27 SEP 2016
Should a term plan also give you critical illness cover?
The answer to this question can be traced back to the history of life insurance. Term life insurance has been there in the market since the inception of insurance and it was among the first plans to be floated by life insurance companies. Critical illness insurance plans started in the 1980's and its only in the last 10 years that they have become popular. Life insurance companies, over the last 5-8 years have woken up to the idea of bundling together critical illness plans along with term life policies.
Having a critical illness plan to compliment your term life insurance cover seems to be a natural extension of having a term life insurance cover. Term life insurance is insurance in the purest sense, where, in the event of the Life Assured's untimely demise any time during the policy term, his beneficiary receives the full amount of the Life Assured either in the form of a lumpsum amount or as regular payouts. A critical illness insurance plan guarantees you a lumpsum amount on the diagnosis of any of the pre-listed critical illnesses any time during the policy period.
Nature of illnesses
These illnesses are of the nature of long-term ones, where the condition can only be managed and not totally cured. For instance, if you suffer from kidney damage and are put on regular dialysis, you have to undergo dialysis almost every 3-4th day depending on the severity. If you are diagnosed with permanent paralysis of the limbs, it restricts your movements, and physiotherapy, medication etc can only have a limited effect. Most of these illnesses also cost a lot for treatment which involves out-of-pocket expenses. Physiotherapy and dialysis expenses are not covered by a mediclaim policy as they do not require hospitalization. Most importantly, most of these illnesses eventually may result in a painful existence and ultimately, demise of the patient
In these situations, your family life gets disrupted both emotionally and financially. Since your abilities to earn income get impaired, your spouse may have to pick up the mantle of bringing food to the table. Add to this the cost of taking care of your health. This puts the family under severe and intense trauma. You would be in a better space if you have something that can provide you with the financial wherewithal to tide over this crisis. Even if you succumb to the illness, you will leave an emotional void which will be compounded by the lack of financial support for your spouse, She may have to take all the financial decisions on her own without any one to guide or help her.
Both these plans help
Both the plans mentioned above will help and if they are available in one plan with you only having to make a single premium payment every year, it would be convenient also. This is the essence of Edelweiss Tokio Life – Total Secure +; total and complete financial protection for you and your family. Generate a quote today to find out how it would help in staying protected from financial tensions.
18 JAN. 2018
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