Critical Illness Insurance Buying Tips
You Hope It Won’t Happen To You. But What If It Does?
Chances are, you will survive your critical illness. But can you survive financially?
Being stricken with a critical illness is not like having the flu. During treatment you may be incapacitated and unable to care for yourself. Recovery times can be long and expenses not covered by your provincial health plan or other insurance could cost you thousands, or even tens of thousands of dollars. The financial implications for you and your family could be overwhelming.
How Does Critical Illness Insurance Help?
An innovative product developed in the 1980’s, critical illness insurance is designed to ease the financial burden in the weeks and months following diagnosis and during recovery. It is one of the fastest growing forms of personal insurance in Canada.
A lump sum benefit is paid upon diagnosis of one of the covered illnesses. You’re not required to spend the money on medical expenses. You can spend the money any way you like – such as paying off a mortgage, replacing lost income, paying for housekeeping, or taking a recuperative vacation. You don’t even need to provide receipts.
Further, the benefits can help you avoid the need to use other funding to help you survive financially – such as mortgaging your home, or the premature use of your RRSP or savings.
The Misconception About Critical Illness Insurance
One of the biggest misconceptions among healthy Canadians is that critical illness insurance is an unnecessary product. But consider this – in Canada, the odds you or a family member will be affected by cancer, stroke, heart attack or bypass surgery are over one in three.
Critical illness insurance can help you survive the financial consequences during your recovery or treatment. Something worth thinking about, because it could happen.