Critical Illness Insurance is a form of coverage that
is new to Canada. Other countries have had this type of
coverage for well over twenty years. Why didn’t we have
it sooner? Until now Canadian Insurance companies did
not see a need for this product in Canada. Probably it
had something to do with our incredible Canadian
Medicare program. No Company wants to offer something
that will not sell. The growth of Critical Illness
Insurance in England has been phenomenal. It is
happening in Canada now.
The first incidence of Critical Illness insurance in
Canada was about three or four years ago. It did not
catch on rapidly. Only one or two companies offered it.
The major companies got involved more recently. Agents
may not have learned about the product until their main
companies got involved. The public did not show much
interest initially.
Three years ago I mailed over eight hundred letters
and got only three replies. Two were from clients of
mine who said something like "I would buy this product
in a minute if I could, but I am uninsurable. Thank you,
Lyle, for the coverage I have now. I wish I had bought
more when you offered it!" The third reply resulted in
an application, but he had a medical condition that
excluded his getting coverage. We never submitted the
application. It would have been rejected.
What is Critical Illness?
Any illness that can cause a problem could be
considered critical in my opinion. The general
definition is any life
threatening illness
or condition.
The primary ones listed are
Heart attack, Cancer, Stroke, and Coronary Bypass
Surgery. There are at least seventeen other conditions
listed. In addition there are four non life-threatening
cancers that are partially covered. These may be
reviewed at the link below.
Dr. Marius Barnard, the brother of Dr. Christiaan
Barnard, famous for the first heart transplant, is
credited with the creation of the concept known as
Critical Illness Insurance. Dr. Marius observed that an
increasing number of patients survived most
life-threatening illnesses, but they often suffered
financially. He decided to do something about it, and
the coverage was created.
Lately, Dr. Barnard stated that some covered
conditions, such as Coronary Artery Bypass Surgery and
Angioplasty should not be covered. His reasoning was
that these operations are so straightforward and simple
today that such coverage was not needed. In his opinion,
this coverage added to the cost of the plan and it,
therefore, should not be offered. He went on to predict
that companies would stop offering it. Some sales
people have observed that people should get this
coverage while it is still
available.
Dr. Barnard also stated that companies would cease
offering a non cancelable product in order to offer a
less expensive plan. By non-cancelable we mean that
every aspect of the policy is guaranteed including
renewal premiums. A cancelable policy would mean that
the premiums at renewal would not be guaranteed. That is
another reason to buy the plan now before companies go
this route. In my experience with other products
companies will offer both plans. The non-cancelable plan
will be more expensive. If people begin to opt for the
less expensive version, the higher priced guaranteed
plan will fade away. It has happened with disability
income.
The purpose of this newsletter is the dissemination
of information. It is not an attempt at general advice.
Always consult a properly qualified agent for individual
advice. We cannot accept any responsibility for your
decisions based on this article. Some of this
information may not be appropriate for some individuals.
Please contact me for any assistance you may
require.
What can we do for you?
This is the second of our newsletters. Our plan is to
publish one every month. Each month we will provide
information on financial matters of general interest.
Whenever possible we will point you to articles or
information that may be valuable to our readers. This
month I had planned to do a newsletter about
Investing to Save on Taxes. Look for this next
month. I decided that information about Critical Illness
was more valuable at this time.
"Chimo Says" is strictly opt in. You must sign up
to receive it. You can do that by going to our Web
site at:
Visit our website to discover lots of useful
information.
Free articles and free e-books may be found on our
site.
Do your own private needs analysis, for retirement
planning, life insurance, disability income, and
critical illness.
Get a confidential quote. No one will even know
you were there unless you want someone to contact you.
We have associates all over North America, but
especially in Canada.
If you are from the USA and you want a quote
contact us and we will give you a source for your own
private calculations.
Humour Section:
Mom’s A woman named Emily
renewing her driver's license at the County Clerk's
office was asked by the woman recorder to state her
occupation. She hesitated, uncertain how to classify
herself. "What I mean is," explained the recorder, "do
you have a job, or are you just a…?
"Of course I have a job," snapped Emily. "I'm a
Mom."
"We don't list 'Mom' as an
occupation. Housewife covers it," said the recorder
emphatically.
I forgot all about her story until one day I
found myself in the same situation, this time at our
own Town Hall. The Clerk was obviously a career woman,
poised, efficient, and possessed of a high sounding
title like, "Official Interrogator" or "Town
Registrar."
"What is your occupation?" she
probed.
What made me say it, I do not know. The
words simply popped out. "I'm a Research Associate in
the field of Child Development and Human
Relations."
The clerk paused, ball point pen frozen in
mid air, and looked up as though she had not heard
right. I repeated the title slowly, emphasizing the most
significant words. Then I stared with wonder as my
pronouncement was written in bold, black ink on the
official questionnaire.
"Might I ask," said the
clerk with new interest, "Just what you do in your
field?"
Coolly, without any trace of fluster in my
voice, I heard myself reply, "I have a continuing
program of research, (what mother doesn't), in the
laboratory and in the field, (normally I would have said
indoors and out).
I'm working for my Masters (the
whole darned family), and already have four credits,
(all daughters). Of course, the job is one of the most
demanding in the humanities, (any mother care to
disagree?) And I often work 14 hours a day (24 hours is
more like it). But the job is more challenging than most
run-of-the-mill careers and the rewards are more of a
satisfaction rather than just money."
There was
an increasing note of respect in the clerk's voice as
she completed the form, stood up, and personally ushered
me to the door.
As I drove into our driveway,
buoyed up by my glamorous new career, I was greeted by
my lab assistants -- ages 13, 7, and 3. Upstairs I could
hear our new experimental model, (a 6 month old baby),
in the child-development program, testing out a new
vocal pattern.
I felt I had scored a beat on bureaucracy! And I had
gone on the official records as someone more
distinguished and indispensable to mankind than "Just
another Mom."
Motherhood...What a glorious
career! Especially when there's a title on the
door.
Does this make grandmothers "Senior
Research Associates in the field of Child Development
and Human Relations" and great grandmothers "Executive
Senior Research Associates?" I think so! I also think it
makes Aunts "Associate Research
Assistants".
Please send this to another Mom,
Grandmother, Aunt, and other friends you
know.
May your troubles be
less, your blessings more, and nothing but happiness,
come through your door! (An Old Irish Blessing)
~ Anonymous
Tip of the Month:
If you say or write
something which has an impact on people, your name will
live forever. ~ Anonymous
Opt-in Newsletter.
How to subscribe: If you have not subscribed but
would like to do so and receive your free Financial
PlanningStrategies article, go to
http://www.chimofinancial.com
This is an opt-in newsletter. If you received this
newsletter by mistake or if you do not wish to receive
future copies, please go to the link below.
Privacy
~ We respect the privacy of our subscribers and we
will never make our mailing list publicly available.
Input
We welcome your thoughts and ideas. Please contact us
with your impressions of this newsletter. Do you have
any ideas for future newsletters? Anything you would
like information about? If you know anyone who could
benefit from this newsletter or the information on our
website please forward it to him or her
