R2mil Dread Disease
From R239 pm
R2mil Critical Illness Cover
From R253 pm
R1mil Critical Illness
From R334 pm
R1mil Critical Illness
From R312 pm
The prevalence of various kinds of cancers and other so called "dread diseases" continue to increase year by year and although the stats and your own lifestyle and occupation are important considerations, you should also look at your family medical history when considering adding Dread Disease Cover to your Life Insurance portfolio.
The stats are depressing to be honest and indicates that a significant percentage of us will be diagnosed with a Dread Disease and many will find themselves in financial distress because of the high cost of treatment and other expenses.
A good medical aid will go a long way to start you off on the right treatment if you do get diagnosed with a Dread Disease, but various limits and co-payments quickly kick in and very soon you find yourself in an awful financial predicament.
Dread Disease Cover will pay a lump-sum when you get diagnosed with any of the qualifying diseases and you can use those funds for anything you choose.
Because of the relative high cost of Dread Disease Cover, it is a good idea to calculate your requirements very carefully.
Things to consider would include loss of income from your job, your normal monthly expenses, current debt and enough cover for medical costs to give yourself a fighting chance against the disease.
If you choose a premium pattern when taking out Dread Disease Cover you will pay a reduced premium now for the same benefit amount, but an increased premium in later years.
A premium pattern therefore makes it more affordable to get the cover you want earlier in life but then you pay a bit more later when you earn more and hopefully have less debt.
You will need to decide between Core or Comprehensive Dread Disease Cover.
The Core Dread Disease option always pays 100% of the benefit amount, but has very strict criteria before you will be eligible for a claim.
The Comprehensive Dread Disease option pays 100% of the benefit amount using the strict criteria or you may be eligible for a 25% payment for less severe conditions.
You can opt for a premium guarantee on your Dread Disease Cover policy which means that your premium cannot be increased during that time. (over and above the premium pattern and benefit growth you chose).
Opting out of a premium guarantee will probably get you a reduced quote, but your premium may increase annually based on the risk experience of the insurer.
Like Disability Cover and Functional Impairment cover, Dread Disease cover can also be taken as a standalone or you could combine it with Life Cover to capitalize on some of the advantages of doing that.
When you combine your Dread Disease Cover and Life Cover policies your first consideration is whether to "accelerate" the benefits or not.
The main reason you may want to opt for accelerated benefits is that it provides you with a way to get cover for more things while still paying a relatively low premium.
The main disadvantage is that if you claim for one thing, your remaining benefit on the other things is reduced.
As an example, if you take out an accelerated Dread disease Cover policy and at some stage of your life claim against it, your Life Cover will be reduced by the amount that you claimed against Dread Disease.
You could therefore get to a point where your Life Cover has been reduced to zero and your cover will then stop.