The critical illness insurance market is valued at USD 40 billion in 2021 and is poised to grow at a significant CAGR of 6.0% over 2022–2028. The growing elderly population and this group’s high susceptibility to various chronic diseases are exp, expected to drive the market. Individuals aged 65 and up who are afflicted with a sickness usually require close monitoring and surgical operations. The elderly members of society cannot afford costly medical treatment and surgical procedures, and more extended hospital stays may act as a catalyst for market growth. The availability of numerous critical illness insurance coverages and the opportunity to select one promotes business growth. The vital illness insurance sector benefits from increased GDP and rising healthcare spending. According to the WHO’s cancer profile 2020 report, global cancer incidence was 18.06 million in 2018, with 9.57 million deaths. As a result, the worldwide critical illness insurance market is likely to be driven by the rising prevalence of critical illness. A fundamental trend impacting the critical insurance market is a rise in critical conditions covered by critical illness insurance policies. Aside from cancer, stroke, coronary artery bypass, and heart attack, major insurance companies are working on expanding coverage for many new conditions such as Alzheimer’s disease, multiple sclerosis, Parkinson’s disease, and motor neuron diseases. The critical illness insurance has been gaining traction over the past two decades. It’s popular in Australia, the UK, and emerging countries. The rising number of baby boomers in the U.S. is the primary factor expected to impact the critical illness insurance market positively. Insurance is much attracted to middle-aged and old-aged people. Critical illness insurance covers cancer, heart attack, kidney failure, and stroke, core diseases. The surge in the geriatric population in China, India, Japan, and other countries, increased awareness levels expected to fuel the market shortly.
Recent Market Developments:
In July 2020, Liberty General Insurance introduced “Critical Connect,” where one can choose from two programs for the sum insured ranging from Rs 1 lakh to Rs 1 crore. If the customer opts for plan A, he or she can choose from Critical Illness Bundles covering 9, 25, or 43 critical illnesses. Whereas plan B offers disease-specific bundles such as Heart Protect, Cancer Protect, Renoliv Protect, and Brain Protect. With this launch, the company has enhanced its offering to customers for critical illness insurance.
In January 2021, Breeze, an insurance vendor located in Omaha (US), launched a new critical illness insurance product on its digital platform for its customers. The launch will help the company accelerate its partnership with Assurity Life, which aims to offer its consumers better access to cost-effective insurance products in untapped regions.