Have you considered what might happen if you become severely ill? While it is possible to manage minor illnesses with some savings, a serious medical condition may affect your ability to work long-term, all while expenses related to your care add up. The results can be financial instability, impacts to your family’s well-being, and a negative impact on your health. With critical illness insurance, you can protect your finances and focus on what’s important: your health.
What Is Critical Illness Insurance?
Critical illness insurance helps you cover your costs while dealing with a serious medical condition. When you are diagnosed with a covered medical condition, you will receive a lump sum payment that can be used for anything that you wish. The payment can be helpful for:
- Rent or mortgage payments
- Utility bills, such as gas, electric, and phone
- Groceries and other monthly expenses
- Loans and other debts
You may also choose to use your critical illness benefit to cover other costs, such as:
- Healthcare costs not covered by MSP
- Childcare for minors
- Additional home support while you recover from your illness
Do I Need Critical Illness Insurance?
Getting a diagnosis for a critical illness will greatly affect you and your family, as it takes time to get treatment and recover from an illness. Let’s look at several considerations that you could face if you receive a diagnosis and need to use your critical illness insurance.
How Will You Cover Your Costs?
Some people set up a savings account to cover unexpected situations, such as job loss or illness, but do you have enough saved up to pay all of your bills? If you have retirement savings, it is possible to use these funds to keep you afloat, but digging into your RRSPs is not recommended, as this affects your retirement income.
Critical illness insurance offers an extra layer of protection in your financial planning and provides a cushion to help you recover from your illness.
What Illnesses Are Covered by Critical Illness Insurance?
While each provider offers slightly different coverage options, most cover the major illnesses, including:
- Heart attack
- Cancer
- Stroke
- Coronary bypass surgery
- Aortic surgery
- Major organ transplant
- Dementia, including Alzheimer’s Disease
- Kidney failure
- Multiple Sclerosis
- Paralysis
Give Yourself Time To Recover From a Major Illness
When you have critical illness insurance, you can focus on what matters most—taking care of yourself and following the proper steps to regain your health. Critical illness insurance can provide peace of mind to you and your loved ones by providing a tax-free, lump-sum benefit payment to help cover your loss of income during this time.
Are You Eligible For Critical Illness Insurance?
If you are between 18 and 65 years of age, you can apply for critical illness insurance. Your coverage can continue until age 75.
How Much Critical Illness Coverage Can You Get?
The amount of coverage you can get depends on the type of product you buy. Some policies offer a maximum of $50,000, while others provide coverage of $3,000,000. You’ll choose a level of coverage depending on factors such as your budget, lifestyle, number of family members, or other factors your insurance advisor will help you navigate.
Do I Need Critical Illness Insurance If I Have Life Insurance?
Critical illness and life insurance cover you for entirely different needs.
- Life insurance helps to provide for any loss of income to help your family maintain their standard of living after you pass. This is particularly important for individuals who have young families, where the remaining parent may have to stop working to take care of the children.
- Critical illness insurance is only paid out after the diagnosis of a specified illness. It allows you to pay any personal expenses and medical expenses and maintain your quality of life while you recover from your illness.
Get Critical Illness Insurance in Edmonton
Maintain your quality of life by purchasing critical illness insurance. There are so many options to choose from, including a return of premium rider where you can get all your money back if you don’t get sick. Our financial advisors are happy to discuss these options and find a benefit plan that works for you. Book a free consultation today!
