Private life insurer HDFC Life has launched the Cancer Care product which is a health plan that provides financial support on diagnosis of early or major stages of cancer.
This product offers a fixed lump sum benefit on diagnosis of early and major stages of cancer, waives future premiums and also pays regular income on diagnosis for treatment of cancer.
The plan also has an indexation option whereby the sum assured increases by 10% every year. The plan is attractively priced with a Rs. 20 lakh cover for a period of 20 years being available to a 35 year male for less than Rs 1, 800 annual premium and is also eligible for tax benefits.
For a 10 year policy, the price for silver option is Rs 832 for male, and Rs 1390 for female annually. The pricing for female is higher since the risks of breast cancer are applicable for them.
To buy the policy, an individual has to answer eight questions on the proposal form that range from smoking habits, presence of any major diseases like HIV/AIDS, tumor apart from whether the customers’ parents or sibling suffered from cancer before reaching the age of 60 years. If all the answers are negative (No), then the prospect can buy a policy. No medical test is required.
Amitabh Chaudhry, MD & CEO, HDFC Life said, “In many instances, out of pocket expenditure for treatment of cancer means household savings are wiped out or families go into debt for their lifetime.”
About 25,000 policies have been sold so far. The sum assured ranges from Rs 10 lakh to Rs 40 lakh. The plan is available for the customers between 18 years to 65 years of age and the policy term ranges between 10 to 20 years.