Critical Illness

protect your lifestyle with our expert brokers

What is Critical Illness Insurance ?

Critical illness insurance provides a lump-sum payment to policyholders upon diagnosis of a specified critical illness, such as cancer, heart attack, or stroke. This payment can be used to cover medical expenses, loss of income, or any other financial needs during the recovery period.

It's important to note that critical illness insurance is different from health insurance, as it does not cover routine medical expenses or hospitalisation costs. It is specifically designed to provide financial support upon diagnosis of a covered critical illness.

How Critical Illness Insurance works

Purchase a policy

When purchasing a critical illness policy, you select the coverage amount (the lump-sum payment you'll receive upon diagnosis) and pay regular premiums to the insurance company. The policy will list the specific critical illnesses covered, which commonly include conditions such as cancer, heart attack, stroke, and organ transplants, among others.

Waiting period

Most critical illness policies have a waiting period, typically 30 to 90 days after the policy becomes effective. If you are diagnosed with a covered critical illness during the waiting period, you will not receive the benefit payment.

Diagnosis of a covered illness

If you are diagnosed with a covered critical illness after the waiting period, you must provide the necessary medical documentation to the insurance company to initiate a claim.

Survival period

Some policies may require the policyholder to survive a specific period after diagnosis (e.g., 14 or 30 days) before the benefit is paid. This is called the survival period.

Claim approval and payout

Once the insurance company approves your claim, they will pay out the lump-sum benefit amount specified in the policy. This payment is generally tax-free and can be used at your discretion to cover medical expenses, replace lost income, pay off debts, or support your family during your recovery period.

Policy continuation

Depending on the policy terms, your coverage may continue after a claim, with potential adjustments to the benefit amount and premiums. In some cases, the policy may terminate after a claim is paid.

Benefits of Critical Illness Insurance

Financial security

Provides a lump-sum payment upon diagnosis, easing the financial burden during a critical illness.

Flexibility

Can be used to cover medical expenses, lost income, or any other financial needs.

Access to advanced treatments

Helps afford costly medical treatments, including those not covered by medical aid.

Recovery focus

Allows the policyholder to focus on recovery without worrying about financial strain.

Tax-free payout

The lump-sum payment is generally tax-free, maximising the benefit received.

Family protection

Ensures the policyholder's family is financially secure during their recovery period.

What other clients also insured

Disability

Disability Cover offers you a chance to protect yourself and your income from the chance of becoming permanently ill or disabled.

Estate Planning

Estate Planning means that after the time of your death, the transfer costs of your wealth and assets will be neatly covered by our cover.

Funeral

Funeral Cover is a type of life insurance that allows you to cover the costs of burial services for you or a loved one.