Is Critical Illness Insurance Worth It?
Is critical illness insurance worth it to you? Let’s be honest. Insurance is only worth the money when you have a need. Better said, when you have a claim.
Car insurance only benefits you after you have an accident. After an accident, you are really glad you have it. That’s why States require drivers to purchase it.
Cancer or critical illness insurance is the same. It only benefits you after you are diagnosed with a qualifying condition.
But, no one requires you to buy it. Maybe they should. Because millions are diagnosed with an illness each year. Consequently many are forced into bankruptcy.
Read the following. Then you can decide if this insurance protection is worth it.
Is cancer insurance worth it to you? It can be surprisingly affordable. to you
A cancer-only policy can be a highly affordable choice. Many people are far more worried about being diagnosed with cancer sometime before they turn 65 or 70. It’s true that there is a real risk.
A male age 40 who is a non-smoker could pay as little at $67 a year for $25,000 of cancer-only insurance. If he is a tobacco user, he’ll pay around $95 a year. That’s about $8 a month.
The chances of getting cancer at age 40 are low. It does happen but we acknowledge that it is low.
The chances of getting cancer in your 60s is much higher.
Our male who is 40 today, will pay about $5,600 in total between now and when he is age 62.
If he is diagnosed with cancer at age 62, the good news is that he will very likely not die. But he will need to take months off for treatment and to recover.
That $25,000 payment from his cancer insurance will sure come in handy. Because he knows his mortgage or rent is covered, he can focus on what is important – recovering.
Is that cancer insurance policy worth it? To him it will be worth every dollar in premium spent. To his family as well.
Here is why the Association recommends a 2-choice option.
The American Association for Critical Illness Insurance recommends what we call ‘2-Choice‘ option.
Choice #1 is cancer-only protection. Choice #2 is a comprehensive critical illness insurance plan.
Why a cancer-only plan?
- You are in your 30s, 40s or young 50s.
- Because you worry more about the risk of cancer than the risk of a heart attack or stroke.
- Specifically you prefer a lower cost.
- You don’t use tobacco products.
Let's talk about critical illness insurance for 50 year olds.
When you reach age 50, you probably start to think about health risks like heart attack and stroke. They are more likely to happen at older ages.
A $10,000 comprehensive critical illness insurance policy will cost around $252 a year for a male age 52. That is about $21-per-month. This is the non-tobacco user rate. If he smokes, the cost will be almost twice. His risk of disease as a smoker is also significantly higher.
Women may pay less than men. The $10,000 benefit will cost a woman age 52 around $199 a year. If she smokes, she will pay around $308 a year.
The best way to find costs.
Use the Instant Cost Calculator on our website to get a rough cost of $10,000 of cancer-only insurance.
Or, get instant cost quotes for BOTH cancer-only and comprehensive critical illness insurance directly from an insurance company.
The rates shown below are based on the Unified Life Insurance Company’s policy. It is a cancer-only / critical illness insurance policy available exclusively offered via the Association’s website.
To get actual quotes specific to your age, state and benefit levels, you will need to click on the banner at the bottom of their advertisement.
How can I save on critical illness insurance?
The best way to save is to compare critical illness insurance prices. A few tips to cut costs.
Smoker and Non-Smoker Rates: If you are a non-smoker, you will likely save money when the insurance company offers both smoker and non-smoker rates. When an insurance company only offers one set of rates, non-smokers are subsidizing smokers who are at much higher risks of cancer and other critical illnesses.
Ask About Added Policy Fees: You should also see if there are additional policy charges or other fees that are added to the premium cost. These can seem small – but they will add up over time.
Don’t Overbuy. Some critical illness insurance policies will provide benefits of $250,000 or more. Those could be valuable if you are a business owner. But for most individuals, the Association believes modest amounts from $10,000 to $25,000 are appropriate and affordable.
Valuable Links to Information on This Website
Firstly – What is critical illness insurance?
Thirdly – Costs for Cancer Only insurance
Fourthly – The Critical Illness News Archive
Finally, Contact the Critical Illness Insurance Association experts
Since you have read this far, we want to say thank you. Specifically we hope you better understand why we believe this important protection can be worth it.
Because the risk of cancer is real.
Undeniably no one wants to get ill.
Unquestionably critical illnesses happen.
Obviously they happen to good people like you and me.
Rather than just avoid the issue, take some action.
Indeed even a small policy can be better than no plan at all.
An example of costs for Cancer-Only insurance
|You Are||Smoker or Non-Smoker||Benefit Amount||Cost-Per-Year|
|Male age 40||Non-smoker||$25,000||$67|
|Male age 40||Smoker||$25,000||$95|
|Female age 40||Non-smoker||$15,000||$84|
|Female age 40||Smoker||$15,000||$98|
|Male age 52||Non-smoker||$10,000||$89|
|Male age 52||Smoker||$10,000||$171|
|Female age 52||Non-smoker||$10,000||$106|
|Female age 52||Smoker||$10,000||$171|
An example of costs for comprehensive Critical Illness insurance
|You Are||Smoker or Non-Smoker||Benefit Amount||Cost-Per-Year|
|Male age 40||Non-smoker||$10,000||$82|
|Male age 40||Smoker||$10,000||$134|
|Female age 40||Non-smoker||$10,000||$92|
|Female age 40||Smoker||$15,000||$118|
|Male age 52||Non-smoker||$10,000||$232|
|Male age 52||Smoker||$10,000||$437|
|Female age 52||Non-smoker||$10,000||$199|
|Female age 52||Smoker||$10,000||$308|
Rates shown are estimates created by the Association merely to serve as an example of what a consumer might find.
Additional Resources for Insurance Quotes
Secondly, visit the American Association for Medicare Supplement Insurance website for Medicare insurance quotes. Use our Medicare Agent online directory.
Thirdly, read ways to reduce costs for long-term care insurance.