Critical Care Plans

Critical care insurance started in South Africa in 1983 and was initially called Dread Disease Insurance. It was designed as a way to compensate individuals who suffered from a major or critical illness. Today it is known as cancer, heart attack or stroke insurance and has many unique features.

c5a83c_87a88e5a5b6c474886886fce9bfb40b8.1
Unlike long-term care insurance, critical care insurance pays out either a lump sum or a series of monthly payments on diagnosis of an illness such as heart attack, stroke or cancer. Many plans now cover Alzheimer’s or loss of activities of daily living as well. Because it is paid on diagnosis, there is no need to prove an ongoing need for care.

Critical care insurance is useful as gap insurance for younger working age adults as it can provide a lump sum of money which can be used for additional treatments not covered by traditional medical insurance or to pay ongoing costs like living expenses. Due to its less strict underwriting, it can be considered as a substitute for long-term care insurance for those who cannot qualify for a traditional policy.

Most companies offer plans that cover a wide range of medical conditions or you can buy plans that cover a more limited range of conditions.

Combo Plans

  • Cancer
  • Heart Attack
  • Stroke
  • Alzheimer’s
  • Coma

Cancer Plans

  • Cancer
  • Alzheimer’s
  • Coma

Cardiac Plans

  • Heart Attack
  • Stroke
  • Bypass
  • Alzheimer’s
  • Coma

*Plans cover additional conditions.

Take a look at some examples:

Critical Care Plan
Funded with:

c5a83c_fa10c653779e42f497cb7d1bd52aa5a7


Male 64 purchased a Critical Care Plan with an annual payment of $2,924. This plan will pay
the client $3,000 per month for 24 months on diagnosis of several major conditions including
Alzheimer’s disease.
c5a83c_52ff4823b22943c5a0cefb74f0e8e61c.1Note: This client was turned down for long-term care insurance due to reporting minor memory problems and was considered uninsurable. However, he was able to qualify for this critical care policy which will pay him a monthly benefit upon diagnosis of several conditions including Alzheimer’s or if he is unable to perform 2 out of 6 Activities of Daily Living (ADL’s). This is a perfect example of how a critical care policy can work when long-term care is unattainable.


Critical Care Plan
Funded with:

c5a83c_fa10c653779e42f497cb7d1bd52aa5a7


Female 34 pays an annual payment of $486.32 for a critical care policy that will pay her a lump sum of $101,000 upon diagnosis of many illnesses including; Heart Attack, Cancer, Stroke, Alzheimer’s Disease, Major Organ Transplant, Kidney Failure, Deafness, Blindness, Paralysis.c5a83c_1b89f484ea584c6c9eba3970ffd6874f.1Note: This plan pays out a single tax-free payment on the diagnosis which will allow her to use the
money as she sees fit. This may include paying bills, substituting lost wages or even paying for
additional medical treatments not covered by her medical insurance.


See More Examples

Back to Top