Information About Critical Illness And Critical Illness Cover
Critical illness insurance is a type of agreement which is taken up with an indemnity company
. This company will compensate you with a lump sum which is tax free when you are diagnosed as having a particular critical illness. Apart from this if you combine your life assurance with this then it will be called as life and critical illness.
Critical illness cover was in the beginning sold with the intent to provide financial security to individuals who are diagnosed as having some kind of illness which is believed to be critical. Critical illness insurance can be bought along with a life assurance policy. The amount received from such an illness cover can be used to: Meet the expenditures for the care and treatment of the sick. Meet convalescence expenditure. Substitute any income if lost due to the reducing ability of the individual due to his illness. Provisions of a critical illness cover quote are as follows:
If a claim is made then the critical sickness will have to be diagnosed by a medical practitioner who is registered. The same will have to receive the support of radiological evidence. Histological and laboratory proof will also have to be produced at the time of the claim. All these will have to be reconfirmed by a medical practitioner who is appointed by the company. Compensation will be paid by the company to the insured only once with regard to the specific critical illness. Critical illness cover in this plan shall stop once the payment of the reimbursement is made.
Payment is made when the insured is diagnosed to suffer from the critical illness and no additional compensation will be provided for any following ailment or any dependent syndrome. But if the insured dies due to his sickness then the full amount outstanding as a mortgage debt will be paid by the insurance company. Some companies structure their plans so that the repayment of a part of the outstanding mortgage debt is made when the insured contracts the critical ailment. On the other hand, the complete sum guaranteed may be compensated on identification of the critical infirmity, but following the death of the insured no additional payment will be made. This in actual fact makes the Critical illness insurance quote compensation hastened death recompense.
Some of the critical sickness products normally meet hospital payments so that the insured can avoid paying for his/her pocket. Apart from this the reimbursement procedure also takes some time. However the insured can also opt for the hospital in which he would like to get his treatment and this would act as an alternative to the lump sum payment policy.