Critical health conditions can often be very expensive to deal with. It is not unheard of people actually going bankrupt as a result of medical expenses. Critical health insurance is what helps families and individuals who would otherwise be struggling or unable to pay for medical care.
Should one experience a heart attack, have a stroke, and get cancer, critical illness insurance is what provides coverage. This insurance can also cover other things depending on the details of the policy. Conditions such as paralysis, kidney failure, and organ transplants can also be included. Critical illness coverage is a form of supplemental insurance that enhances normal health insurance. Those who file for bankruptcy due to unpaid medical expenses often have health insurance, so a supplemental policy could mean the difference between solvency and financial ruin.
Should a covered individual be diagnosed with an illness that is in the policy, then the insurer will pay a lump sum to the policyholder. This money is tax free, however the plan will generally mandate that the policyholder survive a certain number of days following the diagnosis before compensation kicks in.
Policies can offer lump sums ranging from $5,000 up to $50,000. Some policies can pay more with an obvious corresponding increase in premiums. Some plans’ coverage is portable and some offer coverage for one’s spouse.
This coverage is most valuable because it helps pay for a variety of costs due to a serious illness. Also, one’s family will not go bankrupt as a result of an inability to pay sky high medical expenses.
Copyright Woodbridge Insurance Services 2016