What is the difference between Health Insurance & Critical Illness policies or Critical Illness Riders in insurance?
A Health Insurance policy is a reimbursement of the medical expenses. A critical illness insurance is a benefit policy. Under a benefit policy upon the occurrence of an event, the insurance company pays the policyholder a lump sum amount. Under a Critical Illness policy, if the insured is diagnosed with any critical illness as specified in the policy. The insurance company will pay the policyholder a lumpsum. Whether the client spends the amount received on the medical treatment or not depends on the client’s own discretion.
A Health Insurance policy is a reimbursement of the medical expenses. Critical illness insurance is a benefit policy. Under a benefit policy upon the occurrence of an event, the insurance company pays the policyholder a lump sum amount. Under a Critical Illness policy, if the insured is diagnosed with any critical illness as specified in the policy. The insurance company will pay the policyholder a lump sum. Whether the client spends the amount received on the medical treatment or not depends on the client’s own discretion.
Related Questions
- Will the insurance company continue to pay benefits on any illness or injury that happens while I am covered under the short term health insurance plan even after my coverage expires?
- What is the difference between Health Insurance & Critical Illness policies or Critical Illness Riders in insurance?
- What is Critical illness insurance cover?
