New Critical Illness Insurance Survey Released

In our last post we talked about the importance of critical illness insurance and how it is a very important piece of a sound financial plan. A recent Metlife research study uncovers many facts that help support the importance of critical illness insurance.

A critical illness, such as heart attack, cancer or a stroke, reduces a household’s income by more than $12,000 in just the first year, even when the individual has medical insurance! This is primarily because of the patient’s inability to work and/or reduction in hours.

The study also reported that households have actual out-of-pocket health care costs of slightly less than $3,000 in just the first year after diagnosis. Close to half of working Americans have less than $5,000 in savings and 28% have less than $500.

All of the responders to the survey had medical insurance but only 7% had critical illness and only 4% had cancer coverage. 28% had heard of critical illness insurance but most were confused as to what it was and many thought it was a government program.

Protecting and preserving your hard earned assets requires proper planning. Critical illness insurance plays an important role in a sound financial plan along with life and disability insurance.