Promotions and recommendations for purchasing insurance for your own peace of mind are everywhere, and the demand for people needing insurance increases rapidly each year. The reason why many people would opt to get insurance for themselves and their family is due to the fact that insurance help relieves your financial burden if something unexpected happens like an accident, diagnosis with critical illness or death. More and more people are trying to get an affordable critical illness insurance plan Malaysia as a backup plan for their future.
What is insurance?
Insurance is a financial risk management tool in which the insured gives the insurance company the risk of a possible financial loss in exchange for a payment called the premium. The insurance company then takes steps to reduce the risk.
How many types of insurance are there?
There are always unexpected turns in life. Some experiences are thrilling, while others, like a car crash or a house fire, may be catastrophic emotionally and financially. That’s why the market has developed several forms of insurance to aid in the aftermath of misfortune.
The following descriptions of common insurance plans might help you narrow down your search:
- Auto Insurance
- Renters Insurance
- Umbrella Insurance
- Home Insurance
- Life Insurance
- Health Insurance
- Disability Insurance
- Long-Term Care Insurance
However, for this article, we’re going to take a closer look at one of the health insurance, which is the critical illness insurance plan.
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What is a critical illness insurance plan?
A critical illness insurance policy is a supplemental insurance policy that, in the case of a covered illness or accident, makes a one-time payment of a certain amount of money to the policyholder.
What this means is, that this critical illness insurance plan covers the following illness:
- Heart attacks
- Strokes
- Organ transplants
- Cancer
- Coronary bypass
However, insurance is not limited to just these critical illnesses. It also covers any illnesses that are considered critical and need a lot of expense for continuous treatments.
Why is a critical illness insurance plan important?
It’s a way to supplement your income in the event of an emergency
Life-threatening illnesses have devastating effects on a family’s finances in addition to the patient’s physical well-being. The lump sum benefit from a critical illness policy can be used for everything from medical bills to paying off the mortgage.
It provides calmness
The coverage ensures that the policyholder won’t have to worry about how to pay for unexpected medical or home costs, allowing them to focus on getting well.
International medical care is covered
You will get a lump sum reimbursement from your critical illness insurance policy regardless of the location of your medical care if a diagnosis has been made (in Malaysia or elsewhere). This means that the policy will cover additional medical expenses incurred in a country other than the one in which you are now domiciled.
Should I consider taking a critical illness insurance plan?
Yes, you definitely should. Most critical illness plans have modest monthly rates, making them a cheap supplement to your existing health insurance. If you or a loved one has a history of a serious illness in your family, or if you or they are becoming older and might benefit from additional protection against serious illnesses associated with that age, critical illness insurance is something to consider.