Critical Illness insurance is an insurance product designed to provide coverage for serious illnesses, including but not limited to cancer, heart disease, and stroke. If the insured person is diagnosed with a specified critical illness covered by the policy, they will receive a lump sum payment that can be used for any purpose.
Critical Illness insurance can be broadly categorized into two types:
- Policies with savings/investment components
- Pure protection policies, also known as term critical illness insurance
Both types of CI insurance provide a lump sum payment upon diagnosis. However, the former combines protection with potential returns, while the latter focuses solely on providing protection. Bowtie Critical Illness insurance is a term critical illness product, which means it is generally more affordable* than savings-linked CI plans for the same sum assured.
*Based on the standard monthly premium for a 35-year-old non-smoking male for HK$1 million in coverage under the "Bowtie Multiple Critical Illness Insurance" plan; Savings-linked CI insurance: Data is based on the average of standard premiums for six savings-linked CI insurance plans (18-20 year premium payment term) offering multiple coverages in the market as of March 10, 2022.
Understand Critical Illness insurance in detail 👉🏻 Critical Illness Beginner's Guide