Critical Illness Insurance
Critical illness insurance protects your savings by providing financial assistance in medical emergencies arising from life-threatening diseases. The policy pays a lump sum if you are diagnosed with a critical health condition like heart/ kidney ailments or cancer. The policy covers all stages of critical illnesses and supports the family during a crisis. Unfortunately, the current healthcare inflation rate is 8.4%², making a critical illness policy a must-buy.
Thank you for your details. We will reach out to you shortly.
Thank you for your details.Currently we are facing issue in our system.
1800-270-7000 or reach out to us on this number.
Get financially covered against cancer at just ₹4/day1
What is Critical Illness Insurance?
Why Buy Critical Illness Insurance?
If ever you get diagnosed with a critical illness, this insurance policy will save you from going broke. This will provide you with the financial support to get high quality treatment at the right time. Lack of funds can at times delay in availing the treatment. But with critical illness insurance cover, delay in getting the best medical treatment is never a case.
Think that you have an umbrella which can protect you from getting wet while it is drizzling. But if it is raining heavily, a shade will save you better. Similarly, your mediclaim policy is an umbrella that can help you with medical coverage. But under the heavy rain of heart/ renal ailments or cancer, the critical illness insurance can protect you just like a shade. The following are a few reasons why critical illness insurance is important:
Features of critical illness policies
A critical illness policy is a life insurance policy that pays the insured to fight medical emergencies due to critical illnesses. It creates financial security for the family to handle medical and regular expenses.
Who should buy a critical illness insurance policy?
A critical illness policy can help you be prepared in case of medical emergencies that arise due to critical illness. Poor health conditions or diseases can strike anybody. This is why anyone can buy a health cover. Broadly these individuals can buy a critical illness policy:
Factors that Affect Critical Illness Policy Premium
A critical illness insurance premium is based on several factors. Some of these which affect the premium include
- With an incidence rate of 97.1%, India has a total of 13.9 lakhs cancer patients.
- 1 in 9 Indians will develop cancer during their lifetime (0-74 years of age).
- Tobacco, alcohol, obesity, and sedentary lifestyle are common causes of fast spread of the disease.
- One chemotherapy cost in India ranges from 1-2 lakhs.
- Prevalence rate of coronary heart diseases in India is 1% to 13.2% in urban populations.
- Cost of open heart surgery ranges from Rs.1.75 lakhs to Rs.4.25 lakhs.
- The rate of Chronic Kidney Diseases in India is 13% to 15.04%.
- Cost of kidney transplant in India is between Rs.7 -10 lakhs.
Frequently Asked Questions
Find out more about critical illness insurance and explore how it will benefit you.
On the other hand, a mediclaim is a cover that pays you for hospitalisation due to illness. The policy states that 24 hours hospitalisation is mandatory. The mediclaim insurance cover will take care of pre-hospitalization, medical treatment, and post-hospitalization expenses incurred.
Yes, health insurance premiums provide tax benefits2 under section 80D of Income Tax Act.1961.
Benefits can be claimed as under:
Self and family
₹25,000 tax deduction + ₹5,000 health check-up exemption
Self, family, and parents
₹50,000 tax deduction + ₹5,000 health check-up exemption
Self, family, and senior citizen parents
₹75,000 tax deduction + ₹5,000 health check-up exemption
Self (senior citizen), family, and parents (senior citizen)
₹1 lakh tax deduction + ₹5,000 health check-up exemption
But you should keep in mind that policyholders can not claim for the same expense against different health policies.
- Heart Attack
- Kidney Failure
- Cancers (of certain types)
- Organ Transplant
- Right coverage that pays you for a wide range of medical illnesses.
- Check whether the insurance plan covers you for critical illnesses like cancer.
- Cover at affordable rates.
- Verify whether the plan offers lifetime renewability or not?
- See for the Claim Settlement Ratio which should be high. Aditya Birla Sun Life Insurance had a high claim settlement ratio of 98.04%4 for individual businesses.
