Critical Illness is also known as a living benefit as you receive a lump sum, tax-free if you are diagnosed with one of the covered illnesses. Some of the illnesses include Cancer, stroke and heart disease. The idea behind this policy is that it allows you to be relieved of the financial burden while going through a troubling time in your life.
People are living longer which means that there is a higher chance of being diagnosed with one of the covered illnesses. Studies show that one in two men and one in three women will develop heart disease in their lifetime with 80% surviving the event. Cancer is has become the leading cause among Canadians with an estimated 206,200 new cases of cancer resulting in 80,800 deaths in 2017 (103,100 men diagnosed vs. 103,200 women being diagnosed). On average 221 Canadians die from Cancer every day. According to statistics Canada (2006-08) 60% of those who have been diagnosed are expected to survive for 5 years or more after a cancer diagnosis. There are about 60,000 stroke victims a year in Canada, and although death rates have declined the number of strokes among young people (ages 18-45) has risen. With one-third of the time, the cause of stroke for young adults is “cryptogenic” meaning unknown.
With these odds in mind how prepared are you to take time off if you or a loved one should fall ill?
Critical illness is a product that was designed to relieve you of the financial burden during a tough time. It can be used to help replace your income while you take time off, help cover parking or transportation costs, allows you to seek alternative care or out-of-country treatment or even a family trip once you’ve recovered. It can help you where you need it most so you can focus all your energy on recovering.
Source: Heart and Stroke Foundation, 2014. Canadian Cancer Society’s Advisory Committee on Cancer Statistics. (2017). Canadian Cancer Statistics 2017. Toronto, ON: Canadian Cancer Society. Statistics Canada. (2012, July 25). Table 102-0561 – Leading Causes of Death, Total Population, by Age Group and Sex, Canada, Annual. Ottawa: Statistics Canada. CANSIM database.