Why you need to provide critical illness cover for your employees
Critical illness cover holds significant importance for employees as it provides essential financial support and peace of mind during difficult times. Here are key reasons why critical Illness cover is important for employees:
Critical Illness cover is critical to your financial health. Before you die, you could contract and survive a major illness, such as heart disease or cancer. While medical schemes help meet the medical costs associated with illness, living with significant illnesses and paying for post-event services is a different ball game.
While cancer survival rates, for example, and other severe illnesses are constantly improving, significant costs are associated with recoveries. Cancer carries a notable financial burden. Medical schemes will undoubtedly contribute towards meeting the direct costs related to diagnosis by specialist physicians and regular treatment follow-ups. However, there are additional or indirect costs that are only sometimes covered by medical aids, as well as the matter of losing out on earning a monthly salary while you are sick.
A person with cancer may be unable to work for an extended period. Chemotherapy can extend over some time, possibly up to six months. Large employers may be sympathetic, but smaller companies may only be able to afford shorter sick leave periods of 30 days or less. So, they might invoke their employment rights and reduce the monthly salary or even dismiss the employee on the grounds of extended ill health.
There are also additional expenses, such as adjusting a home and vehicle and childcare. A commonly overlooked cost is the treatment of depression. One out of two survivors of a severe illness such as cancer will suffer from some form of depression, and treatment duration could range from several weeks to longer.
Basothos should be aware of the insurance cover required and the insurance gap is concerning: Sufficient and appropriate cover is essential considering the risks and costs associated with severe illness.
Critical Illness cover is critical to your financial health. Before you die, you could contract and survive a major illness, such as heart disease or cancer. While medical schemes help meet the medical costs associated with illness, living with significant illnesses and paying for post-event services is a different ball game.
While cancer survival rates, for example, and other severe illnesses are constantly improving, significant costs are associated with recoveries. Cancer carries a notable financial burden. Medical schemes will undoubtedly contribute towards meeting the direct costs related to diagnosis by specialist physicians and regular treatment follow-ups. However, there are additional or indirect costs that are only sometimes covered by medical aids, as well as the matter of losing out on earning a monthly salary while you are sick.
A person with cancer may be unable to work for an extended period. Chemotherapy can extend over some time, possibly up to six months. Large employers may be sympathetic, but smaller companies may only be able to afford shorter sick leave periods of 30 days or less. So, they might invoke their employment rights and reduce the monthly salary or even dismiss the employee on the grounds of extended ill health.
There are also additional expenses, such as adjusting a home and vehicle and childcare. A commonly overlooked cost is the treatment of depression. One out of two survivors of a severe illness such as cancer will suffer from some form of depression, and treatment duration could range from several weeks to longer.
Basothos should be aware of the insurance cover required and the insurance gap is concerning: Sufficient and appropriate cover is essential considering the risks and costs associated with severe illness.
In Summary it's important for employers to carefully consider the specific needs and preferences of their workforce when designing a benefits package, including critical illness cover. This can help ensure that employees receive the support they need during challenging times and that the company can reap the benefits of a healthier, more engaged workforce.
What we offer
As one of the largest insurers in Lesotho, Alliance offers a wide range of risk cover solutions to protect members’ income when accidents or illness happens or when dealing with loss. Our employee benefits range is underpinned by a fully customisable range of risk solutions. These include Income continuation, disability, critical illness, group funeral cover and group life insurance.
Additional Resources
Beneficiary Nomination Form
Employer Application Form
Group Funeral Registration Form
Know Your Customer Form