What is critical illness insurance?

"People need insurance, not only because they are going to die, but because they are going to LIVE!" - Dr. Chris Barnard

A critical illness is defined as an illness that you have no control over, yet affects your life drastically and limits your ability to work. Illnesses such as a heart attack, cancer or a stroke are classified as critical illnesses.

Critical illness insurance provides you with a tax-free lump sum benefit should you be diagnosed with a critical illness and are unable to earn an income, require additional treatment that is not covered by the government healthcare system or have other expenses, such as debt, that need to be covered. This means you can concentrate on the most important thing: your recovery.

Critical illness insurance has a variety of options including "return on premium" which allows you to get some (or all of) your money back should you never make a claim or "best doctors' services", which allows you access to medical assistance when you need it most.

For more information about critical illness insurance or to get a no-obligation quote, please contact us.

Do I need Critical Illness Insurance?

Getting sick isn’t something any of us likes to think about. But it does happen, and thanks to improvements and advancements in the medical field, there is a good chance you will recover and continue to live your life. However, recovering from an illness takes time and money. Treating, and coping with, a critical illness can result in huge, unexpected costs - both financially and emotionally.

Critical illness insurance is a long-term insurance policy to cover specific serious illnesses listed within the policy. So, should the worst happen: you are diagnosed with cancer or you have a heart attack, critical illness insurance will provide you with a lump sum benefit that will help you pay for your mortgage or rent, cover any outstanding debts, or anything thing you feel is most important. You can choose what you wish to use the lump sum for.

Critical illness insurance is especially important for business owners and professionals.

Why Critical Illness Insurance is Critical for Business Owners

What would happen to your company if you were unable to take care of the day-to-day activities for six months or more?

If you suffered a heart attack, stroke, or were diagnosed with cancer and you had to take an extended period of leave, would your business survive without you? The fact is that most businesses would not. Small businesses depend on two or three key players to keep the business running and if those people are no longer available, it would present significant challenges.

So what is the solution?

The best solution to providing financial flexibility during a difficult time is to set up a corporately-owned Critical Illness Policy on those key members. This way the company can have a tax-advantaged solution to ensure that operations can continue virtually un-interrupted.
Here’s how it works:

  • 1. You and your company jointly purchase a Critical Illness Policy
    • The company pays for the health & death benefits of the policy for the period you wish to cover
    • At the end of the coverage period desired, you can take the coverage, or get a full refund of premiums paid, personally
  • 2. Your legal advisor prepares a joint ownership insurance agreement
  • 3. The policy pays a tax-free benefit when one of the following events occur (whichever comes first)
    • If you suffer from an illness - the company receives the benefit
    • If you have an untimely death - the company receives the benefit
    • If you remain in good health until the coverage period expires - you can claim the health benefit

Recover with confidence

When you get your lump sum payout, you can recover with confidence, knowing you have the money to pay your employees and keep your business running. We help you recover by reducing your financial burden so you can use your benefits to get well and not have to go into debt or take out money from your retirement savings.

You will also have access to cutting-edge medical services that aren’t always covered under OHIP. You and your family need a lump sum benefit to cope with, not just the financial burdens, but the non-financial challenges and struggles that arise when a critical illness occurs. We give you the freedom of financial independence while you recover and we are here to help you with any questions or difficulties during your recovery process.

Make use of the tax advantages available!

An individual owns and pays for a critical illness insurance policy and this premium is treated as a personal or living expense for income tax purposes and is not tax-deductible. However, in the event you get critically ill and receive a lump sum, the lump sum cash benefit is not taxable. You don’t need to pay any taxes to the government and can simply use the money to replace lost income and focus on getting well.

Insurance benefits can accumulate tax free, and are paid tax free. This presents a great advantage for business owners to put their corporate dollars to work for them.

Get in touch with us and speak to a financial advisor about tax-advantaged services.

How much will I receive?

The lump sum benefit payments can range from $25 000 to as much as $2 million. It is paid as a single, lump sum payment as soon as you are diagnosed with a covered condition.

What illnesses are covered?

  • Not only does critical illness insurance cover the three major illnesses such as heart attacks, strokes and cancer, but you can also get additional coverage for illnesses such as:

    • Alzheimer's Disease
    • Benign Brain Tumor
    • Bypass surgery
    • Deafness
    • Heart Valve Replacement
    • Loss of limb
    • Major organ transplantation waiting list
    • Multiple sclerosis
    • Paralysis
    • Stroke
    • Aortic surgery
    • Blindness
    • Coronary Angioplasty
    • Cancer
    • Heart attack
    • Kidney Failure
    • Loss of Speech
    • Motor Neuron Disease
    • Occupational HIV injury
    • Severe Burns

What is the 'Best Doctor' Service?

The 'Best Doctor' service is a value-added service that is available with some critical illness insurance plans.

This service gives you access to a global database of over 50,000 doctors and specialists to better help you navigate your treatment and medical care options.

Imagine the peace of mind knowing you have that second or third opinion of world-renowned specialists that will look over all your medical files to make sure you received the correct diagnosis and the proper treatment recommendations. This can all be done without appointments and the like, from the convenience of your own home.

Best Doctors will also provide you with the names of the top three local medical specialists for treating your condition. Best Doctors will search for the most qualified specialists in their database of medical experts to meet your specific insurance needs. Best Doctors will also arrange for referrals from your physician and even book appointments and lodging arrangements if out-of-town travel is necessary.

What is the difference between critical illness insurance and disability insurance?

Both disability insurance and critical illness insurance provide forms of living benefits. These benefits help protect your family and your financial assets should you be unable to earn an income due to an injury or illness.

Disability insurance protects your income against the risk of a disability that prevents you from working at your core profession.

Critical illness insurance attempts to fill the gap between life and disability insurance. While disability insurance covers the loss of income due to an accident or illness, critical illness insurance will pay out a benefit when you have been diagnosed with a serious, life-altering illness or condition.

  Critical Illness Insurance Disability Insurance
Payout Paid out as a lump sum Payout replaces a portion of your income on a monthly basis
Flexibility The lump sum can be used for treatment or any way you see fit The smaller payments are used to replace your salary
Loss Of Income No ongoing proof of loss of income is needed Ongoing proof of loss of income required
Continuation The payout is not effected by other income The payouts may discontinue should you return to work and earn an income

Get free quote

Request A Quote

Date Of Birth
Do you Smoke?
Type of Coverage
Amount of Coverage

There are no fees for this service & you are under no obligation to accept any quote!

We provide quotes from the
Top Canadian Insurance Carriers