One of the consequences from a cancer diagnosis is the financial cost and burden to the individual and the family members. A Cancer Benefit plan is designed to supplement the major medical coverage to assist with the high cost of cancer treatment.
Benefits from the plan help pay the following types of out-
Coverage is available for employee as well as the spouse and dependent children. As with other voluntary benefits, coverage is portable and the employee can take it with them when they change jobs or retire. This benefit is guaranteed renewable for life as long as premiums are paid when due.
Benefits may be paid either through a lump sum or an annually restorable policy. Premium for lump sum policies do not increase with age and are typically payable until the policy is paid up at a specified age or until a claim is incurred. Often, policies offer a return of premium rider, which allows premiums to be refunded if the policy remains continuously in force and no claim is paid during the term of the policy. Lump sum cash payments typically allow benefits to be used for any purpose including offsetting loss of income or covering normal living expenses.
Annually restorable policies help offset expenses incurred for treatment of covered diseases. Payments typically are more focused toward inpatient or outpatient services as well as supplies and treatments such as hospital room and board; drugs and medicines; laboratory services; and medical or surgical services.
Contributed with the permission of Jeffrey Schreiber, ARM