Cancer statistics
Cancer is fast emerging as one of the most deadly diseases across the globe and in India as well. As per a report published by Indian Council of Medical Research (ICMR), India is likely to have over 17.3 lakh new cases of cancer and over 8.8 lakh deaths due to cancer by the year 2020. Data also revealed that only 12.5 per cent of patients come for treatment in early stages of the disease.
(Source: http://icmr.nic.in/icmrsql/archive/2016/7.pdf)
Role of cancer insurance plans
These are startling numbers as projected by ICMR. While the incidence of cancer is increasing, once it is diagnosed, the treatment cost can be a huge financial burden on the family. Cancer treatment is expensive and the treatment amount and duration depends on the cancer stage at the time of diagnosis. In case of most of the individuals diagnosed with cancer, the treatment cost is out of reach. This is where the cancer insurance plans launched by insurance companies can come in handy. While insurance cannot prevent cancer from striking someone, it can help the individual to be financially prepared to fight the disease.
Comparison of cancer insurance plans
The below table compares the features of cancer insurance plans launched by insurance companies
| Cancer plans | Aegon Life iCancer Insurance Plan | Max Life Cancer Insurance Plan | Birla Sun Life Cancer Shield Plan | HDFC Life Cancer Care |
| Entry age | 18 – 65 years | 25 – 65 years | 18 – 65 years | 18 – 65 years |
| Policy term | Min: 5 years, Max: 70 years less entry age | 10 – 40 years, subject to a maximum maturity age of 75 years | 5 – 20 years subject to a maximum maturity age of 75 years | 10 – 20 years, subject to maximum maturity age of 75 years |
| Sum assured | Rs. 10 lakhs to Rs. 50 Lakhs | Rs. 10 lakhs to Rs. 50 lakhs | Rs. 10 lakhs to Rs. 50 lakhs | Rs. 10 lakhs to Rs. 40 lakhs |
| Premium Payment term | Monthly or Annually | Monthly, Quarterly, Semi-annually or Annually | Monthly, Quarterly, Semi Annually or Annually | Monthly, Quarterly, Semi Annually or Annually |
| Stages of cancer covered | a) Minor stage of cancer b) Major stage of cancer c) Critical stage of cancer |
a) Pre-cancer / Carcinoma-in-Situ b) Early stage of cancer c) Major stage of cancer |
a) Early stage of cancer b) Major stage of cancer |
a) Early stage of cancer / Carcinoma-in-Situ b) Major stage of cancer |
| Benefits payable | On diagnosis of: a) Minor stage of cancer: 25% of sum insured shall be payable, subject to a maximum limit of Rs. 5 lakhs per claim.b) Major stage of cancer: 100% of the sum insured (minus any claims paid previously) will be paid in a single claimc) Critical stage of cancer: 150% of the sum insured (minus any claims paid previously) will be paid in a single claim |
On diagnosis of: a) Carcinoma-in-Situ or early stage of cancer: 20% of basic or indexed sum insured shall be payableb) Major stage of cancer: i) 100% of basic or indexed sum insured less prior cumulative lump sum payments made in the event of early stage cancer or CiS ii) 10% of basic sum insured is payable annually for the next 5 years |
On diagnosis of: a) Early stage of cancer: 30% of sum assured shall be payableb) Major stage of cancer: i) 100% of sum assured (minus any previously paid claim for early stage of cancer) shall be payable |
On diagnosis of: a) Early stage of cancer or Carcinoma in situ: 25% of the sum insured shall be payableb) Major stage of cancer 100% of sum insured (minus any previously paid claim for early stage of cancer or CIS) shall be payable |
| Variants offered | Not available | Not available | a) Level sum assured b) Increasing sum assured c) Level sum assured with income benefit option d) Increasing sum assured with income benefit option |
a) Silver i) Waiver of premium for 3 years in the event of diagnosis of early stage of cancer or CISb) Gold i) Benefits under silver optionii) Annual increase in sum insured by 10% every year till it becomes 200% of initial sum insured or any claim event c) Platinum |
| Premium waiver benefit | All future premiums are waived on diagnosis of major stage of cancer | All future premiums are waived on diagnosis of either Carcinoma-in-Situ or early stage of cancer | Future premiums are waived for five years on diagnosis of early stage of cancer | Future premiums are waived for a period of three years on diagnosis of early stage of cancer or Carcinoma-in-Situ |
