Advances in research have brought forth more solutions to various ailments that plague the human body, including cancer. Today, the chances of a person fighting cancer and emerging victorious are higher than they were a few decades ago.

However, these treatments can be expensive. In addition to medical costs, cancer patients may also have to deal with a loss of income and consequent financial difficulties. Cancer insurance may be of help to cope with such possibilities.

Here are nine facts about cancer insurance that any potential consumer must know.

  • What is cancer insurance?

A cancer insurance plan is a policy that will offer you coverage if you were to be diagnosed with the condition. Treatment costs and recovery processes can burn a hole in the deepest of pockets. Having a cancer insurance policy may be helpful to protect against the burden of these costs so that the patient and their family may focus on getting the best possible therapy and consequent recuperation.

  • What does it cover?

The answer to this lies partially in understanding what cancer insurance is. Suppose a person gets diagnosed with a type of cancer covered by their policy. The person insured can now file a claim with their insurance provider. If the claim filing is successful, they may receive benefits from the policy. The benefits are usually in the form of a lump sum amount, based on your sum assured and your cancer stage. It is not dependent on your hospital costs but rather your policy details.

  • What does it exclude?

These policies usually do not offer any maturity or death benefits. Furthermore, your policy may not cover any pre-existing cancers. Any conditions developing as a result of chemical, nuclear, or biological contamination may not be covered by your policy.

  • Is it available for children?

Yes, these policies for minors are available. The minimum age at entry for these insurance plans is six years for minors, while the maximum is 17 years.

  • Does the policy come with riders?

Some of the common riders offered with cancer plans are Sum Assured Reset and Premium Waiver. Whether any riders or benefits are offered with such policies depends on the insurance provider and the type of policy you are choosing.

  • Can you buy joint policies to cover multiple family members?

Although it can be broadly classified as a health plan, cancer plans don’t work entirely in the same manner. Unlike regular health insurance policies, these plans are more specific in what is covered. Thus, you cannot seek a single plan to cover multiple individuals, irrespective of whether they are family members or not. Most policies won’t offer a transfer feature either.

  • How are the benefit pay-outs decided?

If the person insured is diagnosed with cancer, the insurer will offer benefit pay-outs on the basis of the cancer stage they have been diagnosed with. For the purpose of benefit claims and pay-outs, most insurance providers identify and classify the condition in one of the four following stages:

  • Minor Stage – carcinoma in situ (CIS)
  • Minor Stage – early stage
  • Major Stage
  • Advanced Stage

The amount of pay-out is usually a part of your sum assured, decided on the basis of the stage. Usually, an amount higher than the sum assured may be offered if the cancer is in advanced stages.

  • What are the age limits for the policies?

Children between the ages of 6 years to 17 years can be insured under these policies. For adults, the minimum age limit is 18 years, while the maximum age at entry is 65 years. The maximum age at maturity for these policies tends to be 75 years. This criterion may differ from one policy provider to another.

  • What policy duration and premium frequencies are available?

The minimum term duration for cancer insurance is five years, while the maximum is 30 years. Policyholders have the option of paying their cancer insurance premiums monthly, quarterly, half-yearly, or annually. Term duration and premium frequency options may not be uniform across insurance providers. You can calculate the premium amount per month using cancer insurance premium calculator.

The range of cancer insurance benefits makes it a worthwhile plan for anyone who may be at a risk or wants to be protected against the possibility. However, before buying any insurance plan, it is necessary to be well-acquainted with the features, benefits, and terms & conditions of the policy. These are some of the common queries about cancer plans and details you should be aware of.