Critical Illness Cover and its benefits

Written By: Jim Smithwick on March 10, 2010 No Comment

South Africa is the place where the first form of Critical Illness Cover was introduced. It was known as Dread Disease Insurance and it covered for a variety of forms of cancer. It has since become a more popular policy around the world. Not as popular as term life insurance but popular no less. It was in the United States that it started to gain some steam as it begin it’s life in North America protecting citizens against the risks of cancer. This was the precursor to today’s policies. It became more popular in the last ten years – in regions of East Asia, North America, and the United Kingdom.

If the insurance policy holder becomes ill with one of the listed conditions named in the policy then they will receive funds to help them live with these illnesses. The money they receive will be a tax free lump sum for them to use to make their life a little easier in their time of need. The critical illnesses that are covered vary greatly for each policy. Most policies will cover for things like stroke, heart attack, and cancer though. Some policies only cover 10 or so conditions while others will cover over a 100: it really depends on what you are looking for. With more policies, may come higher prices so keep that in mind too when shopping for critical illness cover.

The term Dread Disease Insurance didn’t really catch on around the world so it was soon marketed under different names to help popularize this form of insurance. You wont hear many firms calling it that anymore. Instead, they will use alternatives like trauma cover, crisis cover, or even living insurance but Critical illness cover and critical illness insurance are the most popular. At one point in it’s history critical illness cover had very strict guidelines as to when it would payout but that has changed in recent years. Now it is a safe form of insurance that has strict guidelines that dictate when someone will or will not be paid out. A lot of insurance providers have expanded the number of conditions in order to be able to tap into a much larger customer base.

Critical cover is most useful for people that live in countries with poor social health insurance that would not cover them for a serious illness. In many countries around the world if you get sick, it becomes your problem and no one will pay for it except you. You might also want to get critical illness cover if you want extended coverage if you fall ill. Having this protection could mean that you have the best possible care and treatment and for many people that is worth it. It means they can get healthy faster.

There are other benefits with these policies as well. They include the fact that you will be covered for other things than just your medical expenses. There could be many repercussions from a critical illness that you can’t even think of. It could mean that your home has to be equipped so that you can get around or you may need special equipment to make you mobile. It really depends on the illness or disease that you might get but the possibilities are endless.

Learn more about Critical illness cover. Stop by Jim Smithwick’s site where you can find out all about Mediclaim and Critical Illness Cover and what it can do for you.