Do you have cancer insurance?
Cancer insurance is not a national requirement, but many people have it.
There are employee pension insurance, health insurance, long-term care insurance, workers’ compensation insurance, etc. Cancer insurance is a private insurance product and is related only to cancer.
While regular medical insurance covers a wide range of illnesses, cancer insurance covers only cancer.
Two types of cancer insurance in Japan
- lump-sum payment type
Lump-sum payment type: This type of insurance pays a lump-sum payment upon diagnosis of cancer. Since the insurance benefit is received at the time of diagnosis, it is useful for funding treatment and living expenses.
Advantages of lump-sum cancer insurance
Receive a lump sum of money at the time of diagnosis: This is very helpful for financing treatment and living expenses.
Relatively inexpensive premiums: Premiums are often less expensive than those of a fixed-amount cancer insurance policy.
Less stringent requirements for enrollment: In many cases, the requirements for enrollment are less stringent than those for term benefit cancer insurance, which can be difficult to obtain depending on your health condition.
Disadvantages of lump-sum cancer insurance
No coverage for other cancers: In some cases, the three major cancers rider does not provide coverage for cancers other than lung, stomach, and colorectal cancer.
Shorter coverage than term benefit-type cancer insurance: Term benefit-type cancer insurance is more suitable for longer treatment periods and for those who want to protect against a decrease in income.
Restrictions on the use of the insurance proceeds: Some lump-sum cancer insurance policies may have restrictions on the use of the insurance proceeds.
How to Choose a Lump-sum Cancer Insurance Policy
When choosing a lump-sum cancer insurance policy, it is important to note the following
Coverage: Find out what types of cancers are covered and how much the lump sum is paid.
Premiums: Choose a plan with premiums that fit your budget.
Eligibility: Enrollment requirements may vary depending on your age and health status.
Duration of deductible: Find out how long you have to wait before you will be reimbursed.
Options: Make sure you have the options you need.
classification of payment methods for periodic benefit type
Periodic Payment Type: This type of insurance provides monthly or annual payments for a certain period of time after the diagnosis of cancer. This type of insurance is suitable for a longer period of treatment or when you want to be prepared for a decrease in income.
Advantages of Term Payment Type Cancer Insurance
Longer treatment: For cancers that require a longer treatment period, a term benefit cancer insurance policy may provide more benefits than a lump-sum cancer insurance policy.
Provides for loss of income: If your income is reduced due to cancer, the benefits of a term benefit cancer insurance policy can help you make ends meet.
Coverage for a variety of cancers, not just the three major cancers: Many term benefit cancer insurance policies offer coverage for a variety of cancers, not just the three major cancers.
Disadvantages of Term Payment Cancer Insurance
Higher premiums: Premiums are higher than for lump-sum cancer insurance.
Premiums may not be paid for a certain period of time after diagnosis: Some cancer insurance policies may not pay premiums for a certain period of time after diagnosis.
No benefit unless cancer is diagnosed during the policy period: If you do not develop cancer during the policy period, you will not receive any benefit.
Combined: A policy that pays both a lump sum and a fixed term benefit. You receive a lump sum at the time of diagnosis, after which you receive a periodic benefit to cover treatment and living expenses.
Classification by coverage
Three major cancers rider: This is an insurance policy that focuses on three cancers: lung cancer, stomach cancer, and colorectal cancer. Premiums are relatively inexpensive, but there is a disadvantage that other cancers are not covered.
Diversified cancer rider: An insurance policy that covers various types of cancers in addition to the three major cancers. The premiums are higher than those for the three major types of cancer, but the coverage is broader.
Cancer Diagnosis Benefit Insurance: This insurance policy pays a diagnosis benefit when you are diagnosed with cancer. It is useful for financing treatment and living expenses.
Cancer Treatment Benefit Insurance: Provides partial or full coverage for cancer treatment expenses. Various benefits are available, including hospitalization, surgery, and chemotherapy benefits.
Cancer Hospitalization Benefit Insurance: This insurance policy pays for hospitalization for cancer based on the number of days of hospitalization. It can reduce the burden of medical expenses and living costs associated with hospitalization.
Cancer Surgical Benefit Insurance: Provides partial or full coverage of surgical expenses for cancer surgery. It helps to prepare for expensive surgical expenses.
Cancer Living Insurance: Provides monthly or annual payments for a certain period of time after a diagnosis of cancer. It is useful for funding treatment and living expenses.
Invalidity insurance: Provides monthly or annual payments for a certain period of time in the event that you become unable to work due to cancer. It is suitable for those who want to be prepared for a loss of income.
What to look for when choosing a term money cancer insurance policy
Coverage: Find out what types of cancers are covered and how much you will be reimbursed per month.
Term of coverage: Find out how long the policy will pay out. Typically, this is 5, 10, or 20 years.
Payment Method: Find out if you will be reimbursed monthly or annually.
Waiver Period: Find out how long you have to wait before you will be reimbursed.
Renewal Age: Find out how long you can stay insured.
Additional riders: Check to see if the policy has any additional riders that you may need, such as a rider for pre-existing condition benefits, hospitalization benefits, surgical benefits, or unemployment insurance benefits.
Premiums: Select a plan with premiums that fit your budget.
other classifications
Discounted: Insurance that pays out only in the event of death or cancer diagnosis during the policy term. Premiums are relatively inexpensive, but no benefits are paid at the end of the policy term.
Whole life type: This type of insurance pays benefits in the event of death or cancer diagnosis regardless of the term of the policy. Premiums are higher, but coverage is provided for life.
Choosing the Right Cancer Insurance for You
When choosing a cancer insurance policy, it is important to consider the following
Coverage: Find out what types of cancers are covered and what benefits are available.
Premiums: Select a plan with premiums that fit your budget.
Enrollment Requirements: Enrollment requirements may vary depending on your age and health status.
Duration of deductible: Find out how long you have to wait before benefits are paid.
Options: Make sure you have the options you need.
Cancer insurance is intended only as a contingency plan. Before enrolling, be sure to consider how the policy works with medical insurance and public plans to ensure that you choose the right policy for you.
