Demystifying critical illness plan singapore
According to the Minister of Health, accidents, cancer, heart diseases and infections are just some of the top reasons for hospitalization. Hence, health insurance should be a stable aspect of your financial plan. This is where a Critical Illness plan would help. Quite often, many are confused of what is critical illness insurance in Singapore. This article will demystifying many assumptions about critical illness insurance in Singapore.
Not an Investment
A critical illness does not give you a return on investment, even if the insurance goes un-utilized, there is no amount returned to you. Instead, a critical illness plan is a safety net in case you get ill.
Receive Lump Sum Payment
You are applicable for a lump sum payment when you are diagnosed with an illness. This diagnosis must come from a certified doctor.
Tax Free Lump Sum Payment
The lump sum payment is tax free.
No Requirement of Medical Costs
Unlike other health insurance plans, you do not receive a lump sum payment when you incur a medical cost or are hospitalise due to the illness. Rather, you receive the lump sum payment once you are diagnose with the illness.
37 Critical Illness
Critical illness insurance in Singapore covers 37 health issues. This ranges from:
- Heart attack
- Kidney Failure
- Major Burns
- Alzheimer’s Disease
You can find the full list on Life Insurance Association Singapore’s site: 37 Critical Illnesses
Payable Premium Factors
Similar to any insurance, you are require to pay regular premiums to your Critical Illness policy. The insurance firm will charge premiums based on your age, gender and length of coverage. Here are some other factors to consider.
- Females have a higher premium than males
- Seniors pay higher premiums
- Early stage critical illness plans will cost more than the traditional critical illness plans
Do you need a Critical Illness Plan?
A confusion that often arises with a Critical Illness plan is whether you actually require it, especially if you have a health insurance in place.
You might opt for a critical illness plan if:
- Your health insurance only covers hospitalization cost
Medical expenses can go beyond hospitalization cost. A critical illness can affects a person’s lifestyle and increase their medication costs.
- Health Insurance coverage is insufficient
Your health insurance coverage might have a cost-cap. In such a case, you might require another source of finance.
Combination with Health Insurance
If you opt for a critical illness plan, it’s recommended that you combine it or buy it along with your health insurance. In this manner, you can demanded better premium rates.
Critical illness insurance in Singapore is definitely a coverage you should consider when building your insurance portfolio. It would provide a much needed financial benefit in case you fall ill.
Personal Loan from 1st Credit SG
In case, you or your family fall sick with critical illness may connect with 1st Credit SG Pte Ltd. We are here providing you a personal loan and approve within one hour. 1st Credit SG Pte Ltd is a licensed moneylender approve by the Ministry of Law in Singapore.
We are located at 149 Rochor Road #01-07 Fu Lu Shou Complex Singapore 188425.
Reach us at +65 6266 5422.