Why cancer insurance is important: All you need to know
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Table of Contents
Risk Factors For Cancer in 2023
What is cancer insurance?
What are the benefits and features of the ABSLI Cancer Shield Plan?
How does cancer insurance work?
Why you should buy a cancer insurance policy
What can the claim amount be used for?
Factors to consider while buying cancer insurance
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Frequently Asked Questions
Also, regular health insurance plans payouts are based on hospitalization bills, whereas in the case of a specialized cancer insurance cover, the payout is made as soon as you’re diagnosed with the disease.
That’s not all. Cancer insurance is also very comprehensive and covers various stages of different types of cancers. And you also get the payout from your cancer insurance plan as soon as the disease is diagnosed. This gives you the necessary financial assistance needed to undergo treatment.
This is precisely why you should opt for cancer insurance while you’re young and healthy. Although people in their 20s and 30s do get diagnosed, the risk of developing cancer is still low in these age groups. This not only leads to lower premiums, but also helps you stay protected against future eventualities.
Here’s a quick look at the various tax benefits under section 80D of the Income Tax Act, 1961.
So, in this case, if a minor stage cancer is first diagnosed, you get to claim 30% of the total sum assured. And if you’re diagnosed with a major stage cancer later on in life, you can claim the remaining 70% of the sum assured.
Since the waiting period varies from one cancer insurance plan to another, always ensure that you read through the policy brochure to get a good idea of the waiting period for your cancer insurance plan.
That said, the 75th round of the National Sample Survey (NSS) that was conducted during July 2017 to July 2018 stated that the average cost of cancer treatment in India was around Rs. 1.17 lakhs. Since then, the cost of cancer treatment has only gone up. This is precisely why you should opt for a dedicated cancer insurance plan.
For instance, let’s say that you opt for a cancer insurance policy where the deductible is Rs. 50,000. Now, assume that the expenses for treating cancer come up to Rs. 2,00,000. In this situation, the insurance service provider is only obligated to pay Rs. 1,50,000. And you would have to pay the remaining Rs. 50,000 out of your own pocket, since that is the deductible that you opted for.
Alternatively, if the cancer treatment cost is around Rs 45,000, you will have to bear the entire cost out of your own pocket. The insurance company will not step in to fund the expenses, since they are lower than the deductible that you opted for.
That’s not all. In addition to breast cancer, women are more prone to cervical and uterine cancers as well. This increased risk of developing cancer is exactly why women should opt for a comprehensive cancer insurance plan. This way, if they ever get diagnosed with any form of cancer, they can fund their treatment costs without any financial distress.
Another major benefit that you get to enjoy by purchasing cancer insurance during the early stages of your life has to do with the premiums. Since the risk factor tends to be low when you’re in your early stages, the premiums for the cancer insurance plan also tends to be minimal. The longer you delay your purchase, the higher the premiums that you will have to pay.
That said, purchasing a cancer insurance plan online comes with many advantages. It not only helps you save time and effort, but it completely cuts out the need to visit a physical branch. Also, by purchasing a cancer insurance plan online, you get to enjoy the following benefits.
Here’s where cancer insurance comes into the picture. Cancer insurance plans are designed to offer a certain predetermined sum of money as a payout to the insured upon first diagnosis of the disease. The insured can then use this payout to help fund their cancer treatment, thereby lessening their financial burden significantly. This is one of the most important reasons why you should purchase a cancer insurance plan for yourself and your family.
The benefits will be restricted to 100% of the cost incurred for the treatment. And expenses that are not incurred will not be paid for or reimbursed.
That said, there may also be a few cancer insurance plans that work in foreign countries as well. Check your policy document to find out if your cancer insurance plan works in foreign countries or not.
Get ₹10 lac Cancer Insurance @ just ₹120/month1
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Disclaimer
1Scenario for female Age: 21 years, level Sum Assured, Income Benefit: Yes, Premium paying Term: regular pay, pay frequency: monthly, policy term: 20 years, Premium: Rs. 119.70 monthly (excl GST)
2Tax benefits are subject to change in tax laws. Please consult your tax advisor for the same.
3Please refer to the product brochure for details on exclusions.
4https://www.who.int/news-room/fact-sheets/detail/cancer
5https://www.iarc.who.int/wp-content/uploads/2020/12/pr292_E.pdf
6https://ergonomictrends.com/sedentary-lifestyle-sitting-statistics/
*Scenario for female policyholder aged 21 years, purchasing a level sum assured plan with the Income Benefit option, with a regular premium payment term
ABSLI Cancer Shield Plan (UIN: 109N103V03) is a traditional non participating health insurance plan.
All terms & conditions are guaranteed throughout the policy term. GST and any other applicable taxes will be added (extra) to your premium and levied as per extant tax laws.
ADV/10/21-22/1348
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