Critical illness insurance is a type of insurance that protects you and your family against the financial consequences of being exposed to a life-threatening illness.
The main difference between critical illness and ordinary health insurance is that critical illness insurance covers you and your family members who are related to you by blood, marriage, or adoption.
So, how much critical illness insurance should you get? Let’s look at some things you should know before applying for critical illness insurance in Singapore.
When to apply for critical illness insurance
You should apply for Singapore critical illness insurance at the same time as you apply for regular health insurance. This is because the coverage is the same, but with a twist – the short-term insurance provided by critical illness insurance is only provided in case of a life-threatening illness.
You may also want to consider applying for critical illness insurance a few months before you have chronic medical conditions such as diabetes, heart disease, or cancer.
What critical illness insurance covers
Critical illness insurance will cover you if you or someone in your family is critically ill with a life-threatening illness. This can include cancer, heart disease, liver and pancreatic diseases, poliomyelitis, food-borne illness, and less common diseases like SARS and swine flu.
How much critical illness insurance should you get?
Depending on your circumstances, you may be able to get away with paying as little as $50 a month for critical illness insurance. However, if you’re applying for a large premium-paying employer-provided policy or government-issued healthcare insurance, you may pay more than $1,000 a year for critical illness insurance.
Exceptions to the rule
There are some things to keep in mind regarding critical illness insurance. For one thing, it doesn’t cover everything. For example, medical or hospital bills that are not covered by any health insurance plan or above a certain amount will fall outside of Singapore critical illness insurance protection.
Additionally, some chronic diseases such as diabetes and heart disease are more likely to occur during pregnancy, so there are some diseases that you don’t want to be covered under general health insurance.
Disadvantages of critical illness insurance
Although critical illness insurance has a few positive aspects, it’s also important to note that there are some disadvantages. Since it’s a medical plan, one major downside is that you may want to see your doctor regularly if you get sick.
However, if you don’t go to the doctor often, you may not get a full picture of what’s going on with your body. This is called disease unclearness’ and is a big no-no with critical illness insurance.
If you or a family member is faced with a life-threatening illness, you should consider getting critical illness insurance. This type of insurance protects you and your family members related to you by blood, marriage, or adoption. While regular health insurance can help you stay healthy, critical illness insurance can help cover long-term care costs if you or your loved ones are incapacitated and need nursing home care.