Cancer insurance is a type of health insurance that covers the costs associated with the diagnosis and treatment of cancer. The growing incidence of cancer across the globe and the rising costs of cancer treatment have increased the popularity of cancer insurance in recent times. As cancer can affect anyone at any time and put a heavy financial burden, it is prudent to buy a cancer insurance.
For people diagnosed with cancer, cancer insurance can reduce the costs incurred on treatment and provide the financial support required to receive quality medical treatment. The insurance usually covers costs related to diagnosis, as well as the costs of procedures like surgery, radiation therapy, and chemotherapy. It can also cover non-medical expenses like co-pays, deductibles, lost income, travel expenses, the cost of hospital stays, etc.
The coverage provided by different cancer insurance policies can vary to some extent. However, the majority of these policies offer a lump sum amount, usually, 20% to 25% of the sum assured in case of an early diagnosis. The remaining amount is paid on the diagnosis of the advanced stage or in the final stage of the disease. Additionally, some insurance companies offer income benefits as a fixed percentage of the sum insured. This provides a regular source of income in the case of a sudden loss of employment due to cancer.
Further, many insurance companies offer the waiver of premiums benefits, wherein the future payments of premiums are waived off when the policyholder is diagnosed with cancer. However, different plans may offer this benefit at different stages of cancer and therefore, it is important to ascertain the stage at which the policy offers this benefit before purchasing it. Most cancer insurance policies cover several types of cancer except for skin cancer.
So, before purchasing any cancer insurance policy, it is important to check the specific benefits offered by it. Another thing to be considered is the term of the policy. Some insurance policies fix the maturity age at 75 years. But, the maximum term of the policy can make a huge difference. For example, if the maximum term of a cancer insurance plan is 20 years and you buy it at the age of 35 years, the policy will mature at 55. So, all these things need to be considered while buying a cancer policy so that it can take care of all your requirements.