Best Advantages of Cancer Health Insurance Plans
Mr. Rathod (61-years-old) lives with his wife (58-years-old) in Ahmedabad. Mr. Rathod has just started enjoying his retired life; he was diagnosed with prostate cancer just two months ago. The news had completely shaken the world of Mr. & Mrs. Rathod. But cancer was at the initial stage and didn’t reach other parts of the body, so his treatment will be less expensive as compared to others.
Being a judicious person, Mr. Rathod had purchased a health insurance policy many years ago that offered him a lump sum amount when he was diagnosed with a critical disease like cancer. The health insurance plan gives relief to Mr. & Mrs. Rathod’s life. Due to this cancer insurance, Mr. Rathod didn’t need to spend a single penny from his pocket.
What is a Cancer Insurance Plan?
Cancer is a very common critical disease that will drain you out completely both mentally and physically. This may lead to income loss and affect other family members of the diagnosed person. To save yourself from such a financial crisis due to cancer, you should purchase a cancer health insurance policy.
A health insurance cancer policy is a customized health policy that caters to various needs and requirements of cancer patients. Health insurance for cancer patients is designed to offer monetary support to those who are diagnosed with this lethal disease after the completion of a survival period mentioned in the terms and conditions of the cancer insurance policy.
If you purchase health insurance with cancer cover, you will get a lump sum amount at different stages of diagnosis, including the minor, major and critical stages. But, this type of policy doesn’t come with maturity or death benefits to the policyholder.
Types of Cancer Covered Under Cancer Health Insurance Plans
People can suffer from various types of cancer, but insurers are very specific about it. Below are certain types of cancer that are covered by various cancer health insurance plans.
- Lung Cancer
- Breast Cancer
- Ovarian Cancer
- Hypopharynx Cancer
- Prostate Cancer
- Stomach Cancer
Some Prime Benefits of Cancer Health Insurance Policies
Health insurance for cancer patients is specifically designed to meet your expenses if you are diagnosed with cancer. With hospitalization expenses, the insurance company offers you coverage for other expenses. This type of policy possesses a lot of benefits and facilities.
Here are some of the benefits of health insurance with cancer cover.
1. Coverage for Multiple Stages
Insurance for cancer patients offers you coverage for various stages of cancer if it’s a minor, major, or critical stage. You can enjoy the benefits of the policy at any of these stages according to the terms and conditions of your policy plan.
2. Lump-sum Paid when Diagnosed
Once diagnosed with cancer, he/she will get a lump sum amount from the insurance company. You may utilize this amount for all your healthcare requirements such as diagnostics, medication, chemotherapy, doctor’s consultation, etc.
3. Premium Waiver
A premium waiver rider in an insurance policy implies that the insurer will not ask the policyholder to pay premiums to maintain the policy plan under some conditions. Premium waiver rider is obtainable in various cancer policies under certain conditions like if you are diagnosed with advanced stages of cancer.
4. Enhanced Sum Insured
Under this feature, the policyholder can enhance his/her sum insured amount as per the requirements. If you didn’t initiate any claim, the insurance company will enhance the sum insured by a pre-specified percentage every year till the prescribed limit.
5. Monthly Income
Critical diseases like cancer may hamper your monthly income or the source of the income of the policyholder. Thus, insurance providers often offer policyholders monthly income facilities if they are diagnosed with cancer for a specified number of years. In case of a major diagnosis, this facility depends on certain terms and conditions of the policy.
6. Premium Discounts
Applicants are eligible for premium discounts on policies over a certain amount.
7. Tax Benefits
According to section 80(D) of the income tax act, an insured policyholder can avail of tax exemptions on his/her paid premiums. If the age of the policyholder is below 60, he/she can claim tax deductions up to Rs. 25000. But, if the age of the policyholder is above 60, then he can enjoy up to Rs. 50,000 tax deduction on paid premiums.
