Because he is important and equally more expensive! Of course, critical illness insurance is not very expensive, but it is a bit more expensive than a few hundred dollars of medical insurance. Perhaps many readers found this price higher than their psychological price so they went to research the product, and then found that 70 years of coverage will be much cheaper than lifetime coverage! So many people are confused and ask the question: Is it necessary to buy critical illness insurance for life?
Is it possible to buy only up to 70 years old? Of course, there are also a lot of people who are worried that insurance until age 70 is not good enough because they see that insurance until age 70 is cheap. Many people choose to insure to age 70 because they think insurance to life is too expensive and their budget is not enough, so they only buy insurance to age 70. Perhaps in many cases, what consumers struggle with is whether it is necessary to spend a few thousand dollars more to buy life insurance or not. First of all, let's introduce the 3 cases of critical illnesses for people who buy insurance, from the beginning of the insurance (age of insurance) to death (age of death), there are three cases. The first case is to get a critical illness before the age of 70, the second case is to get a critical illness after the age of 70, and the third case is to never get a critical illness in your life. According to the data published by the relevant U.S. authorities: life expectancy in 2019 is 77.3 years, which is almost a 1-year increase compared to 2015.
If insured at age 30, the probability of getting a critical illness from age 30 to 70 is 33.45%, from age 70 to 85 is 37.88%, and for the rest of your life (up to age 85) the probability of getting a critical illness is 70.83%. So it seems that coverage until age 70 only covers 46% (32.65%/70.83%) of the risk of critical illness, not even half of the risk of critical illness in life! From this conclusion it is clear that the transfer effect of coverage to age 70 is a bit weak, leaving a greater risk after age 70. Of course, there are many advantages to buying insurance until age 70, such as the fact that insurance until age 70 is much cheaper than insurance for life as mentioned at the beginning of the article, and the price advantage is still quite obvious. If you choose to insure until age 70, the money you save can be used for higher coverage, so that if you get a major illness before age 70, you can get more claims, which is a very cost-effective and appropriate way for you to buy insurance.
The biggest disadvantage is that insurance only up to age 70 does not provide enough protection. After all, the critical illness insurance contract ends at age 70, but in reality, it is those over the 70s who need major illness coverage.
