount if you match the criteria mentioned in your plan. Ensure you go through the terms and conditions properly before you choose a plan suitable for you. For example, understand the diseases listed and their definitions according to the policy, waiting period, and similar criteria to be met while availing the policy amount. Few critical illnesses normally covered in all critical illness insurance policies are paralysis, kidney failure, stroke, major organ transplantation, open-heart surgery, cancer, vision or hearing deficiency, HIV/AIDS, Alzheimer’s.

With critical diseases increasing thanks to our current lifestyle, the need for critical insurance plans has become more significant. The long period of treatment and a tremendous amount of expenses make them a necessary addition to your health insurance plans. Consider your present finances and select a plan which suits you. If you have a family history of such diseases, ensure you have a critical disease insurance plan so as to recover from unprecedented situations. As these policies have relatively low costs, supplement your Health Insurance with them and prepare yourselves for uncertainties.

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