Also Read: A Detailed Guide On Cancer Health Insurance
Top 5 Cancer Insurance Policies in India
1. Max Life Cancer Insurance Plan
- This plan offers coverage for all stages of cancer (initial, major, and critical)
- For the major stage, the policyholder will get 100% of the sum insured amount
- After diagnosis, an income benefit of 10% of the sum insured is offered
2. Aegon Life Cancer Insurance Plan
- This plan offers a hefty payout at any particular stage of the cancer disease
- After releasing the payment for the major stage, the premiums in the future will be completely waived off
- For the minor stage, 25% of the sum assured is offered to policyholders
- If you are diagnosed with major stages of cancer, then 100% of the sum assured will be given if there are no previous claims
- If the insured was diagnosed with critical stage cancer, he/she will receive 150% of the amount sum assured if there are no previous claims
3. HDFC Life Cancer Care Plan
- This health insurance with cancer cover comes up with three variants
- All variants offer lump sum amount at any stage (early-stage, critical stage, or major stage)
4. ICICI Prudential Cancer/Heart Protect Plan
- This plan offers coverage for all minor cancer conditions (early-stage cancers)
- This plan also protects major conditions like cancer of a particular severity
5. PNB Metlife Mera Cancer Care
- This plan offers coverage for three different types of cancer
- Mild claim: This plan provides coverage once you are diagnosed with CIS or early-stage cancer.
- Moderate claim: This consists of mastectomy for CIS of the breast, cystectomy for CIS of the urinary bladder, bilateral salpingo-oophorectomy for CIS of the cervix, orchiectomy for CIS of the testis, and abdominal hysterectomy.
- Severe claim: Covers all major cancer
The Bottom Line
A cancer insurance policy will give a sign of hope once you are diagnosed with this life-threatening disease. So, by purchasing a cancer policy you are strengthening your and your family’s security against this deadly disease. Make sure to compare the features and the terms and conditions before purchasing a health insurance cancer policy.
1.Is chemotherapy covered by health insurance?
Yes, almost all reputed insurance companies do provide coverage for chemotherapy expenses.
2. Are cancer policies tax deductible?
Yes, cancer policies do offer tax benefits under Section 80D of the Income Tax Act of 1961. According to this act, the premiums that are paid for cancer policies are deductible from the policyholder’s taxable income.
3. Can you get insurance after diagnosis?
It is almost impossible to buy a cancer policy once cancer is diagnosed and detected in a person. One can look for coverage against cancer treatment, and diagnosis as part of the critical illness cover of an existing health insurance plan.
4. What pre-existing conditions are not covered?
Generally, health insurance companies don’t provide a coverage for pre-existing conditions like diabetes, asthma, high blood pressure, and depression.
5. Can I be denied health insurance because of a pre-existing condition?
No, health insurance companies can’t refuse coverage because of pre-existing conditions. They can charge more in form of the premium if the waiting period is not yet over, but in any case, they can’t deny you coverage for a pre-existing condition.
6. What happens if you don't have health insurance and you go to the hospital?
In case, you don’t have a health insurance and you need to go to a hospital, you will have to bear all the medical expenses on your own. You will have to spend all the expenses of the hospital like doctor fees, diagnosis fee, medical costs, and cost of nursing and lab testing.
7. What are the 3 main types of insurance?
The three main types of insurance are:
1. Car Insurance
2. Life Insurance
3. Health Insurance
8. Is it worth to buy health insurance?
Yes, it is quite beneficial to buy health insurance. A good health insurance plan aids you in the hour of financial need for a health emergency, where you need not worry for your finances and can consider on getting the best treatment. It provides you cashless hospitalization in insurer’s network hospitals, and in case you don’t get admitted in a network hospital, you can seek reimbursement claims. Moreover, you get a number of riders as benefits on the plans chosen. Besides, there are coverage benefits on pre-and post-hospitalization expenses. Some plans even provide maternity and new-born benefits too.