Critical illness insurance provides a tax-free lump sum payment if you’re diagnosed with a covered condition, such as cancer, heart attack or stroke. This coverage helps ease the financial burden during a challenging time, allowing you to focus on recovery rather than worrying about expenses.
CRITICAL ILLNESS
What is Critical Illness?
How Does Critical Illness Work?
Critical illness insurance provides a tax-free lump sum if you’re diagnosed with a serious illness covered by your policy. Commonly covered conditions include cancer, heart disease, and stroke, but the list varies by insurer, so it’s essential to review your policy details carefully.
The lump sum can be used as needed, offering flexibility to address various expenses. You can cover medical treatments, private nursing care, rehabilitation costs like physical therapy, or specialized medical equipment. It can also help with daily living expenses, such as mortgage payments, rent, childcare, or even maintaining your family’s routine during your recovery.
To claim, you must meet the policy’s conditions, including a confirmed diagnosis of a covered illness. The claim process typically involves submitting required medical documents for assessment. Many policies include a waiting period before coverage begins, so claims made during this time may not be eligible.
Benefits of Critical Illness
Our critical illness insurance provides a tax-free lump sum upon diagnosis of a covered condition, offering financial support for medical bills, mortgage payments, and other needs. With flexible use of funds and lifetime coverage, it helps ease the financial burden during recovery, allowing you to focus on your health. Check the below details:
| Feature | Critical Illness Insurance |
|---|---|
| Payment Type | Tax-free, lump-sum payment |
| When You Receive Payment | For some diseases, insured must be alive for 30 days after the diagnosis |
| Riders | Return of Premiums upon Death or based on Age |
| Coverage Duration | Term and Permanent coverage |
| Usage of Payout | Medical expenses, mortgage, debt, replace income, home support, child care |
Why Choose Critical Illness Insurance?
Protects Your Savings from Unexpected Costs
Critical illness insurance helps shield your savings by covering the high costs of medical treatments, recovery, and daily living expenses, preventing the need to dip into your long-term savings or investments.
Offers Financial Flexibility During Recovery
The lump sum payout allows you to use the funds for various needs such as medical care, mortgage payments, or childcare, providing financial stability while you focus on healing.
It provides Peace of Mind for You and Your Family
Having this coverage gives both you and your loved ones peace of mind, knowing you’re financially supported in case of a serious illness, reducing stress during an already challenging time.
Illnesses Covered:
4 Illnesses
Provides quick and affordable coverage you can count on. This ideal solution for young families can provide income replacement coverage as well as coverage for your mortgage with the “Decreasing to 50%” option.
- Cancer (Life-Threatening)
- Coronary Artery Bypass Surgery
- Heart Attack
- Stroke
25 Illnesses
Provides comprehensive coverage with options that can be adapted to fit your lifestyle. For optimal coverage for your children, to preserve your company’s financial health or to protect your retirement savings, the wide range of options and flexibility could make it the perfect solution for you.
- Aortic Surgery
- Aplastic Anemia
- Bacterial Meningitis
- Benign Brain Tumour
- Blindness
- Cancer (Life-Threatening)
- Coma
- Coronary Artery Bypass Surgery
- Deafness
- Dementia, including Alzheimer’s Disease
- Heart Attack
- Heart Valve Replacement or Repair
- Kidney Failure
- Loss of Independent Existence
- Loss of Limbs
- Loss of Speech
- Major Organ Failure on Waiting List
- Major Organ Transplant
- Motor Neuron Disease
- Multiple Sclerosis
- Occupational HIV Infection
- Paralysis
- Parkinson’s Disease and Specified Atypical Parkinsonian Disorders
- Severe Burns
- Stroke
5 Juvenile Illnesses
25 illnesses and 4 illnesses plans also cover the following critical illnesses and medical conditions up to the insured’s 25th birthday.
- Cerebral Palsy
- Congenital Heart Disease
- Cystic Fibrosis
- Muscular Dystrophy
- Type 1 Diabetes Mellitus
FAQs
Are critical illness insurance payouts subject to taxes in Canada?
No, in Canada, critical illness insurance benefits are paid out tax-free, ensuring you receive the full benefit amount.
What is the waiting period before I can claim critical illness insurance?
Waiting periods typically start at 30 days, depending on your policy and insurer, before claims for certain illnesses are eligible.
Can I use the critical illness insurance payout for any purpose?
Yes, critical illness insurance benefits are paid as a lump sum, giving you the flexibility to use the funds however you see fit, whether for medical expenses, recovery costs, or daily living expenses.
Are pre-existing conditions covered by critical illness insurance?
No, most policies exclude pre-existing conditions. It’s important to review your policy details to understand what qualifies as a covered condition.
Can business owners purchase critical illness insurance for their employees?
Yes, critical illness insurance can be included in group benefits plans, offering employees financial protection in the event of a severe illness.
CONTACT US
Let’s Talk
Contact Info
125 COMMERCE VALLEY DR. W
Suite 802, Markham, Ontario
L3T 7W4
Suite 802, Markham, Ontario
L3T 7W4
