As the interest in critical illness insurance rises each year, misconceptions about its purchase and claims are still common. What are some of the common misconceptions? Myth #1: Catastrophic Insurance vs Critical Illness Insurance It is fair to say that many people are easily confused by these two insurance terms, are they related in the end? The difference between catastrophic insurance and critical illness insurance can be summarized in three aspects: 1, different properties Catastrophic insurance belongs to the category of social insurance, with protection, and not for profit; and critical illness insurance belongs to the category of commercial insurance, is an important part of the social medical security system. 2, the object of protection is different The object of protection of major medical insurance is urban residents’ medical insurance, new agricultural cooperative insurance (cooperation) people; and the object of critical illness insurance is a natural person. 3, the protection content is different The major disease insurance is to protect the urban residents’ medical insurance, the new rural cooperative compensation after the high cost of major diseases to be borne by individuals; and the critical illness insurance is to apply for compensation after suffering from the contracted major diseases. Myth 2: If you buy critical illness insurance, all major diseases can be covered Everyone’s understanding of “major diseases” may be different, but there is a clear definition of “major diseases” in the insurance industry. Generally, insurance companies have added to the official list of 25 major illnesses, usually more than 30. However, this does not mean that it can cover all major diseases, everything must be based on the scope of major diseases covered by the insurance contract. Myth 3: The more types of diseases covered by critical illness insurance, the better Is the more types of diseases covered by critical illness insurance, the better? The answer is not one-size-fits-all. As the number of illnesses increases, the scope of coverage expands and the corresponding premium increases. Therefore, to buy critical illness insurance, one should choose the type of disease according to your situation, and the other should pay more attention to the features and services of the product, such as whether there is coverage for minor illnesses and whether multiple payouts are available. Myth 4: Critical illness coverage is not enough if it is low, but too expensive if it is high Many young consumers buy critical illness insurance because they feel that low coverage is not enough, but high coverage is too much and they don’t know how to choose. In fact, risk protection is not a once and for all purchase, consumers can buy in stages, with their work nature, risk level, income level changes, consumers can make adjustments, such as first buy an insurance policy, and then add a critical illness insurance to increase the amount of protection when conditions are good. Myth #5: Buy critical illness, buy for your child first This is a misconception about buying critical illness insurance, and also about buying all insurance products. Many parents are heartbroken about their children and buy adequate insurance for them but cannot afford to buy it for themselves under limited financial conditions. However, what cannot be ignored is that as a parent you are the pillar of the family and the child’s biggest dependency, and the source of premiums for the child’s policy. If the parent loses the ability to pay, not only will the family be in trouble, but the child’s protection will also be impossible to talk about.