Cancer is a devastating disease that not only affects the health of an individual but also imposes significant emotional and financial burdens on their family. The costs associated with cancer treatment, which can include prolonged hospitalization, chemotherapy, radiation, and surgery, can quickly accumulate, placing immense strain on a family’s finances.These policies provide crucial financial support, allowing patients and their families to focus on treatment without the burden of financial worries. This article highlights the importance of life insurance for cancer patients, offering insight into how these plans ensure financial stability during one of life’s most difficult times. While obtaining life insurance after a cancer diagnosis can be challenging, there are still options available for those looking to prepare for the future.
How Does Cancer Insurance Work?
Cancer insurance provides a lump sum payout upon diagnosis, covering treatment costs across various cancer stages. The payout structure depends on the policy and typically includes minor, major, and critical stages.
For early-stage cancer, a portion of the sum insured is paid, with future premiums often waived. If the cancer progresses, the remaining sum assured is provided. Unlike traditional life insurance, cancer insurance generally doesn’t offer death, maturity, or surrender benefits.
Adding a critical illness rider to an existing life insurance policy can extend coverage to cancer, offering financial support for treatment and potential tax benefits. This ensures protection without draining personal savings during a cancer diagnosis.
Benefits of Life Insurance for Cancer Patients
- Lump Sum Payout: Provides financial support for treatment costs upon cancer diagnosis through a critical illness rider.
- Premium Waiver Benefit: Ensures coverage continues without premium payments after a cancer diagnosis.
- Affordable Comprehensive Coverage: Offers extensive coverage at competitive premiums, protecting financial stability.
- Free Cancer Screenings: Includes free screenings throughout the policy term for early detection.
- Tax Savings: Allows for tax deductions on premiums under Sections 80C and 10(10D) of the Income Tax Act, 1961.
- Burial Expense Coverage: Provides financial assistance for burial and funeral costs, easing the burden on families.
Life Insurance Plans for Cancer Patients
Several insurance providers in India offer specialized term insurance plans for cancer patients, each tailored to meet different needs:
- HDFC Life Cancer Care: Entry age 5-65 years, coverage up to Rs. 50 lakhs, with multiple payment options.
- ICICI Pru iProtect Smart: Entry age 18-65 years, sum assured Rs. 50 lakhs to Rs. 10 crores, with flexible premium payment modes.
- Aegon Life iCancer Insurance Plan: Entry age 18-65 years, sum assured Rs. 10-50 lakhs, with monthly or annual payments.
- SBI Life- Sampoorna Cancer Suraksha: Entry age 18-65 years, coverage up to Rs. 50 lakhs, with various payment modes.
Read more
- Do I Need a Term Plan in India if I Have Health Insurance?
- The Importance of the Term Insurance Claim Settlement Ratio
Conclusion
When considering life insurance for cancer patients in India, it is essential to thoroughly review the terms and conditions to ensure the policy aligns with your needs. Securing coverage after a cancer diagnosis can be challenging, but adding a critical illness or cancer rider to an existing policy can provide vital protection. While there may not be specific policies for cancer patients, these riders offer tailored coverage for cancer-related expenses, complementing regular health insurance. For a well-informed decision, it is advisable to consult with a professional advisor who can help you navigate the available options and select the most suitable plan based on your unique circumstances.
