No one wants to think about having a serious illness or finding their car crashed by a meteor; but the fact is that times are getting tougher. Air pollution is getting worse and medical treatments costs increase each day.

So insuring your home, car, health etc. isn’t such a bad idea; especially if you consider the low monthly payments you make which provide you with large sums of cash in emergency situations.

Here are some of the reasons why people buy critical illness insurance:

What Happens to Their Money

If time passes and God forbid you catch a serious illness then the company will insure you get your money. And you can get the whole amount, no questions asked. You don’t have to do daily reports and calculations. The moment the disease has been diagnosed, you can get your investment’s worth.

On the other hand, if time passes and you do not catch a serious illness then you may have the chance for money return. The conditions are different for each company but generally you can cancel the insurance policy and get a percentage of the amount you invested.

Both of the situations have a common advantage. You do not get taxed. To achieve this you must not have a group plan with your employer. Then you might get taxed because the premium payments were made before the pre-tax deduction from your paycheck.

The Extra Benefits

With buying critical illness insurance you are letting go of some portion of the fear on this subject. You know that you have an additional cover up and plan for those kinds of unwanted situations. With other words you paid someone to watch your back.

Critical illness insurance isn’t something that can be approved for anyone. You have to be healthy at the time you buy it and have a pretty healthy family history. There are many types of policies you can buy, each covering different things including a number of the 22 common health conditions. You get to choose which diseases you want covered and how much money are you planning to invest each month. This will determine the amount of money that will be provided to you in a case of emergency.