Why should you buy a standalone Cancer plan

Standalone cancer insurance plans are often considered unnecessary and are often overlooked when planning for the future. It is assumed that a Health Insurance plan is more than enough. However, this is not the case. We tell you why it is not so and other benefits of getting a standalone cancer insurance plan.

Payout on detection of cancer
A standalone cancer policy offers a payout depending on the stage of the disease, which is the percentage of the total sum assured on the diagnosis. There are no limits as with the health insurance plans. Also, there is no compulsion of hospitalization to redeem the benefits. It saves you the hassles of waiting for reimbursement or applying for a cashless claim. Also, it helps you to focus on your treatment, rather than worrying about mounting bills.

All stages of cancer are covered

These plans cover two to four stages- Carcino In situ, early stage, advanced stage and critical stage. Insurance companies offer payouts for a cancer insurance plan in typically two stages. Carcinoma In Situ and the initial stage in one payout and the payout for the advanced stages in the other. There are other plans that offer separate payouts for every stage.

Waiver of premium

In case of a payout, or diagnosis of cancer, your subsequent premiums are waived off by the insurance company for a period of three to five years depending upon the policy. There is no reduction in the benefits or the features of the plan due to this. You can continue the policy where you left off once you are cancer-free.

Income benefits

On being diagnosed with cancer, you are not fit to work. If your family is solely dependent on you financially, then this might be disastrous. Here is where a standalone Cancer policy can be of help. The plan offers a percentage, typically 1% of the assured sum periodically for three to five years. It can be from within the amount assured or other exclusive of it, depending upon the insurer. This can continue even in case of the insurer’s death for the remaining term of the policy. These payments can help with treatment costs as well as allied day to day expenses.

Increasing cover

Cost of medicines and medical treatment is skyrocketing, owing to market inflation. To counter inflation, insurance companies usually increase the protection offered every year by 10%. It helps you keep pace with the cost of treatment.

Affordable premiums

Judging from the benefits, the plan might seem expensive; but in fact, the premiums for Cancer insurance policy are very affordable. Adding riders to the policy might drive the premium upwards, but it makes all the difference during the time of payout. You can use the Cancer Insurance calculators available online to estimate the premiums for the plan that you have selected.

Tax benefits

Apart from giving you monetary benefits to fight cancer as well as cover your daily expenses, a cancer plan also helps you save on taxes. The premiums you pay towards these plans are exempt from taxation under the Section 80D of Indian Income Tax Act,1961.