Why Should Your Insurance Portfolio Have A Critical Illness Cover?

Health insurance has become nothing less than a necessity as of today. This fact is further strengthened with the pandemic that has changed the normal ways of your life. To add to it, unhealthy lifestyle along with the deteriorating environmental conditions has seen an increase in life-threatening ailments. These ailments are generally termed as critical illnesses since they can have fatal consequences. Thus, it has become of utmost importance to secure you as well your family’s future using a health insurance policy. A critical illness cover is the one that will fit the best for these times.

While you earn and save to plan for your future, doing it the right way involves accounting for these unexpected medical treatments. So, in your investment journey, having a health insurance in the form of critical illness cover is equally important as it is to invest in the right avenues. Let us look at some critical reasons that make it necessary to include a critical illness insurance cover as a part of your financial portfolio.

Rising healthcare costs: The past decade witnessed a steep rise in treatment costs. The primary reason for this is advancement of medical technology that pushes the cost higher. While most of the critical ailments have a fair percentage of getting cured, it needs medical resources. A critical illness health insurance comes to the rescue to have financial assistance for availing these treatments.

The reality of critical illnesses: Critical illness is a harsh reality these days. Almost everyone, whether young or old, is exposed to the dangers of lifestyle ailments that pave way for critical illnesses. Medical professionals suggest the lack of quality food with an unhealthy lifestyle are some of the most common reasons for people contracting these ailments. Since this unhealthy lifestyle is now observed across over generations, it also gives the possibility of one contracting these critical ailments due to genetic transmission. To avail the best treatment, you can opt for a critical illness plan among the various types of health insurance covers.

Lump sum pay-out: Unlike a standard health insurance policy, you need not avail the entire treatment to raise a claim. Critical illness covers offer pay-out on diagnosis. This way, you need not liquidate any of your other investments to fund this medical emergency. It also aids in availing pre-treatment check-ups as well as supporting your family with any loss of income during the interim period.

Tax benefits: Lastly, when you purchase a critical illness insurance, it comes with an added benefit of lowering your income tax liability. The premiums paid are deductible for calculating your tax dues. Moreover, any pay-out from such insurance policy is completely tax free. Thus, a critical illness policy comes with dual benefits of offering coverage as well as lowering your tax liabilities.

So, regardless of your age, it is advisable to be prepared for these unexpected events with a critical illness cover. With the growing incidences of critical ailments gripping people, it makes a smart choice to be prepared and include it in your financial portfolio.