CANCER INSURANCE
What is Cancer Insurance?
Why do I need it?
How to use the claim amount?
How much is the recommended cover?
What does cancer insurance cover?
Cancer insurance is a specialised form of health insurance for cancer patients. It offers critical financial protection in the case of a cancer diagnosis. Cancer insurance covers a range of expenses, including hospitalisation, surgery, chemotherapy, prescription drugs, pre- and post-hospitalisation care, ambulance services, room rent and more.
Such comprehensive insurance for cancer patients helps individuals and families deal with the staggering costs of cancer treatment.
Why is Cancer Insurance important?
You can consider buying a cancer insurance plan if you identify with any of the following points:
-
Rising cost of cancer treatment:
Buying cancer insurance can be a good way to secure your savings at an affordable cost5 -
Offers lump sum payout:
Cancer insurance may provide a lump sum payout upon the diagnosis of any type of cancer that is covered. This immediate financial support gives you full liquidity to cover expenses related to treatment, recovery and other daily living costs. -
Peace of mind:
Facing the unfortunate reality of a cancer diagnosis can be overwhelming, but having the knowledge that you will receive an assured payout upon the first diagnosis offers peace of mind during an uncertain time. This financial support helps you and your family feel more secured and prepared to manage medical expenses. -
Your regular health insurance policy does not have sufficient coverage:
If your regular health insurance plan does not provide a critical illness cover or if it offers a low sum assured, you can purchase an additional cancer insurance plan for better financial security
Who should consider buying cancer insurance?
Family history of Cancer:
If any form of cancer runs in your family, you may also be at risk of suffering from the same illness. In this case, it can help to be prepared by purchasing a cancer insurance planYou have insufficient savings or financial backup:
Purchasing a cancer insurance plan can be particularly important if you lack adequate savings. A critical illness like cancer can cause immense financial pressure that can be hard to handle without any financial backupYou are the only earning member:
Cancer insurance can also be vital for the sole earning members of a family. Cancer can inhibit your ability to work. In such a case, the insurance money can help your loved ones cover the costs of your treatmentIndividuals with high-stress jobs/lifestyles:
If you lead a high-stress lifestyle or work in a demanding job, your risk of developing health complications, including serious illnesses like cancer, can be higher6. Purchasing cancer insurance can be a proactive step to safeguard your financial future
How can cancer or heart disease affect you?
-
High Medical costs:
The diagnosis and treatment for cancer and heart diseases are extremely costly. Post-treatment costs for cancer can also be high5 -
Temporary loss of income:
Cancer and heart disease can interfere with your day-to-day activities by consuming all of your time and energy. Regular visits to the hospitals can be time-consuming. The rest and recovery after the treatment can also be long term. Moreover, your health deteriorates and forbids you to work and earn resulting in the loss of income
How can I use the claim amount from this cancer insurance plan?
You get the claim amount on diagnosis of cancer, without the need to submit any medical bills. Which means, you are free to use the claim amount as you like – for a treatment of your choice and at a hospital of your choice, in India or abroad. You can also use this amount for covering your cost of medicine or simply as a replacement of your income during the treatment period. No questions asked.
How much is the recommended cover amount for cancer?
Your ideal cancer insurance amount should be based on future cost of treatments, including recovery, medicines, hospitalisation, additional living expenses and diagnostic tests.
CANCER TREATMENT EXPENSES
Total cost of Cancer Treatment
₹ 23 LAKH approx.
-
Chemotherapy per cycle1:
₹63,500 - ₹1,90,500 -
Targeted therapy of 5-6 sessions2:
₹20 LAKH -
PET-CT scan1:
₹19,050 - ₹28,575
Benefits of cancer insurance
Here are some advantages of cancer insurance:
High cover at affordable premium
Cancer insurance can provide a high sum assured that can help cover significant medical expenses such as treatment, hospitalisation and recovery, all at a reasonable cost.
