FWD new plans to close protection gap as 63pc chronic and critical illness patients declined by insurers

FWD Hong Kong said it has launched new insurance products to address the protection gap for those who may otherwise find it difficult to secure critical illness insurance due to pre-existing conditions.

This comes after more than 60 percent of Hong Kong residents with a history of chronic or critical illness could not obtain suitable insurance coverage after treatment or recovery. 

FWD conducted a survey and approximately 700 residents aged 30 to 59 were interviewed from September to October.  

It highlights a significant gap in health protection for individuals with a critical illness history. Nearly 63 percent of respondents with relatives who have chronic or critical illnesses reported that their relatives were unable to obtain suitable or any further critical illness coverage after treatment or recovery.  

Around 56 percent of the interviewees who neither have nor plan to purchase health protection, forgo critical illness insurance due to chronic illnesses or a history of cancer, heart disease, or stroke.  

These disease records often result in complex application processes, exclusions, or denials of coverage.  

Additionally, 69 percent of respondents found purchasing critical illness insurance complicated for middle-aged individuals, while 82 percent believed that a medical examination or health report was mandatory before applying.

FWD noted that the new insurance products are the first series of participating critical illness protection plans in Hong Kong offering simplified underwriting for individuals who have been diagnosed with cancer, heart diseases, or stroke.