| Income benefit | Not available | 10% of basic sum insured is payable for a fixed period of 5 years on diagnosis of major stage of cancer | Under this option, on admission of major stage of cancer, a monthly income equivalent to 1% of sum assured on illness shall be payable for the next five years | Under platinum option, monthly income equivalent to 1% of sum insured is payable for the next 5 policy years in the event of diagnosis of listed major stage of cancer |
| Increase in sum insured in case of no claim | Not available | If no claim is filed by insured, a 10% (simple rate) increase in sum insured is given for each year. This increase can be given up to maximum of 150% of basic sum insured | Under this option, the effective sum assured will increase by 10% (simple rate) of the initial sum assured, for every claim free year, from the second year till the tenth policy anniversary. | Under gold and platinum options, there is annual increase in initial sum insured by 10% (simple rate) every year till it becomes 200% of initial sum insured or any claim event. |
| Multiple claims for same type of cancer at CIS / early / minor stage | Once a minor stage cancer claim is paid for a particular cancer (e.g. stomach cancer), NO payment for any future claim under the minor stage of the SAME cancer (in this case stomach cancer) would be admissible. | Once a CIS / early stage cancer claim is paid for a particular cancer (e.g. stomach cancer), NO payment for any future claim under the minor stage of the SAME cancer (in this case stomach cancer) would be admissible. | Early stage cancer benefits can be claimed ONLY ONCE during the policy’s lifetime | A claim for early stage of cancer or CIS can be made ONLY ONCE during the policy term and for its first occurrence only. |
| Multiple claims for unrelated cancers at CIS / early / minor stage | i) Multiple unrelatedcancers can be claimed at minor stage. Example: A minor stage of cancer claim has been made for stomach cancer. If, after some years, minor stage of lung cancer is diagnosed, then claim can be made again as these are two (stomach cancer and lung cancer) unrelated cancers.ii) The cumulative amount for multiple claims made for unrelated cancers at minor stage should NOT exceed 25% of sum insured. | i) Multiple unrelatedcancers can be claimed at CIS / early stage. Example: A minor stage of cancer claim has been made for stomach cancer. If, after some years, minor stage of lung cancer is diagnosed, then claim can be made again as these are two (stomach cancer and lung cancer) unrelated cancers.ii) The cumulative amount for multiple claims made for unrelated cancers at CIS / early stage should NOT exceed 100% of indexed sum insured. | Not available | Not available |
| Waiting period for filing claim | 180 days from the date of commencement of cover or reinstatement of cover | 180 days from the date of commencement of cover or reinstatement of cover | 180 days from the date of commencement of cover or reinstatement of cover | 180 days from the date of commencement of cover or reinstatement of cover |
| Premium guarantee | The premium amount payable will be fixed for five years after which the premium may be revised, subject to prior approval from IRDAI | The premium rates are guaranteed for a period of five years and can be revised thereafter seeking prior approval from IRDAI. | The premium amount payable will be fixed for five years after which the premium may be revised, subject to prior approval from IRDAI | Premiums will remain unchanged for three years from the date of issue of policy. After three years, premiums may be revised with prior approval from IRDAI. |
| Discount on premium for high sum assured | Not available | Not available | Not available | Available for incremental sum insured above Rs. 10 lakhs. |
Points for consideration before finalising a cancer insurance plan
Let us now consider the different features of the plans and compare them with each other.
1) Maximum maturity age: Max Life Cancer Insurance Plan (75 years), Birla Sun Life Cancer Shield Plan (75 years) and HDFC Life Cancer Care (75 years) offer cover for five more years as compared to Aegon Life iCancer Insurance Plan (70 years).
2) Maximum sum assured: Aegon Life iCancer Insurance Plan (Rs. 50 lakhs), Max Life Cancer Insurance Plan (Rs. 50 lakhs) and Birla Sun Life Cancer Shield Plan (Rs. 50 lakhs) offer a choice of maximum sum assured of additional Rs. 10 lakhs as compared to HDFC Life Cancer Care (Rs. 40 lakhs).
