Critical illness insurance provides financial protection in case you are diagnosed with a serious illness or condition, such as cancer, heart attack, or stroke. It provides a one-time, lump-sum, tax-free payment.

Why get critical illness insurance?

Critical illness insurance is known as a living benefit. While a life insurance policy pays your beneficiary only after you have passed away, the critical illness benefit is paid to you when you suffer one of the covered critical illnesses or conditions in your policy. The payment can be used in any way you wish, such as for

• medical expenses
• income replacement
• travel expenses for treatment
• childcare
• mortgage payments and other loans
• treatment that may not be covered by provincial health insurance, such as private nursing, physical therapy, or medical equipment

What type of illnesses or conditions are covered?

The conditions and illnesses that are covered depend on the policy purchased.

Basic critical illness coverage usually includes:

• Cancer
• Heart attack
• Stroke

Enhanced critical illness policy coverage may include several other illnesses and conditions, including but not limited to:

• Acquired Brain Injury
• Aplastic Anemia
• Bacterial Meningitis
• Coma
• Coronary Artery Bypass Surgery
• Dementia, including Alzheimer’s Disease
• Heart Valve Replacement or Repair
• Kidney Failure
• Loss of Independent Existence
• Deafness
• Blindness
• Loss of Limbs
• Loss of Speech
• Major Organ Transplant
• Motor Neuron Disease
• Multiple Sclerosis
• Parkinson’s Disease
• Paralysis

When you buy critical illness insurance, you are required to make monthly payments, called premiums, over the course of your term length. The specific conditions covered vary by policy, as does the amount of the benefit, the term length, and the monthly premium amount.

For more information on life insurance, contact an insurance provider or visit canada.ca.

								
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