With so many options available in the market, selecting health insurance can be a daunting task because one needs to be well-versed with the intricacies of insurance to make the right choice. One of the most crucial considerations when purchasing health insurance is to choose between critical illness rider and standalone critical illness plan. Although, it depends totally on the health condition and requirement of the person. 

What is the Difference Between a Standalone Policy and a Rider?

Both the policies offer coverage against critical ailments. Individuals suffering from fatal diseases have to face financial hardships due to excessive healthcare expenditures and a lack of income thus, a standalone critical illness insurance acts as a savior during such medical emergencies. While if you are looking for an add-on feature with less coverage, critical illness rider will be an ideal option for you. It’s an optional add-on feature that you buy along with your health insurance policy

With a Standard Term or Health Insurance Policy, you can Add a Critical Illness Rider

Many insurers allow you to add a Critical Illness Rider to your term life or health insurance policy as an add-on. The Critical Illness component of this add-on is presented as a separate Sum Assured when purchased with your health insurance. However, if you buy it with term insurance, your Rider can be either a Comprehensive Rider or an Accelerated Rider, depending on the policy. 

People must grasp the differences between these two categories so that we’re not caught off guard when the claim is filed. In addition to your term plan coverage, a Comprehensive Critical Illness Rider provides additional coverage. Availing of critical illness plan, can offer benefits in the future. However, in the case of an Accelerated Critical Illness Rider, the Rider coverage is included in the base coverage you purchase and is only paid to you as a portion of the base sum assured. If a claim is made, this amount will be paid to you, and the same amount will decrease your base term insurance coverage.

Aside from these Rider alternatives, you can also purchase a Standalone Critical Illness Cover individually. These policies often provide complete coverage for the long term and include some advantages over Riders. However, standalone Critical Illness policies have their drawbacks, so you should carefully consider your options before selecting.

Final Thoughts

A critical illness is a severe disease or medical condition that, in most situations, increases healthcare expenses. Cancer, organ transplant, third-degree burns, heart attack, coma of specified severity, end-stage kidney failure, multiple sclerosis, and other illnesses fall under this category. It can bring financial troubles in addition to physical and mental pain.

So, are you still thinking which one to opt for? A standalone critical illness or rider? Don’t fret! The answer basically depends on your healthcare requirements. Choose the one that caters to your needs in the best possible way.


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