3) Benefits payable on diagnosis of CIS / early / minor stage cancer: Max Life Cancer Insurance Plan pays 20% of basic indexed sum insured, Aegon Life iCancer Insurance Plan and HDFC Life Cancer Care pay 25% of the sum insured and Birla Sun Life Cancer Shield Plan pays the highest i.e. 30% of the sum insured.
Birla Sun Life Cancer Shield Plan and HDFC Life Cancer Care don’t allow multiple claims for unrelated cancers at CIS / early / minor stage cancer whereas the other two plans allow.
Aegon Life iCancer Insurance Plan allows multiple claims for unrelated cancers, subject to a maximum limit of Rs. 5 lakhs per claim and subject to the cumulative amount for all claims not exceeding 25% of the sum insured.
Max Life Cancer Insurance Plan allow multiple claims related to unrelated cancers, subject to the cumulative amount for all claims not exceeding 100% of the indexed sum insured.
The feature of multiple claims for unrelated cancers is a good benefit offered by Aegon Life iCancer Insurance Plan and Max Life Cancer Insurance Plan as compared to the other two plans.
4) Benefits payable on diagnosis of major stage cancer: All the four plans pay 100% of the sum insured (minus any claims paid previously).
In case of Max Life Cancer Insurance Plan the amount paid is indexed sum insured.
Aegon Life iCancer Insurance Plan also cover critical stage of cancer under which 150% of the sum insured (minus any claims paid previously) will be paid.
5) Waiver of premium: In the event of diagnosis of CIS / early stage cancer, future premiums are waived for three years in case of HDFC Life Cancer Care, for five years in case of Birla Sun Life Cancer Shield Plan and for the remaining policy tenure in case of Max Life Cancer Insurance Plan. In case of Aegon Life iCancer Insurance Plan, all future premiums are waived in the event of diagnosis of major stage of cancer.
6) Income benefit: Birla Sun Life Cancer Shield Plan (under Income Benefit option) and HDFC Life Cancer Care (under Platinum option) offer monthly income equivalent to 1% of sum insured, payable for the next 5 policy years in the event of diagnosis of major stage of cancer. Max Life Cancer Insurance Plan offers 10% of basic sum insured, payable for a fixed period of 5 years on diagnosis of major stage of cancer. There is no income benefit under Aegon Life iCancer Insurance Plan.
7) Increase in sum insured in case of no claim: In case of Birla Sun Life Cancer Shield Plan (Increasing Sum Assured option) and HDFC Life Cancer Care (under Gold and Platinum option), the initial sum insured is increased by 10% (simple rate) for every claim free year, up to ten years. In case of Max Life Cancer Insurance Plan (inbuild-indexation benefit), the initial sum insured is increased by 10% (simple rate) for every claim free year, up to five years. This benefit is not there in case of Aegon Life iCancer Insurance Plan.
8) Premium guarantee: In case of HDFC Life Cancer Care the premiums will remain unchanged for three years and in case of the other three plans the premiums will remain unchanged for five years. After this period the premiums may be revised, after prior approval from IRDAI.
For other terms and conditions, definition of various stages of cancer and exclusions refer the respective company website or get in touch with the respective company representative. For any claim to be paid, the cancer diagnosis must be based on histopathological features and confirmed by a medical practitioner.
Conclusion
Considering the fact that the incidence of cancer cases is rising rapidly and the huge treatment cost involved, an individual should consider buying a cancer insurance plan. Cancer does not discriminate among individuals based on income, age, caste, sex, health, geography etc. Cancer can strike anyone. But if cancer is diagnosed at an early stage, it can be treated. An individual can choose from any of the above four cancer insurance plans depending on his / her requirement. Some plans offer variants for customisation. A cancer insurance plan will help the individual to be financially prepared to fight the disease, if the need arises.
To read of about detailed review of HDFC Life Cancer Care click here
To read about detailed review of Max Life Cancer Insurance Plan click here
