If you’re considering purchasing a cancer supplement policy, you’re not alone. Many people debate this, but most aren’t sure whether it’s worthwhile. If you have a family history of cancer or other circumstances put you at higher risk of cancer, then a cancer policy could be a good investment.
Your health insurance agent can offer several types of cancer plans. One is a lump-sum cancer plan. This can be a good choice if you have a higher than normal risk of cancer. Lump-sum cancer plans pay a specific benefit amount. These are flexible plans because they typically do not require that you use the money for health care costs only. Instead, you can use it to defray lost income if you are unable to work, thereby putting the cash benefit toward your mortgage or living expenses. The American Association for Critical Illness Insurance suggests that if you’re buying a lump-sum plan, you should purchase enough coverage to pay at least two years of mortgage payments.
You may hear cancer supplemental policies referred to as “critical illness” coverage. This is actually a different type of policy. Except for the lump-sum cancer policy, cancer policies pay only for cancer, while a critical illness policy covers several critical illnesses. These can include heart attack, stroke, organ transplant, and paralysis.
Whether you are considering a critical illness plan or a cancer supplement, contact your health insurance agent. Your agent can help you choose the plan that best meets your needs.
Some of these plans have age thresholds, so buying them when you are younger can be a big advantage in both cost and plan availability.