5 Reasons Why You Should Consider Filling In Your Critical Illness Shortfall Right Now
As the world is stunned by the effects of the pandemic, it could be a chance for us to take a step back and protect what matters to us the most – our employability.
Income is the most important to us, and two main factors can affect our income – economic outlook and health. While economic outlook is something that is beyond our control, we can control what happens to us if a critical illness were to befall on us, especially during the time where we need it the most.
When’s the best time to get a critical illness cover? This crisis presents an opportunity for us to take advantage of at this point of time.
1. COVID-19 – The world of the unknown
COVID-19 is a new illness, and because of the uncertainties around the after-effects of it, survivors will have difficulty getting themselves covered. Till date a few insurers have specifically imposed a blanket postponement for survivors of COVID-19, to who-knows-when; probably a time where the unknown became more know, which will take years down the road.
2. Revision of the Critical Illness Definition on 26 Aug 2020
In Aug 2019, it was reported by The Straits Times that there will be a revision of some of the definitions of critical illness to eliminate any grey areas of claim. Some say that it’s a good thing to clarify the claims criteria, while others say that the changes make it more stringent. Whether or not that is a good thing, depends on how you look at it. You can refer to the article above for more information.
3. Cessation of non-essential medical examinations
If you have a medical condition, usually you may be required to go for medical examinations when applying for a policy. However, with the cessation of non-essential medical screening, insurers can accept past reports (with dates restrictions) and derive an underwriting decision on them. This may or may not be a good thing for you, but in most cases, this will likely be something to celebrate about.
4. Save your time without travelling to meet a financial advisor
We know our time are precious to us because other than work, we have family to take care of. Meeting online has allowed us to meet at any time, at our convenience. We can even rope in our spouse to listen in to us, or if you have a friend (or two) who has similar questions, we can do a group call together. As everything is conducted online, even for a 30-minute conference, you will probably save about an hour or two travelling up and down.
5. Extra Time on your hands
If you have been putting this off due to work or family commitments, this Circuit Breaker period could just be the right time for you to slow down and take a deep dive into items that may not have been on your priorities previously. This may have inadvertently cost you more in the long run, since insurance premiums are based on age and health conditions. Stop the rot now before things go back to normal, and before you know it, the next time you look into it is a few years later and your premiums are so much more expensive than now.
Our income is largely determined by our ability to work, and if we lose that ability due to health reasons, it could affect us and burden our family members on medical bills and living expenses. So long as the tree is deeply rooted, no matter how strong the wind is, the tree will still stand on its own without being uprooted.
Have you strengthened your roots yet?
Disclaimer: Information written is to my best knowledge as per the date posted and has no legal rights. It represents my personal opinion, which may be different from yours, and that’s totally cool. It is important to read the policy contract and documents for the full terms and conditions. This post does not constitute a recommendation. Please seek professional advice before committing to a plan as it is a long term commitment.
