Critical illness insurance is a type of insurance policy that pays a lump sum in the event of a critical illness such as cancer, heart attack, and stroke.
According to a survey by the Life Insurance Association (LIA) cited in a Straits Times article, the average Singaporean has a critical illness insurance gap of S$256,000, which represents the estimated loss of income due to time off work during recovery. This highlights the importance of critical illness insurance when planning for your own insurance portfolio.
With the increasing probability of developing critical illnesses due to the aging population in Singapore, critical illness insurance is more crucial than ever.
Critical illness insurance can help tide the family finances and cover for expenses such as alternate medical treatment, food and transport, home improvements, and other medical costs associated with a critical illness, allowing the patient to focus solely on their health and recovery without the added stress of financial concerns.
This article discusses key reasons why critical illness insurance is a must-have.
Medical Cost from Cancer Treatment
In Sep 2022, MOH have announced changes to revise the coverage for outpatient Cancer Drug Treatment in a bid to rein in the rising cost of cancer treatment. The new implementations will take effect from 1st April 2023, upon renewal of medical insurance policies.
The changes will allow a list of clinically proven and cost-effective outpatient drug treatments to be claimable under Medishield Life. As such, it is expected that there will be a small proportion of patients who may find that their current treatment will either no longer be claimable, or have their claim limit lowered with no subsidies if their current drug is not on the list that are covered.
Critical illness insurance can help to fill the gaps in your medical insurance and provide you with financial support when you need it most. As Critical illness insurance pays a lump sum upon diagnosis of a critical illness, it can also help you to cover your medical expenses, pay for additional treatment or therapies, or cover other related costs. The financial security provided by critical illness insurance can help you and your family focus on recovery without worrying about the financial burden.
It is important to understand the limitations of your existing medical insurance and supplementing it with critical illness insurance to ensure that you're fully covered in the event of a critical illness such as cancer.
In Singapore, the aging population has also led to a rise in the incidence of critical illnesses. The cost of medical care for these illnesses can be substantial and critical illness insurance helps cover these costs and lost income due to extended time off work.
Therefore, both critical illness insurance and term life insurance are essential coverage options for the aging population in Singapore, as they provide financial protection against the various challenges that come with aging, such as serious illnesses and death.
Protect Your Future Today: Choose the Right Critical Illness Insurance with Insurance Empire
Take the first step in securing your future by choosing the right critical illness insurance. With Insurance Empire, the process of finding the right policy doesn't have to be complicated.
Our platform is designed to be a one-stop portal for information on popular insurance policies offered by various insurance companies in Singapore.
Explore your options today and ensure that you and your loved ones are protected in the event of a critical illness.