Cancer Insurance

In recent years the number of people suffering from cancer has increased substantially, and this can easily be proven. If you think about it for a second, you surely know someone who has suffered this tragic condition, or sadly passed away because of it.

In fact, Some people are genetically predisposed to cancer. This can be hereditary, due to some health issues, weak immune system or sometimes, the cause is completely unknown. Regardless of what the cause is, the results can be financially devastating to a family and standard healthcare plans rarely provide enough coverage for all treatment costs.

As one of the deadliest and most expensive diseases to treat, we all need to plan for cancer, regardless of how reluctant we are to do so. The cost of cancer treatments can sometimes be so high that they become a huge financial burden for a family. And in these rough times, additional stress can literally cost lives.


A cancer plan can solve this issue and prepare you for this misfortune. When healthcare or other types of insurance plans are not enough, cancer insurance can be a real savior, both financially and psychologically.

For that reason, today we will cover all aspects of cancer insurance, from what it is to how you can prepare for it. More specifically, we will discuss the following

What is Cancer Insurance?

Cancer Insurance is a type of insurance policy designed to provide financial aid to the beneficiary of the policy if the insured person gets diagnosed with cancer. However, the diagnosis has to be made after the free lookup period agreed on in the cancer insurance policy.

The main goal of cancer insurance is to provide the person with some financial aid they may need if they are diagnosed with cancer.

Who Needs Cancer Insurance and Why

When you take into consideration the fact that cancer treatments cost more than $100,000, we can begin to see why having appropriate cancer insurance is so crucial to our financial wellbeing.

As we mentioned at the beginning of this article, some people are predisposed to get diagnosed with cancer at certain stages in their lives. So if your family has a history of cancer, especially one specific type of cancer, it’s a sign that this type of cancer might be hereditary. If that’s the case, a good thing you could do throughout your life is to have regular medical check-ups. This way, your doctor can keep track of your health and inform you of any possible risks for certain types of cancer.

If you live in an environment that puts you at a higher risk of cancer, it’s also a good idea to get a cancer insurance policy.

Another thing to think about when considering cancer insurance are your finances. If a cancer diagnosis will completely drain your finances and leave you unable to keep up with the medical bills, you definitely need cancer insurance. This also counts when you’re the only or main earning member of your family. As a cancer patient, you will no longer be able to keep earning, so having a steady source of income is vital for a successful treatment.

Types of Cancer Usually Covered By Insurance Plans:

Although these may differ in different insurance companies, in most cases cancer insurance policies cover the following types of cancer:

Every insurance company regulates these specific affairs and what they include in their coverage. Your insurance provider will give you all the information on what is included and what is excluded from your insurance policy.

What Costs Does the Cancer Insurance Policy Cover?

Cancer insurance policies, unlike other types of insurance policies, are not tied to certain medical costs. Instead, it pays out the benefits as a lump sum for the beneficiary to use as they like. This means that the money you receive can be used to cover any type of costs – both medical and non-medical ones.

For instance, you may have wanted to go to Hawaii your whole life, but always postponed it and put saving for the future first. Well, why not do it now? The insurance policy payout will provide enough money, so take the deserving time off and enjoy yourself a bit during this stressful period. Or, buy the car you’ve always wanted. In the worst-case scenario, your family will have something to remember you by or at least know that you’ve lived your life to the fullest during your last days. Because you receive the assured sum at once, how you decide to spend the money is completely up to you. No requirements, no limitations.

How does Cancer Insurance Work?

The process for setting up a cancer insurance policy works like any other insurance policy out there and is very simple. All you need to do is fill out an application form, which can also be done online. After the application is done the company will make an assessment for your health and risk, you will receive a returning information about your eligibility, quote, and coverage.

If all conditions are met and fit for both parties, you can then sign the insurance policy after which it becomes active. You will now have to pay regular premiums to maintain its active status.

If you get diagnosed with cancer after the activation of the policy, you’re eligible to file a claim and receive benefits under the conditions pre-written in the policy.

How Can You Get Cancer Insurance?

After you’ve received the diagnosis for cancer, contact your insurance company immediately. You will be asked to provide medical proof about the cancer diagnosis so that the insurance company can process your claim and confirm your eligibility for it. After this and depending on the stage of cancer you’ve been diagnosed with, receive the appropriate amount.

Usually, insurance policies pay out the insured amount irrespective of the stage of cancer (whether it’s early or advanced). Most commonly, after being diagnosed with an early stage of cancer, you will receive 25% of the cover amount. After this, you will continue to receive coverage until the policy term. In the worst-case scenario where cancer spreads to other organs or grows to an advanced stage, the insurance company will release the remaining 75% to the policy beneficiary. After this, the policy terminates and you no longer receive regular coverage from the insurance company.

In the cases when cancer is diagnosed at an advanced stage, the policy will pay out the full amount of coverage as a lump sum upon diagnosis.

What Is The Difference Between Cancer Insurance and Critical Illness Insurance?

Critical illness insurance provides pays for expensive treatments for certain types of severe diseases. This can be a stroke, organ transplantations, cardiac arrest, paralysis, blindness, and other critical illnesses included in the policy. While it does cover some types of cancer, critical illness insurance still provides payment solely for the treatment.

On the other hand, cancer insurance provides payment as a lump sum directly to the insuree or the person titled as the beneficiary of the policy upon receiving the diagnosis. As mentioned above, this lump sum can be used however you want – from medical costs to holiday retreats with your family.

Some insurance providers offer combined critical illness and cancer insurance policies, so if you intend on getting one or the other, make sure to inform yourself about what your options are.

Benefits of Cancer Insurance
Downsides of Cancer Insurance

FAQ about Cancer Insurance

Will my family receive the assured sum in case of death?

Regardless of the outcome of the disease (whether death occurs or not), the assured sum will be paid out to the beneficiaries.

Can me and my spouse both be covered with the same policy?

It depends on the insurance company itself, but most of them allow it with an increased premium, of course.

Are there certain medical facilities where I need to get the treatments?

No. Although insurance companies do cooperate with certain medical facilities, when it comes to cancer insurance you receive the benefit as a lump sum, which means you can use this money as you please.

Are the benefits paid directly to me or my health care provider?

Payments based on the cancer insurance policy are paid directly to you, no health care providers included.

While medical care and other types of insurance can provide some financial aid with a cancer diagnosis, most of them are tied to medical costs. What cancer insurance does is fill that gap left by other insurance policies and provide financial aid for those other things not covered by them – regular utility bills, travels, monthly expenses, debt or anything else you may need it for.

By doing this, cancer insurance will guarantee financial stability for you and your family, which can give you peace of mind and let you focus completely on your treatment. Peace of mind and optimism for the future can ultimately save your life, which needless to say, is priceless.

Critical Illness