Payout on diagnosis
Cancer insurance pays the sum assured on the very first diagnosis, ensuring you can immediately access money when you need to, without any lengthy and complicated claims procedures. This payout is made regardless of actual medical bills.
Waiver of premium
If you are diagnosed with cancer, future premiums under your policy can be waived. So, you no longer need to worry about paying premiums and focus on the treatment The policy can continue to provide full coverage for the remaining term.
Long-term policy
Cancer insurance plans offer long tenures. You can secure yourself and your family for the long term, ensuring your plan covers you as you age and your health risks increase.
Treatment of your choice
With a cancer insurance policy, you have the freedom to choose your preferred method of treatment, such as surgery, chemotherapy, radiation or even alternative therapies. You can seek the best care available, without any interference from the insurer.
Tax benefits
Cancer insurance offers tax* benefits. Since it is categorised under health insurance, you can claim a deduction of up to ₹ 1 lakh subject to the conditions prescribed under Section 80D* of the Income Tax Act, 1961.
Coverage at multiple stages
Cancer insurance provides financial coverage at every stage of the illness, from initial diagnosis and early-stage detection to advanced stages of cancer.
Monthly Payouts
Some Cancer health insurance plans can also provide monthly payouts to help manage recurring expenses and ensure continuous financial support throughout the treatment.
What do you get with this cancer insurance plan?
Below are some features and inclusions of a cancer insurance plan:
Coverage against all stages of cancer:
This cancer insurance plan offers comprehensive protection that covers you financially against all stages of cancer. From early detection to advanced stages, you have financial support throughout your cancer journeyDual benefit of lump sum payout + income if major stage diagnosed:
In the unfortunate event of a major-stage cancer diagnosis, cancer insurance provides you with a lump sum payout to help cover immediate expenses. Additionally, it offers regular income for financial stability during your treatment and recoveryAll future premiums are waived if cancer is detected at an early stage:
In case of an early-stage cancer diagnosis, the cancer insurance plan waives off all future premium payments. This helps you focus on recovery without worrying about the premiumLong-Term Coverage:
A cancer insurance plan provides long-term coverage that offers you better protection and financial coverageTax* Benefit:
Cancer insurance offers deduction on the premiums paid subject to conditions prescribed under Section 80D* of The Income Tax Act, 1961
How is cancer insurance different from critical illness insurance plans?
A cancer insurance plan is specifically designed to cover medical expenses arising from cancer. It provides financial protection for different types and stages of cancer, ensuring comprehensive coverage from diagnosis to treatment.
On the other hand, a critical illness insurance plan covers not only cancer but also a range of other serious health conditions. It provides financial support for illnesses such as heart disease, kidney failure, organ transplants and other life-threatening conditions.
When should you buy cancer insurance?
The ideal time to purchase cancer insurance, like many other types of insurance, is generally as early as possible. This is because, the younger you are, the lower your premiums are likely to be. If you wait until you have a pre-existing condition, it may be more challenging to obtain coverage at an affordable cost.
How to choose a cancer insurance plan?
Each company has their own claims settlement ratio. Finding out the number will help you understand how many claims for life insurance have been paid out as a proportion of claims made. The higher this ratio is, the better it is.
Things to consider before buying a cancer insurance plan
Before you purchase a cancer insurance plan, you must consider the following aspects:
Types of cancer covered:
Cancer insurance plans categorise conditions into major and minor illnesses. It is crucial to carefully review the list of covered cancers in your plan and select one that includes a broad range of both minor and advanced-stage illnesses.Waiting period:
Cancer insurance policies typically come with a waiting period, during which you cannot file a claim. This period can vary from one insurer to another. It is important to compare plans and select one that offers minimal waiting time.Costs and Fees:
The premium you pay for a cancer insurance plan depends on several factors, including age, policy term, sum assured and pre-existing conditions. It is essential to compare and understand the cost structure of different plans based on your budget.Add-on benefits:
Some cancer insurance policies offer optional add-on features that enhance the value of your base plan. Evaluating these add-ons can help you choose a comprehensive policy and better coverage.Network hospitals:
Access to a wide network of hospitals can ease the claims process. Many insurance companies partner with hospitals to offer cashless treatment. It is advisable to check whether the insurance provider has a broad network of hospitals near your home or workplace to ensure convenience.
