Step 1 – the policyholder chooses the Sum Assured, plan term, premium paying term and the premium paying frequency.
Step 2 –in case of diagnosis of minor stage cancer, 25% of the Sum Assured is paid immediately and premiums for the next three years are waived off.
Step 3 – in case of diagnosis of a major stage cancer, the entire Sum Assured is paid.
Step 4 – in case the first diagnosis is a minor stage cancer and then a major stage is diagnosed, 25% of the Sum Assured is paid for the minor stage diagnosis. Future premiums are waived off for 3 years and later when a major stage is diagnosed, the remaining 75% of the Sum Assured is paid.
Step 5 – in case of death of the life insured or maturity, no benefit is paid.
Rishabh, a non-smoking male aged 30 years, buys Cancer Protect Plan (Lump sum benefit option). The Sum Assured chosen is Rs.20 lakhs and the term is 20 years.
Option 1 – Rishabh is diagnosed with a minor stage cancer of the lung. 25% of the SUm Assured which is Rs.5 lakhs is paid immediately. If Rishabh is later diagnosed with a minor stage cancer of any other organ, 25% of the Sum Assured would be paid again up to a maximum of 4 times or till the Sum Assured is exhausted.
Option 2 – Rishabh is diagnosed with a major stage cancer. In this case, he is paid the entire Sum Assured of Rs.20 lakhs and the plan is terminated.
Option 3 – Rishabh is first diagnosed with minor stage cancer of the lung in the 6th policy year. He is paid Rs.5 lakhs immediately. His future premiums are waived off for 3 years. Later, in the 12th policy year, Rishabh is diagnosed with a major stage cancer. In this case, the remaining Rs.15 lakhs of the Sum Assured is paid to Rishabh and the plan is terminated.
Option 4 – If Rishabh survives the plan tenure without facing cancer or if he dies during the term of the plan, no benefit is paid.
|Age at entry (in completed years)||Minors – 1 year
Adults – 18 years
|Minors – 17 years
Adults – 65 years
|Age at maturity (in completed years)||NA||80 years|
|Term of the plan||Regular premium plans:
Minors – higher of 10 years or 18 years – entry age
Adults – 10,15,20 years or 80 years – entry age
|Premium paying options||Regular pay or Single Pay|
|Premium Paying term||Regular Pay - Equal to the plan tenure
Single Pay – once
|Sum Assured||Minors - Rs.10 lakhs
Adults – Rs.10 lakhs, Rs.20 lakhs, Rs.30 lakhs and Rs.40 lakhs
Pre-existing illnesses or conditions are not covered by the plan in the first 4 years of the policy
Illnesses occurring within the first 180 days of the policy are not covered.
After diagnosis of any stage of cancer, the life insured should survive for 7 days to claim the benefits.
For minor stage cancers, cancers resulting from HIV/AIDS, congenital conditions, pre-existing ailments, alcohol or drug abuse and nuclear, biological and chemical contamination are excluded.
For major stage cancers, cancers resulting from tumours with malignant changes of Carcinoma – in-Situ, skin cancer, prostate tumours, papillary micro-carcinoma, HIV infections, microcarcinoma of the bladder and chronic lymphocytic leukaemia lower than RAI stage 3 are excluded.
Below are the sample rates of premium payable by a non-tobacco user male for a combination of different ages, cover option and Sum Assured. The term is taken to be 35 years and premiums are paid annually for the entire duration.
Minor stage cancer include Carcinoma – in- Situ of any organ of the body and early stage cancers.Is loan available under the plan?
No, loans are not available under the plan.Does the premium for the plan increase every year?
No it does not. Premiums remain the same for the first block of 5 years. Thereafter, premiums increase after every 3 years.How to revive a lapsed policy?
A lapsed policy can be revived within 2 years of the first unpaid premium. To revive the policy, the policyholder should make a written request to the company and pay the due premiums.What are the premium paying modes?
Premiums are payable annually or monthly.