Sometimes called disease specific insurance. Critical Illness Medical Insurance helps relieve the financial strain of a serious illness, like cancer, strokes, or heart attacks. These policies will provide lump sum cash benefit that you may use to pay deductibles on major medical health plans, out-of-network specialists and travel and hotels when treatment is away from home. Some other ways you might want to use the cash would be experimental treatment, usually related to cancer therapy, help with child care and everyday living expenses like your car payment, electric bill, phone bill and food. Some policies will let you pick the dollar amount of benefits that you want… from $5000 to $100,000 and more. The nicest thing about this type of insurance is that when the claim is paid the money is sent to the policyholder and that’s the person who decides how to spend the money. Many critical illness plans come with term life insurance as well.