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The most critical financial decision- Dread Disease Cover

A dreaded thought… statistics indicate that one in five people will suffer from a serious illness at some stage of their lives. In addition, more than 100 000 South Africans are diagnosed with cancer every year. Living a healthy life is not always guaranteed and anyone can be diagnosed with a critical illness at any time, therefore it remains imperative that one is prepared for the unexpected.

A dread disease can be defined as an illness which is critical and severe, this includes cancer, heart disease, organ failure, neurological and gastroenterological conditions. Dread disease cover is offered by most long-term insurance companies and provides financial protection in the event that you are diagnosed with a debilitating illness, whether terminal or not. Most dread disease cover policies cover cancer, stroke, heart attacks and coronary bypass graft surgery, which are regarded as the Big 4 when it comes to dread disease, although cancer remains the leading cause of dread disease claims. Dread disease cover takes the form of a tax-free, lump sum payment on diagnosis of a listed illness, taking into account that the diagnosis must be made by a registered medical professional. With improvements in medical science, we know that there is an increased life span for people with severe, sometimes terminal, illnesses which makes dread disease cover more relevant than ever before.

Importance of Dread Disease Cover
The purpose of dread disease cover is to offer you and your family financial peace and relief should you be diagnosed with a critical illness. This can go towards your medical expenses, making any lifestyle changes, contribute towards home care or to make up for your loss of income. Surviving or recovering from a critical diagnosis can create an extensive financial burden, therefore it is crucial to be informed on how dread disease cover can benefit one financially in the wake of severe illness. While all large insurers offer dread disease cover, this area of long-term insurance has become more complex over the years and is best navigated with the guidance of an experienced financial advisor.

Claim Process
Although policies have evolved over time, most insurers now provide a percentage-based pay-out based on the severity of the illness, due to improvements in medical diagnosis and the discovery of new illnesses that could be classified as severe. As the disease or condition worsens, these products frequently permit multiple claims. You may not receive the whole amount of your coverage when you make a claim for dread disease coverage because it frequently includes a partial benefit pay-out method that is based on the severity of your illness. An insurer may conduct an investigation if the condition or diagnosis does not immediately correspond to their claims criteria.

Morebo and Dread Disease Cover
Morebo is here to assist you with your unique needs. It is never easy to think about considering a product such as dread disease cover. Let us assist you in navigating this delicate topic and find the product that will suit you best. We will be able to produce a useful cost and benefit analysis for your specific needs using our specialized software. You’ll be able to choose the product that best meets your needs thanks to this.

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Morebo Financial Solutions (Pty) Ltd, an affiliate of Liberty, the Liberty Group Ltd is an authorised Financial Services Provider in terms of the FAIS Act. (No. 2409)
Morebo Wealth (Pty) Ltd, an affiliate of Liberty, the Liberty Group Ltd is an authorised Financial Services Provider in terms of the FAIS Act (no. 2409)
Morebo Brokerage (Pty) Ltd is an Authorised Financial Services Provider in terms of the FAIS Act (no. 48360)

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