Documents required for buying cancer insurance
Below are the documents required to buy cancer insurance:
- Proof of age, like a birth certificate or passport
- Government-issued photo ID, like a passport, driver's license or Aadhaar card
- Address proof, such as passport, driver's license, utility bill or Aadhaar card
- Medical check-up reports
- A recent passport-sized photograph
Diseases or conditions not covered by the cancer insurance plan
Cancer medical insurance may not cover the following conditions and circumstances:
- Pre-existing conditions may not be covered, depending on the terms of the plan
- Cancer resulting from Sexually Transmitted Diseases (STDs), Acquired Immunodeficiency Syndrome (AIDS) or Human Immunodeficiency Virus (HIV) or any congenital condition is typically excluded
- Cancer caused by biological, nuclear or chemical contamination or exposure to radiation or radioactivity from non-diagnostic or non-therapeutic sources is not covered
How to buy cancer insurance online?
- Visit the website of the insurer
- Browse to the Plans section
- Select the Plan you want to buy
- Click on the "Check Premium"
- Enter your age, occupation, gender and other relevant information
- Compare quotes according to the features you select
- Once satisfied, proceed to make the payment securely online
Cancer Insurance FAQs
Are cancer insurance policies worth it?
Diseases like cancer are unfortunately becoming quite common nowadays. While timely medical intervention can help you defeat cancer, the cost of treatment can eat up your life savings.
Cancer insurance policy may offer payouts on the diagnosis of cancer, irrespective of the actual expenses occurred. You can use the payout to get the treatment of your choice without having to take costly loans or depleting your existing assets. The payout can also supplement your income while you recover. Not just this, you also get tax^ benefits on the premiums paid! It is thus definitely worthwhile to buy a cancer insurance policy.
Who is eligible to buy cancer health insurance?
Generally, anyone between the ages of 18 and 65 is eligible to purchase cancer health insurance in India. Many health insurers also provide cancer insurance plans for children. However, the exact eligibility may vary depending on the insurer.
Can cancer patients get insurance after the diagnosis?
No, you cannot get insured if you have already been diagnosed with cancer while buying the policy.
Do Cancer Insurance policy offer tax benefits?
Tax* benefits for cancer insurance policies are subject to the conditions mentioned under Section 80D of the Income Tax Act, 1961. Under the provisions of this Act, the premiums paid for cancer insurance are deductible from taxable income. If you are below 60 years of age, you can claim deductions up to ₹ 25,000 from your taxable income. Senior citizens over the age of 60 years can avail of deduction up to ₹ 50,000. You can also claim tax* benefits for the premiums that you pay for your parents cancer insurance.
Are there any network hospitals that the company has tied up with, where I can get treatment?
The policy pays out a lump sum amount on diagnosis, and has no bearing on where the treatment is carried out. You can use this amount to get treated at a hospital of your choice, with a doctor and treatment of your choice.
Can I cover my spouse within the same policy?
Yes, you can cover your spouse under the same policy, availing a 5% discount on the first year’s premium. Also, unlike a family floater, the covers of both people would remain independent of each other, with the option to choose different cover amounts for each.
Does the family get any sum assured upon the policyholder's death?
The cover amount would be paid out irrespective of if death occurs or not, if the policyholder has been diagnosed with cancer.
How long does it take to get the reimbursement?
This plan pays out on diagnosis of the cancer, and hence does not require you to pay bills to claim. You just have to produce medical records of diagnosis/doctor’s certificate of diagnosis, to receive the payout.
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