Cancer, stroke, or heart disease. Critical Illness Insurance prevents that sinking feeling of having to pay copious amounts of money for that illness that sneaks up on you. The question no longer is if we are able to live through a critical illness scare, thanks to advancement through medicine and technology. The question we need to ask ourselves is if we will be able to financially get through a critical illness. For most the answer is no.
Medical bankruptcy can have a huge impact on not only the person with a critical illnesses live but with the family as well. In a study done by the American Journal if Medicine “nearly 62% of all bankruptcies in 2007 were caused by medical expenses, a figure that has risen nearly 14% over a similar study conducted just four years earlier.” With the new Health Care Reform promising better coverage for all, hopefully more people will realize the huge gap that their employers group has in their medical coverage.
Along with this journal article, they quoted that 75% of those who had said that they were declaring bankruptcy reported having health insurance. If that doesn’t scare you, I don’t know what would. So then why are these people who supposedly have health insurance going bankrupt? Isn’t the point of getting health insurance to INSURE the fact that that won’t happen??!?
Well, the answer is not that simple. Most costs (about 2/3) relating to critical illness are non-medical. Such as money for help in the home, income loss for the person who was bringing in the money, medical renovations to a home. If the person who got sick is a primary wage earner then the family’s income is severely reduced while the person is recovering.
Critical illness insurance provides members and their families with a lump-sum cash benefit when it’s needed most…when diagnosed with a critical illness.