How Does Cancer Insurance Work?
A cancer insurance policy gets activated as soon as a person is diagnosed with cancer. When the insured gets diagnosed with cancer, a lump sum amount equivalent to the sum insured is paid by the insurance company. The amount can be used to cover the treatment cost of cancer. The claim money is usually payable at various stages of diagnosis including minor, major and critical stages, provided it is diagnosed during the policy year. However, cancer insurance policies do not offer death, maturity or surrender benefits.
List of Cancer Insurance Plans in 2022
The table below mentions the various cancer health insurance plans that you can consider buying this year:
Disclaimer: *Policybazaar does not endorse, rate or recommend any particular insurer or insurance product offered by an insurer.
Types of Cancer Covered by Cancer Insurance Plans in India
Take a look at the various types of cancer covered under cancer insurance plans at early and advanced stages:
- Lung cancer
- Breast cancer
- Ovarian cancer
- Stomach cancer
- Hypolarynx cancer
- Prostate cancer
- Cervical cancer
Benefits of Cancer Insurance Plans
Here are some of the key benefits of buying a cancer insurance plan:
- Multiple Cancer Stages -It covers multiple stages of cancer.
- Lump Sum Payout -A lump sum amount is paid to the insured on cancer diagnosis.
- Premium Waiver –The premium waiver benefit is available under certain conditions like an early-stage cancer diagnosis.
- Sum Insured Enhancement -If there are no claims during the year, the sum insured increases by a pre-specified percentage.
- Monthly Payout -Monthly income is paid out for a specified number of years, subject to certain conditions, such as in the case of a major cancer diagnosis.
- Continuum of Coverage– Cancer insurance cover under several plans do not cease after the first diagnosis of the disease.
- Tax Benefits -Tax benefits under section 80D of the Income Tax Act is available on paid premiums.
Why Do You Need a Cancer Insurance Plan?
Buying a cancer insurance policy is important because of the high cost of cancer treatment, which usually goes on for a long time. This disease can have a domino effect on families physically, emotionally, and financially. Also, even the best health insurance policy may not cover all cancer treatment-related costs. If it does, there are conditions for coverage at different stages of cancer.
Exclusions of a Cancer Insurance Plan
The following diseases or medical conditions are usually not covered under a cancer insurance plan:
- Skin cancer
- Any kind of cancer directly or indirectly caused by or contributed to by sexually transmitted diseases, HIV, or AIDS
- Cancer resulting from any congenital condition and pre-existing conditions
- Cancer resulting from biological, nuclear, or chemical contamination
- Any cancer caused due to contact with radiation or radioactivity from any non-diagnostic or therapeutic source
Note: These are general exclusions. Specific exclusions may vary between insurers.
How Does Cancer Insurance Differ from a Critical Illness Insurance Plan?
Unlike cancer insurance plans, a critical illness insurance plan pays for expensive treatments of a range of listed critical diseases like stroke, major organ transplant, paralysis, cardiac arrest, multiple sclerosis, kidney failure, total blindness, deafness, and some life-threatening cancers.
A regular critical illness plan also pays a lump sum benefit to the insured after he/she is diagnosed with a covered critical illness. However, most critical illness insurance plans cover cancer only at an advanced stage. For instance, a critical illness plan will pay for cancer if a malignant tumour exhibits uncontrolled growth, with invasion and destruction of normal tissues at an advanced stage. It also does not cover any complications arising from cancer.
Also, it does not waive off future premiums or increase the sum insured on every claim-free year. Moreover, if the policyholder shows cancer symptoms within the first 90 days (usually the stipulated waiting period in most policies), the plan ceases to exist.
When Should You Buy Cancer Insurance?
You should consider buying a cancer insurance plan if:
- You have a family history of cancer
- You believe that you have a higher risk of developing cancer due to environmental or other reasons
- You do not have adequate savings to pay large medical bills
- Your regular health insurance policy does not have sufficient coverage
- You are the only earning member
Things to Consider Before Buying a Cancer Insurance Plan
You must consider the following things before buying a cancer insurance plan:
- Family History of Cancer: For those with a strong family history of cancer, purchasing cancer insurance is recommended. Such individuals must analyze how cancer insurance will complement their current health policy.
- Two Policies Do Not Mean Double Coverage: Having a comprehensive health insurance policy plus a separate cancer insurance plan does not necessarily mean that you may get double benefits. Most insurance policies come with a ‘coordination of benefits’ clause, which ensures that one plan will not cover expenses covered by the other plan.
- Compare Plans Online - After careful analysis, if you decide to go ahead and buy cancer insurance, you must check and compare as many plans as possible. You can compare multiple cancer plans on the website of Policybazaar Insurance Brokers Private Limited based on coverage, benefits, premiums, etc. You can also purchase the selected plan from the website within a few minutes.
How Can Policybazaar Help in Choosing the Right Cancer Insurance Plan?
Policybazaar can compare and analyse various cancer insurance plans offered by some of the leading insurance companies in India. It can help you to make an informed decision and choose the most suitable plan as per your specific needs. All you need to do is enter a few details like name, date of birth, email address, and mobile number.
FAQs
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Ans. Yes. A cancer insurance policy provides coverage to cancer patients that allows them to pay for the treatment cost of the disease.
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Ans. Yes. All cancer insurance plans cover the cost of chemotherapy.
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Ans. In most cases, you won’t be able to buy a cancer insurance plan after your cancer treatment. However, you will be able to buy a critical illness insurance policy to cover cancer and other critical diseases.
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Ans. Yes. A cancer insurance plan provides coverage for the cost of radiation.
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Ans. If you were diagnosed with cancer before buying cancer insurance, your treatment cost will be covered only after the pre-existing disease waiting period is over. Usually, the waiting period for pre-existing diseases ranges from 2 to 4 years.
