Critical illness insurance or critical illness cover is an insurance coverage, where the insurer agrees to make a lump sum cash payment if the policyholder is diagnosed with any of the critical illnesses as has been agreed upon and listed in the insurance policy document.

The policy could also be adapted and tailor-made so as to reap regular income from the policy or the payout could be adjusted to be on the policyholder’s major expenses on account of a medical treatment such as surgical procedure The policy is normally expected to require the policyholder to survive a specified number of days, called the survival period, starting from the time of first diagnosis of the medical condition – the period is normally around a month.

Term life insurance is a basic form of life insurance policy that pays out a lump sum to the policyholder in the event of his or her death. Life insurance is an instrument that is designed to ensure that your family and dependents are not left in the lurch on account of financial difficulties, if you die or become terminally ill.

In the case of Critical Illness with Life Insurance, when buying life insurance, you could opt for critical illness cover at additional cost. With such cover, the sum assured that normally gets paid in an eventuality or at maturity gets to be paid on the diagnosis of a listed critical illness. You would be well advised to compare and contrast the different features of the policies and see what you stand to gain through different combinations, before you make a purchase decision.

Death Insurance Cover