FPS Insurance Agency LLC
Long Term Care Specialist

Critical Care Insurance

The Big

5

Cancer     Heart Attack    Stock

Kidney Failure       Major Organ Transplant

Critical Illness Insurance developed in the late 1990’s to help people cover expenses associated with a critical illness. A lump-sum, tax-free payment should a policyholder suffer from certain specific critical conditions.

Critical illness insurance policies may also cover:
•    Coronary bypass surgery
•    Angioplasty
•    Kidney (Renal) failure
•    Paralysis

6 Reasons to Buy Critical Illness Insurance coverage

  1. Cover cost of medical treatments not covered by your health plan.
  2. Cover cost of your mortgage while you are recovering.
  3. Cover cost of bills - like car payments to insurance premiums.
  4. Cover cost for travel if treatments not available locally.
  5. Cover cost of experimental treatments not covered by insurance.
  6. Cover cost to replace your spouse's income while caring for the insured.

Generally, health insurance policies come with deductibles and co-pays that may exceed $5,000 a year. The cost of prescriptions is costly and are rarely fully covered.

Medical Debt Epidemic - Few people are prepared for the financial consequences of surviving a critical illness.

Why Critical Illness Insurance was created?

  • 28 million Americans exhausted there Saving to medical expenses not covered by health insurance
  • It tells us that 48 percent of mortgage foreclosures are caused by the mortgage holder suffering a critical illness.
  • 68% of Americans who filed for Bankruptcy cited medical debt as the caus

*Copyright © 2003, Society of Actuaries--San Francisco Spring Meeting June 24–26, 2002

Something many folks haven’t considered; while undergoing treatment or recovering for an extended period of time, you will still have to pay for:

  • your health insurance premiums
  • other insurance,
  • rent or mortgage,
  • credit card bills,
  • school tuition,
  • real estate taxes,
  • food and utilities.

Medical Bankruptcy

The average out-of-pocket cost for all medically bankrupt families was $17,749. For those patients who initially had private coverage but lost it, the family's out-of-pocket expenses averaged $22,568.                *Harvard Study Medical Bankruptcy

    Purchasing A Policy

    Purchased on an individual basis or through an employer offered plan more 600,000 Americans now have the protection of a critical illness policy.

    Cash Payments
    Payments range from $10,000 to as much as $1 million.

    Single, lump sum payment once an individual is diagnosed with a covered condition.

    Multiple cash payments. Depending on your policy you may be eligible for multiple payments.
    Example: A cancer and survive who receives a cash payment. Then several years later a heart attack you may be eligible for another payment. Policies vary from insurer to insurer your Specialist will help determine if this applies with your coverage.

      The Different types of Critical Illness Insurance

      Simplified Issue Individual Protection
       Most affordable available in amounts up to $50,000. Underwriting only ask a few health questions with these policies. An affordable Option.

      Fully Underwritten Individual Plans
      Available in higher amounts; up to $500,000. Medical information will be requested by the insurer.

      Employer Plans
      There are plans available through employers which are generally offered on a voluntary basis (fully paid by the employee).

      Life Insurance Rider
      There are life insurance policies that offer a critical illness insurance benefit often available as a rider to your policy.

       
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      Buying Critical Illness Insurance Protection

      Rule of thumb multiply your monthly mortgage payment by 24 (2 years worth). Peace of mind knowing your mortgage-payment is covered while you recover and undergo treatment.

      The costs for coverage can vary from one insurer to another so Shop and compare. Work with a knowledgeable specialist who has access to coverage from multiple insurers. They will make sure you get the best coverage at the best price.