Beyond Basic Coverage: Why Critical Illness Insurance Matters

As longevity breakthroughs drive the anti-aging market, Americans embrace the possibility of longer lives. Yet, with extended lifespans comes an increased risk of serious illness and its financial aftermath. Despite having health insurance, medical expenses remain the leading cause of bankruptcy in America, with 17% of adults with healthcare debt having lost their homes or declared bankruptcy as recently as 20221. This highlights a critical gap in traditional coverage that many discover too late.

Critical illness insurance provides essential financial protection by delivering lump-sum payments that can be used in any way. Despite rising healthcare costs, this policy can fill crucial gaps left by standard health plans, offering potential peace of mind and financial security when facing uncovered medical expenses.

The hidden cost of specialized treatment

Consider the challenge faced by many Americans living in rural communities. When someone from a remote area receives an Alzheimer's disease diagnosis, they often discover that comprehensive health insurance isn't truly comprehensive. Accessing specialized treatment might require traveling hundreds, maybe over a thousand miles to elite facilities, such as the Lou Ruvo Center for Brain Health in Las Vegas, one of the nation's leading centers for Alzheimer's research and treatment.

How about the cancer patient who, despite having insurance, seeks a breakthrough therapy like Bristol Myers Squibb's Opdivo? This annual immunotherapy, at nearly $200,000, can leave patients responsible for substantial coinsurance amounts. Mitigating such high-ticket expenses and the logistics accompanying the healthcare challenges stress the importance of such supplemental coverage.

While traditional health insurance typically covers medical appointments and prescriptions, patients face overwhelming expenses for cross-country travel, extended hotel stays, meals away from home, and critically lost income during treatment periods. These incidental healthcare costs can quickly add up and force impossible choices between financial stability and high-quality care.

Critical illness coverage when health insurance isn't enough

Critical illness insurance distinguishes itself from traditional health coverage through its flexibility and comprehensive support during challenging times. Upon diagnosis of a covered condition, policyholders receive a tax-free, lump-sum payment they can use entirely at their discretion, without restrictions or documentation requirements.

This financial support can replace lost income during extended treatment periods or recovery, allowing families to maintain financial stability when work isn't possible. The funds can also address rising out-of-pocket medical expenses by covering health insurance deductibles, copayments, and coinsurance that might otherwise deplete savings.

Beyond medical costs, critical illness benefits can maintain everyday financial obligations, including mortgage or rent payments, utility bills, and essential groceries. For those requiring specialized treatment unavailable locally, these funds become crucial for covering travel expenses to medical centers of excellence, including airfare, hotel accommodations, and meals. Traditional health insurance rarely addresses these types of costs. This versatility stresses the importance of critical illness insurance.

Comprehensive coverage for life-changing diagnoses

Critical illness insurance provides essential protection for various individuals and circumstances. Families can gain peace of mind knowing they've secured financial stability to keep household operations running smoothly during health crises. This coverage is ideal for individuals with high-deductible health plans to ease the financial pressure when facing substantial out-of-pocket medical expenses. Small business owners particularly benefit from this protection, which can help maintain their operations during their absence, providing crucial support when needed most.

Critical illness insurance at Mutual of Omaha offers comprehensive protection against many serious health conditions. As treatment costs and deductibles continue to climb, this specialized coverage provides crucial financial support to help manage unexpected expenses that might otherwise overwhelm your resources. Policies generally provide 100% of the benefit amount for major diagnoses, including internal cancer or malignant melanoma, heart attack, stroke, and Alzheimer's disease. This full coverage also extends to life-changing conditions such as major organ transplants, blindness, paralysis, deafness, and kidney failure.

Flexible policy benefits to accommodate you

Critical illness insurance offers flexibility to address your unique financial needs while providing transparent, dependable coverage throughout your policy's lifetime.

• No surprises – you know the exact benefit amount when making a claim
• Guaranteed renewable coverage for the life of your policy
• Limited underwriting requirements for easier qualification
• Consistent premium regardless of the number of children covered under family policies
• Return of Premium (ROP) benefit upon death
• Optional riders available to enhance your coverage (at additional cost)

Bridging the financial gap during a critical illness

When a serious illness disrupts life's plans, financial pressures can compound health challenges. Imagine receiving a stroke diagnosis requiring specialized treatment many miles away. While your health insurance covers many direct medical costs, it wasn't designed for extended hotel stays, travel expenses, or replacing lost income during recovery. Critical illness insurance transforms this scenario with a lump-sum payment upon diagnosis, offering true financial flexibility.

This specialized coverage ensures that financial limitations don't compromise health decisions, whether by covering mortgage payments during unpaid leave, funding travel to the best care, or maintaining financial stability during treatment.

With increasing longevity and rising healthcare costs, critical illness insurance protects against the financial vulnerability often accompanying severe medical conditions. It allows you and your loved ones to focus entirely on what matters most: recovery and healing.

Mutual of Omaha offers critical illness insurance plans to help make it easier to deal with illnesses. If you want to learn more about critical illness insurance, fill out the form . A financial professional will reach out to you to help you understand your options and support your needs beyond traditional health insurance.