Trauma Insurance FAQ

Trauma insurance (also called critical illness insurance) provides a lump sum payment if you're diagnosed with a serious medical condition covered by your policy. Unlike health insurance that covers medical costs, trauma insurance gives you cash to use however you choose.

Key features:

• Lump sum payment on diagnosis (not death)
• Use money for any purpose - no restrictions
• Covers 30-50+ critical illnesses
• Complements other insurance types

Trauma insurance works in three simple steps:

1. Diagnosis: You're diagnosed with a covered condition by a medical professional
2. Claim: You submit a claim with medical evidence to your insurer
3. Payment: If approved, you receive the full lump sum (typically within 30 days)

The payment is made regardless of your recovery outcome, and you can use the money for anything - treatment, living expenses, paying off debt, or even a holiday to aid recovery.

Trauma insurance can be very worthwhile, especially if you have:

• Dependents who rely on your income
• A mortgage or significant debt
• Limited savings (less than 6-12 months expenses)
• A family history of critical illness

Trauma insurance costs vary significantly based on age, health, gender, and coverage amount. Here are typical monthly premiums for $200,000 coverage:

Several factors influence your trauma insurance premiums:

Here are proven ways to reduce your trauma insurance premiums:

Most trauma insurance policies cover 30-50+ critical illnesses. The major conditions include:

Yes, trauma insurance provides comprehensive cancer coverage, including:

Key benefit: Most policies pay immediately on cancer diagnosis with no survival period required, unlike some other conditions.

Common exclusions in trauma insurance policies include: