Critical Illness Insurance 

Critical Illness provides a lump sum payment following a survival period of typically 30 days after diagnosis of one of the critical conditions covered by your plan.  Heart attack, cancer and stroke are the big 3, but there are usually over 25 conditions covered.  You can use the lump sum benefit payment anyway you wish.

With increased life expectancy and medical advances, the risk of living with a critical illness is significant, and the cost can be staggering.  Government health care plans provide only the basics.  Critical Illness protection can:

  • Keep you and your family in your home
  • Keep your business viable
  • Pay for drugs – especially when some of the more newer medications are not yet covered through your work plan – or once your work plan coverage has been maxed out
  • Allow you to undertake out of country or alternative therapies

Some chose to not have critical illness insurance because they don’t think they will ever need it.  They figure a critical illness will never affect them or that they have enough coverage through their employer’s disability plan should they ever be affected.   The truth is, critical illnesses including cancer and heart disease are more common than death (see graph below) so if you have life insurance, you should definitely have critical illness.   Another truth is that company plans only pay up to 60% of one’s income – cutting your income nearly in half.  Keep in mind that government health plans don’t cover all medical expenses either, so a loss of income and an increase in expenses could cause a disaster for you and your family. 


Source: Heart attack and stroke statistics. Canadian cancer society & Statistics Canada

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