Critical information for your long term financial health
Through years of mindful planning, you have committed to saving for a long and healthy retirement. But are you as financially prepared for the likelihood of a critical illness?
An accident or deteriorated mental or physical abilities can have a devastating financial impact on you and your family. Your Investors Group Consultant can offer you an insurance product that can deliver financial security and personal peace of mind, regardless of what the future might bring.
Critical Illness insurance
- Each year approximately 410,000 Canadians will suffer a critical illness—and most will survive.
- Nearly one-half of home foreclosures are due to a critical illness.
"Critical illness insurance is neither life nor disability insurance, and it does not replace your medical coverage," says Murray Pituley, CA and Director, Advanced Financial Planning Support at Investors Group. "Rather, this relatively new product to Canada enhances medical insurance by providing you with peace of mind at a time when you need it most, and by providing options that would not otherwise be available to you."
For example, according to the Heart and Stroke Foundation of Canada, one in four Canadians will contract heart disease. But with tremendous strides in medical technology, you are far less likely to die and may even make a full recovery. The problem is that most people don't have the money to keep going until they can once again earn a living—and that's where critical illness insurance comes in.
The sooner the better
You might think that critical illness insurance is only for older people, but think again. Critical illness insurance is very popular in the United Kingdom where industry statistics reveal that the average age of claimants in the last three years was 41 years. One in four claimants was under the age of 35 years. So whatever your age, critical illness insurance is something to consider.
"Critical illness insurance pays a lump sum to the beneficiary on the medical conditions covered by the policy, when you are diagnosed with these conditions and you survive a certain number of days after diagnosis," advises Pituley. "There are no strings attached to the payout—once you qualify for the payout, you can get a cheque to use any way you wish: You can seek private treatment, pay debts, carry out required home renovations, keep your business running, get ready for the rest of your life—it's your call."
Critical illness insurance protects your body and your wallet. Take cancer treatment for example—The Canadian Cancer Society estimates that two-thirds of the cost of cancer treatments are indirect expenses not covered by provincial health plans. Depending on the coverage chosen, critical illness can include life-threatening cancer, heart attack, stroke, paralysis, multiple sclerosis, Parkinson's disease, Alzheimer's disease, kidney failure, burns, diabetes and many other ailments.
The benefits and terms of critical illness policies vary. Investors Group has relationships with some of Canada's leading insurers, and an Investors Group Consultant can prescribe the type and level of coverage that is best for you.
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This article, written and published by Investors Group Financial Services Inc.(in Québec, a Financial Services Firm), is presented as a general source of information only and is not intended as a solicitation to buy or sell investments, nor is it intended to provide professional advice including, without limitation, investment, financial, legal, accounting or tax advice. For more information on this topic or on any other investment or financial matters, please contact your Investors Group Consultant.
© Copyright 2010, Investors Group. All rights reserved. Do not reproduce without the express written consent of Investors Group.
