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| lic home finance
| A critical illness insurance policy is an insurance product wherein the policyholder is provider a lump sum of money defined in the contract under certain circumstance where the person is diagnosed with a critical illness that is also clearly stated in the policy. Certain surgical procedures are also considered under this insurance coverage. Life Insurance policies are offering Critical Illness riders which will pay anywhere from $5,000 to $100,000 upon first diagnosis of a critical illness. Some insurance may state that the policyholder is required to be alive for a minimum period of time after the diagnosis of the illness before the insurance payments will be made. If you buy the rider, you also will get the added death benefit on a life policy in additional to a tax free benefit to your beneficiaries. In certain cases, the policy can be made up in such a way that it ensures a regular monthly payment to the policyholder. Some of these life insurance riders will pay you this benefit up to 3 times over the term of the life insurance policy. It is usually less expensive to buy a critical illness rider on a life insurance term policy that if you purchase a critical illness stand alone policy. |