Insurance

Critical Illness Insurance In A Nutshell

Everything you need to know about critical illness insurance.

  • Phuan Wei Ning
  • |
  • Published on 23 Oct 2019

#1 Basic Critical Illness (CI) insurance

Starting with the simplest, basic critical illness insurance covers for the 37 LIA (Life Insurance Association) standard definitions. This mostly encompasses of later stage critical illnesses with early stages excluded. A list of the 37 standard LIA definitions can be found here.

While CI plans may be priced lower than an ECI cover, do note that the scope of coverage differs between the two.

(See "Should You Purchase Critical Illness Insurance Before 2020?")


#2 Early Critical Illness (ECI) insurance

With a more extensive coverage, Early Critical Illness insurance covers for a broader spectrum of illnesses. This includes early stage diagnosis and other medical conditions that may not receive coverage for under MediShield Life or the basic CI plans.

Covering for up to 119 medical conditions, ECI also offer additional pay-outs for specified conditions with your sum assured remaining unaffected by these pay-outs. This gives the insured extra pay-outs and ensures that the full sum assured is received when a claim is made.

(See "With My Corporate Cover, Do I Still Need Health Insurance?")


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#3 Multiple claims benefit

With insurers unlikely to insure you after one critical illness, there is the concern of being uninsurable after one critical illness.1 However, with the option to make multiple claims now available, individuals can rest assured knowing that they can remain insured even after one critical illness.

Unlike basic critical illness insurance that pays-out and lapses upon a claim, multiple covers allows you to make multiple claims for up to 900 per cent of your sum assured. This “restarts” your coverage after a claim and allows a single plan to pay out multiple times for different critical illnesses.

(See "Comparing Critical Illness Policies")


#4 Tailored plans

Another type of critical illness insurance are the plans tailored for a specific target group. For example, Lady 360 is a gender specific plan catering to the needs of females. A female protection plan, Lady 360 covers for female illnesses and procedures such as eggs freezing and hormone replacement therapy.

Likewise, Silver Secure is a plan designed for seniors with coverage for senior diseases offered up to age 100. Additionally, those with pre-existing conditions may also be able to get covered, with this subjected to underwriting conditions.

(See "Should You Buy Travel Insurance From Airlines?")


#5 Cancer

Lastly, cancer can be seen as an entry point to critical illness insurance. With most cancer insurance plans only requiring you to answer a few health questions, coverage may be given even to those with pre-existing conditions.

Offering affordable and comprehensive coverage for all stages of cancer, application for cancer insurance is a simple and fuss-free process. However, do note that cancer insurance does not provide extensive critical illness coverage and should not be used in replacement of a critical illness insurance.

Cancer insurance is suitable for:
Cancer insurance is not suitable for:
  • Affordable and comprehensive coverage for all stages of cancer
  • Income replacement
  • Simple, fuss-free application
  • Extensive critical illness coverage
  • Wealth accumulation
  • Death coverage
  • (See "Best Cancer Insurance Singapore 2019")


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    1Source: https://www.aia.com.sg/content/dam/sg/en/docs/press-releases/2015/aia-infographic-bridging-the-gaps-in-critical-illness-protection-in-Singapore.pdf


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