“The Benefits Of Critical Illness Insurance
Unexpected expenses can make a mess of your budget. Flat tires, broken appliances or a sudden leaky bathroom can force cutbacks for a month or two. They may even require you to dig deeply into your savings or take an emergency loan. While these types of expenses can cause difficulty, most likely, you can breathe a little easier knowing that you are going to work the next day and will be able to catch back up.
However, what happens if you were suddenly stricken with a serious illness such as cancer, a heart attack or stroke? Do you have enough savings, equity or credit to get you through? How long could you manage your day-to-day expenses if you were unable to work and needed healthcare at the same time?
Critical Illness (CI) insurance is designed to help individuals cover expenses above and beyond what is covered by medical insurance. If you suddenly fall ill, CI will pay out a lump sum cash benefit that can be used to pay expenses such as your mortgage or bills, travel expenses for treatment out-of-state, alterations to your home to allow for medical devices (such as a wheelchair ramp) or to cover medical treatments that are not covered by your insurance.
Disability coverage from your employer typically only covers a maximum of 60% of your income. Medical insurance has co-pays, deductibles and exclusions that CI can help you pay. Even if you have an illness from which you will recover, you are still eligible to receive your benefit amount. Some policies will offer an additional payout if you are stricken with a second illness (for example, if you have cancer, then suffer a heart attack).
Medical bills quickly add up and can financially devastate your family. Critical Illness insurance is available as part of the benefits package offered by your employer. It is designed to help you protect your savings and investments while getting the care you need.