Before I jump into explaining what critical illness insurance is, and why I personally believe it’s a good investment, let me first confess that before I began working for a health insurance brokerage, I had NO idea what critical illness insurance was.
When I first started my job with the health insurance brokerage, I would hear agents talking to customers about plans that offered tens of thousands of dollars in coverage, should they wind up with something like a heart attack or a stroke. I was baffled and many-a-time wondered, “Does my health insurance do that, too?”
The answer was no, because the insurance they were explaining was a critical illness plan, which is frequently bought along with a major medical or short-term health plan. All I had was one plan, a major medical plan. So no, I did not have it, but I’ll tell you why I think it’s a great thing to have in a minute.
How Does This Plan Work?
First, what does critical illness insurance do? In the event of a major illness, like a heart attack, stroke, or cancer, the plan will pay out a lump sum of cash for that covered illness. The money could go to a
It is winter time in the Southern Hemisphere. Time for heaters, jerseys and of course the inevitable winter illnesses. All of us are susceptible to winter colds and flu, just as all of us are at risk of falling victim to a more serious illnesses or condition like cancer or a heart attack. Protect yourself with dread disease cover.
Even the healthiest person, one who works out regularly, eats the right foods and does not smoke or drink could fall seriously ill. How often do you hear of a young man struck down in his prime by a heart attack or a health fanatic that falls victim to cancer? While we must do what we can to protect ourselves against serious illnesses we must also face up to the reality that illness waits around the corner for all of us and that we must do what we can to protect ourselves financially against dread diseases.
What is dread disease cover? It is not an income replacement product or a medical aid or even a hospital plan. It is a type of insurance designed to help you overcome a dread disease. In the event that you are diagnosed with one of the illnesses
Employer-based retirement health care insurance benefits continue to decline, according to recent industry reports.
Many retirees have been able to rely on private or state employer-based retirement health benefits for supplemental health care coverage while on Medicare in the past, but this is becoming less common.
Employer-based health-related benefits can provide important coverage for the gaps that exist in Medicare programs. Additional coverage benefits can alleviate the cost-sharing requirements and deductibles associated with Medicare. Caps on the amount that can be spent out-of-pocket, often associated with supplemental coverage, are also often helpful for retirees.
Overall, supplemental retiree health and medical benefits sponsored by a private or municipal employer have helped many retirees cope with high medical costs often incurred in retirement.
The Kaiser Family Foundation recently reported, however, that the number of large private employers-considered employers with 200 or more employees-offering retiree healthcare benefits has dropped from 66 percent in 1988 to 23 percent in 2015.
Companies that do continue to offer retiree health benefits have been making changes aimed at reducing the cost of benefits, including:
- Instituting caps on the amount of the provider’s financial liability
- Shifting from defined benefit to defined contribution plans
- Offering retiree health care benefits through Medicare Advantage plan contracts
- Creating benefit programs through