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Helpful hints and tips to save money on insurance.

What is covered by critical illness insurance?

Critical illness insurance, otherwise known as critical illness , is an insurance product in which the insurer is contracted to typically make a lump sum cash payment if the policyholder is diagnosed with specific illnesses on a predetermined list as part of an insurance policy.

According to a recent report released by LIMRA/Career Builder, 78 percent of full-time workers state they are, at some point, living paycheck-to-paycheck. Plus, 26 percent of households in the U.S. have difficulty paying medical bills in a given year.

When you consider that a person with a critical illness, such as a heart attack, may have to pay  unexpected bills that are not covered in their health policies (such as deductibles and co-insurance payments), critical illness coverage is an excellent benefit. 

Most people would struggle to pay these added expenses.

In fact, the average out-of-pocket medical costs for someone with a serious illness is about $6,500, according to MetLife.

Average Costs

 

The average cost of cancer drugs: $24,000 to $36,000 per year, according to The American Society of Clinical Oncology.

For up to 90 days after a stroke, the average cos of care is $15,000, according to The Stroke Center at University Hospital in Newark, New Jersey.

As you can see, surpise bills due to a critical illness diagnosis and treatment would set anyone back financially.

With critical illness insurance, you’ll be provided a lump sum payment ($10,000, $15,000, or $20,000 or more depending on how much you purchase) if you or a covered dependent is diagnosed with a major illness such as cancer, heart attack, stroke, kidney failure, organ transplant or coronary artery bypass graft.

With this diagnosis, you’ll be paid a lump sum.

There are also smaller payments in the event you’re diagnosed with a host of other covered illnesses.

This insurance works with your major medical insurance to help protect you and your family. It provides benefit payments directly to you.

You can use the money to replace your deductible expenses, replace lost income, pay bills while out of work or whatever expenses you need to cover. This money allows you to focus on recovery with less stress.

Get Financial Relief

It is possible to get financial relief from an unexpected critical illness diagnosis.

One of AIA’s clients invested in a critical illness insurance policy several years ago.

In 2018, he was diagnosed with cancer. He was immediately able to cash in his policy and received $20,000 cash to pay for his added medical bills, prescriptions and living expenses, as he was unable to work during his recovery.

He chose how the $20,000 was spent. He says it helped him get through a very tough time; he was thankful that he could focus on his recovery without stressing out about his finances.

 

Take some time to discuss critical illness insurance coverage options for yourself and your loved ones by phone or schedule a webinar with a licensed insurance expert. Review the exact benefits available so you can ask questions.

Call 281.979.5441 or contact us via email to setup a day/time that’s convenient for you to discuss your current needs for critical illness insurance coverage!

It may be the most informative 2-3 minutes of your life.