While health insurance is an important aspect of any suite of products designed to build a peace of mind for your client, it isn’t the end-all-be-all of products necessary to completely protect your client from undue financial hardship. Health insurance will generally cover your client’s doctor visits and hospitalization, it does not cover deductibles, co-pays, tests and labs, travel or lodging, or home or facility care. Specified disease policies are designed to cover some of these gaps in health insurance policies depending on the diagnosis of specific diseases or groups of diseases.
If your client is diagnosed with a specified disease, such as cancer, their major medical or Medicare may cover the cost of seeing a specialist, but it won’t cover the cost of their travel to and from treatment, lodging if they must travel long distances for treatment, or lost wages if they or their spouse is still working. Specified disease policies will pay out to your client to help them during the difficult time of diagnosis and treatment of one of these dreadful diseases.
Statistically speaking, specified disease insurance is, unfortunately, a type of policy that nearly everyone will need. Cancer is, after all, the second leading cause of death in the USA and accounts for one out of every four deaths. According to the American Cancer Society 78% of all cancer diagnosed in 2015 was in people over 55 years of age. The ACS also says that women have a 1/3 chance of developing cancer in their lifetime. Men have it worse, 1/2 of men will develop cancer in their life. Of these people who have developed and will develop cancer, they will need to find a way to cover the indirect costs of having cancer (i.e., everything but the medical aspects), which the National Cancer Institute estimates at being 65% of the total cost of the treatment. If cancer is the second leading cause of death in the United States, what is the first?
Heart disease is the leading cause of death in the United States according to the Centers for Disease Control and Prevention. 1 in every 4 deaths is attributed to heart disease, about 610,000 people die of it annually in the USA. Heart attacks vary by race and ethnicity as well as gender, but the total annual average of heart attacks is 735,000. Of the total annual average, 525,000 are first time heart attacks.
The need for specified disease policies are great. If 65% of the cost of cancer treatment is bundled up in the travel, lodging, lost wages, etc. then the vast majority of the cost for the average person will not be covered by their medical insurance. Specified disease insurance can be another brick in the wall of products that you present to your client to protect their way of life and the things they’ve worked so hard for in their life. And the value of protection is priceless.
*We do not keep product forms for all states. If you need a product that is not listed on the website, please reach out to us at 1-800-689-2800 for assistance.