Does Your Group Insurance Cover Critical Illness?

It’s ironic, but in our current age of medical advances due to the progressive nature of research and technology, people seem to take more notice of critical or life-threatening illnesses. We all know someone close to us who had to take time off work because of a debilitating disease. It can be an excruciating process, watching someone endure an illness or going through it yourself.  

In fact, one out of every four employees addresses a critical illness before the age of 65 (according to “Critical Illness Insurance: A Lump-Sum Review.” LIMRA’s Marketfacts Spring 2002v 2013 Canadian Cancer Society). Also, people suffering from thesecritical illnesses are much more likely to pull through within a six to twelve month period.  

I’ve seen co-workers and employers in full support of those dealing with a critical illness. I’ve seen people fighting as hard as they can to continue their employment through the treatment. But do you really want to battle your illness at the office? What if you’re simply unable to do so? What if your monthly disability benefit is not enough to support you during this difficult time? What if you don’t have disability coverage?

1. Unforeseen Circumstances 

These days companies that wish to attract industry-leading talent do so not only with competitive salaries and a rewarding place to work, but with comprehensive group benefits. The world is an expensive place, so employers look for any competitive edge they can find to bring in the best people possible. 

Dental care, glasses, extended health care, short and long term disability insurance – we’ve all worked for companies offering varying degrees of these common benefits. 

But what if a critical illness occurs? What if a spouse or partner takes unpaid leave to support the critical illness treatment and recovery? What if there are extra costs associated with the treatment and therapy? How do we handle these unforeseen costs and circumstances?

2. Cancer, Stroke, & Heart Disease

It’s probably not on the top of your list of questions to ask a new employer, but understanding the details of your employer’s critical illness coverage will not only put your mind at ease, it could save your family an incredible amount of grief should the unthinkable happen at some point during your tenure with that company. 

Critical illness insurance will help you and your family financially should you be physically unfit to work due to illness. Critical illness will pay a non-taxable lump-sum benefit to handle those additional unforeseen costs associated with the treatment period. This not only helps you keep your finances in order, it reduces stress while you tackle your illness by replacing lost income, paying for additional assistance at home, or even paying for potential new treatments. 

While cancer, stroke, and heart disease are three of the more common ailments covered by critical illness insurance coverage, there are more than 20 other conditions that fall under this umbrella. 

3. Supplemental Individual Coverage

One of the great things about the insurance industry in Canada is it can be tailored to suit individual needs. We work with plenty of clients who already have group benefits and insurance through their employer, but that doesn’t mean they’re covered completely. There could be a history of illness in an individual’s family that isn’t covered, or a particular circumstance that doesn’t fall within the employer’s standard benefits package.

Bank offered critical illness creditor protection does just that – it protects the creditor.  Certain mortgage payments may be covered, which reduces a family’s monthly costs, but only under limited circumstances and for limited periods of time.   Wouldn’t you rather be insured with a lump sum that can be used at your discretion rather than the bank’s?

Supplemental individual coverage is an option we’re seeing more and more Canadians take advantage of. An individual health plan is built with the individual as a blueprint, rather than the group. Sure, group benefits usually take care of your child’s braces or your spouse’s trip to the eye doctor, but it’s vital to protect yourself and your family now and in the future for things that might not be common enough for an employer to cover. 

Critical illness coverage, if it’s not already covered by your employer, is becoming a common element in individual supplemental coverage. 

Are you covered?

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This post was written by Marco Faccone