One cannot make claims for regular hospitalisation or non-critical medical condition under these policies

THE PRODUCT: Aviva Life Insurance's new health plan, Aviva Health Secure, is an exclusive online product. It is a critical illness policy that provides the policyholder with a lump sum amount on diagnoses of any of the 12 critical illness listed. The idea is to ensure that the family has adequate funds to meet the unplanned medical expenses.

WHAT ARE THE OPTIONS: The product promises a sum insured ranging between Rs 5,00,000 to Rs 50,00,000. The premium can be paid annually or half yearly.

WHAT IT PROMISES: The product provides protection against 12 major critical illnesses like heart attack, stroke, cancer, end-stage kidney failure, major organ transplant and coronary artery bypass surgery among others. Since it is a pure health insurance product, nothing is payable in case of death, surrender or maturity.

WHO CAN BUY IT: Individuals between 18 to 55 years are eligible to buy the product. The policy term ranges from 10 to 30 years.

WHAT IS DIFFERENT ABOUT THIS: Unlike regular health insurance products offered by the are non-life companies that indemnity based, Aviva Health Secure offers the policyholder a lump sum based on the sum assured for each of the illnesses, irrespective of the hospital bills.

WHAT ARE THE EXCEPTIONS: Claims can be placed only if the critical illness has been diagnosed after 90 days of the policy commencement date or the date of reinstatement.
WHAT IS THE PREMIUM PAYMENT: According to company's premium calculator, the annual premium for a 35-year-old male looking for a sum insured of Rs 10,00,000, for a 10-year term works out to Rs 2,831. For a 40-year-old woman looking to buy a Rs 8,00,000 sum insured policy, for a 10 year tenure, the annual premium would be Rs 4,252.

WHAT ARE THE BENEFITS: Premiums paid towards this policy may be eligible for tax benefits as per Section 80D of Income Tax Act 1961.

Critical illness policies are aimed at easing the financial burden when a family member is diagnosed with a critical illness. Though they offer benefits such as proving a lump sum on diagnosis of illness, one should also check the possibility of acquiring any of the illnesses. One cannot make claims for regular hospitalisation or non-critical medical condition under these policies. Those people who are sole breadwinners of a family, have two or more dependents, and can afford to pay a high premium, can go for these.