Life Care
Life Care Benefit is a unique insurance product and rare to find. You cannot purchase it by itself.
Under the Life Care Benefit policy wordings there will be a list of illnesses or traumatic events that this insurance type covers. The Life Care benefit will then pay you a lump sum equal to 20% of your Life Insurance policy if the insured suffers one of the specified conditions listed. Up to five claims can be made during the term of the policy.
It is a product that has been essentially designed to provide continued protection for separate critical illnesses. However not every insurance firm can offer you this.
Why should you consider this benefit?
On the occurrence of a critical illness, lump sum benefits can play an important role in meeting significant financial obligations such as medical expenses, mortgage repayments, and other costs that may arise in order to accommodate a changed lifestyle.
Despite the occurrence of a serious health incident, many people make a good recovery and continue to live several years of a good quality life. Usually after the first diagnosis of a specified illness a lump sum payment is made and the benefit expires.
However with the Life Care Benefit you will receive 20% of the total sum of your Life Insurance on diagnosis of one of the conditions specified in the product wordings. There is provision for up to five Life Care claims to be made.
The Life Care Benefit is what they call an 'acceleration' of your Life Insurance. This means that if at time of death the maximum number of claims have not been paid, the balance of your remaining Life Insurance will be paid out as part of the death benefit.
Contact an InsuranceNet Adviser for more help.