LIFE AND DISABILITY
CRITICAL ILLNESS INSURANCE
With today's advances in medicine, many people who suffer from a critical illness can expect to fully recover. Unfortunately, their financial security may be left in critical condition long after their bodies are healthy again.
Now there is a new type of insurance, which has been generating significant interest in Canada and offers a solution to keeping your finances healthy through your illness: critical illness insurance. This coverage, typically available from life insurance companies, has experienced phenomenal growth in Britain in recent years and is intended to provide cash to deal with a critical illness.
Critical illness insurance pays out when you are diagnosed with a qualifying illness, such as life threatening cancer, major organ transplant, multiple sclerosis, blindness, deafness, kidney failure, stroke or heart attack. This insurance pays a lump sum after as few as 30 days, regardless of earned income or employment status. These factors are unlike disability insurance, which pays a monthly percentage of earned income, only if you are unable to work. That means critical illness is ideal for homemakers or others who do not qualify for traditional disability insurance.
Don't get caught in the trap of being surprised by a critical illness and having to access your life insurance cash value or RRSP savings. Life insurance cash values usually need to be repaid with interest to maintain the insurance benefit, and withdrawals on RRSPs are taxed and unable to grow tax-sheltered for retirement. Safeguard against the financial impact of critical illness, with critical illness insurance.
© 2008, North Battleford Agencies