- Age: Health insurance premium increases with age. When you are young and healthy, you are less likely to attract diseases. So the probability of filing a claim is less- this results in a low premium. So buying health insurance when young can help in enjoying the benefit of lower premiums.
- Gender: Women usually pay a higher health insurance premium than men. Because according to medical study, women are vulnerable towards chronic diseases. In addition to that, women have a higher risk of attracting cancer as compared to men. 1 in every 28 women15 in India has the risk to develop breast cancer in their lifetime. With increasing risk of these lifestyle-induced diseases, women must have health insurance policies.
- Pre-existing medical conditions: If you have any pre-existing medical conditions while buying health insurance, then the policy will be available at a higher premium. Because the insurer covers a greater risk on your behalf as compared to a healthy person.
- Choice of the profession/ occupation: If your profession demands you to work in a high risk environment where you get exposed to hazardous chemicals/ radiation or the risk of getting physically injured is high, you will have to pay a higher premium to avail a health insurance policy.
- Tobacco use: If you regularly consume tobacco in any form (chewing / smoking), insurance companies may not provide you cover.
- Location: Where you live has a significant effect on the premiums. If you reside in a place where there are harsh climatic conditions/ there is a cultural dislike of exercise/ there is lack of healthy food options, your insurer may charge you more. Also, if your area of residence is in an accident-prone zone, you may end up paying higher premiums. That’s why insurers ask about your pin code while taking the details.
- Sufficient Cover: Choose a critical illness insurance that provides sufficient insurance cover.
- Think about the needs: Consider your liabilities before you select the health insurance plan coverage amount. The coverage amount can be less in 20s and 30s. But it may arise when you turn 40 as at that point financial responsibilities increase.
- Check Critical Illness Coverage: Check whether the health insurance plan provides you coverage for critical illnesses like cancer, heart ailments, etc.
- The claim settlement ratio of the insurer: Insurance comes into play only when you are facing an emergency. So it is very important to check if the insurer you are going to buy the health insurance from has a good track record of settling the claims of the policy holders. Aditya Birla Sun Life insurance has a claim settlement ratio of 98.04%4.
- Proofs of age
- Address Proof.
- Photographs are also required.
- A critical illness insurance premium is allowed to file under income tax savings under section 80D of the IT Act, 1961.
- The critical illness insurance (ABSLI CritiShield Plan and ABSLI Cancer Shield Plan) gives you a lump sum amount after diagnosis of the critical illness.
- The critical illness insurance comes with an option to get monthly income.
- It protects savings.
- The critical illness insurance reimburses healthcare bills.
- Visit the website https://lifeinsurance.adityabirlacapital.com/critical-illness-insurance
- Fill up the form after checking the requirement of sum assured, coverage, diseases covered, etc.
- Make an online payment, and you are done.
1Scenario for female Age: 21 years, level Sum Assured, Income Benefit: Yes, Premium paying Term: regular pay, pay frequency: monthly, policy term: 20 years, Monthly Premium of ₹114 / 30 days = ₹3.8/day (Excluding GST) rounded off to ₹4/day.
3Please refer to the product brochure for details on exclusions.
4As per annual audited figures submitted to IRDAI for the period FY 20-21
5As per annual audited figures submitted to IRDAI for the period FY 20-21
6Tax benefits are subject to changes in the tax laws. Please consult your tax advisor for the same.
7ABSLI CritiShield Plan, age 19 years, premium payment term regular, policy term 5 years, sum assured ₹10 lakhs, comprehensive benefit illness, Annual Premium of ₹1911.6/365 days = ₹5.23 / day (Including GST) rounded off to ₹6 / day.
8Critical health insurance does not require any medical examination. The industry operates on trust which demands a clear disclosure. The cancer insurance policies exclude any pre-existing conditions related to cancer.
ABSLI Cancer Shield Plan (UIN: 109N103V03) policy is underwritten by Aditya Birla Sun Life Insurance Company Limited (ABSLI). This 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.
ABSLI CritiShield Plan (UIN: 109N104V02) policy is underwritten by Aditya Birla Sun Life Insurance Company Limited (ABSLI). This 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.