Do I Need Individual Critical Illness Insurance?

Posted by Douglas Hynek on April 17th, 2015

Do I Need Individual Critical Illness Insurance? We never expect to fall ill. But when a medical condition strikes, you don’t want to be caught without support.

The uncomfortable truth is that many of us will fall ill at some point in our lives, especially as we grow older. Taking just one illness as an example, according to the Canadian Cancer Society 45% of men and 41% of women are expected to develop cancer in their lifetimes.

If you do develop a serious illness, critical illness insurance can be a huge help during this difficult time in your life.

What Is Critical Illness Insurance?

Critical illness insurance provides a lump-sum, tax-free payment if you are diagnosed with a covered illness.

Depending on your eligibility, budget and preferences, you can choose coverage that includes only the most common ailments (like heart disease, stroke, or cancer), dozens of rarer ailments, or one of the many options in between.

You cannot buy critical illness insurance for a pre-existing condition; you must invest in coverage before you become sick.

What Are the Benefits of Critical Illness Coverage?

If critical illness coverage isn’t covered by your employer’s group benefits package, or if you are a small business owner or entrepreneur, investing in individual critical illness insurance can:

  • Help Reduce Stress: When you’re ill, the last thing you and your family needs to worry about is how to pay for treatment and maintain your lifestyle.
  • Ease the Financial Burden: You will be able to manage the extra costs of your illness that aren’t covered by government programs or your disability insurance (if you have it).
  • Provide Flexibility: You can use the critical illness insurance money cover lost income, pay for out-of-country treatment, modify your home to improve your quality of life, keep your business running, etc.
  • Come into Effect Quickly: Critical illness provides funds faster, usually after about 30 days from time of claim.
  • Protect Your Savings: You won’t have to dip into your savings – retirement savings, emergency savings, etc. – to fund your medical expenses or pay your bills.
  • Protect You after You Retire: If you purchase critical illness insurance on a permanent basis, you will have coverage even after you retire, unlike disability insurance which typically ends at age 65, or when you are no longer working.

Critical illness insurance helps you to remain financially stable and focus on your recovery from illness.

>> Hynek Financial Group can help you find the right individual critical illness insurance to meet your needs and your budget. Contact us now to get in touch with one of our experienced advisors.

About Douglas Hynek

Douglas Hynek, Principal Advisor at HFG, has over 10 years of experience in group and individual insurance design. He specializes in crafting and managing employee benefit and retirement strategies for small to mid-sized businesses, as well as financial and insurance planning for business owners and executives.

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