A CRITICAL illness policy that offers a lump-sum payment and monthly recovery benefit is to be launched by AMP, the Australian insurer.
Called Crisis Care, the monthly benefit begins six months after the lump-sum payout and is available for up to 30 months' convalescence.
Those seeking this level of coverage previously had to take out two separate policies: a specific critical illness policy for the lump sum and a permanent health insurance policy for the monthly income.
The premium charged is about 0.3 per cent of the sum insured. For those seeking $2 million worth of critical illness coverage the premium will thus be $500 a month.
For this, AMP will pay $2 million upon diagnosis of the critical illness and a monthly recovery benefit of 1.5 per cent of the sum insured.
In this case this will be $30,000 per month.
