Critical Illness Insurance
Critical illness is a stressful event for an individual and can disturb your financial balance manifold. Critical Illness Insurance can help you pay-off such financial overheads in life-altering illness.
Critical illness is a stressful event for an individual and can disturb your financial balance manifold. Critical Illness Insurance can help you pay-off such financial overheads in life-altering illness.
Critical illness is a stressful event for an individual and can disturb your financial balance manifold. Critical Illness Insurance can help you pay-off such financial overheads in life-altering illness. If you are insured under Critical Illness Insurance and the policy covers for the associated illness, you receive a lump-sum amount in cash to pay for the expenses. It can also be claimed under the circumstances where you have already paid for the expenses, the amount hence received can be used to recover the loss of income. Critical Illness covers for a variety of illnesses and accidents like: Heart Attacks, Strokes, Cancer, physical disabilities, Alzheimer’s disease, etc
You can use the lump sum for anything, including treatment or travel costs. Statistics say it all; anyone can face such life-changing event. Canada sees more than 108,000 strokes a year (Heart & Stroke Foundation), and about 254,100 new cancer cases are expected in 2026, close to 4,900 a week (Canadian Cancer Society). A serious illness can happen to anyone, at any age.
While you choose a policy you should know the various diseases it covers for. Basic plans usually cover the core illnesses below; comprehensive plans can cover 25 or more conditions. Definitions vary by insurer:
There are various other diseases covered under the Critical Illness insurance but it depends on the policy you purchase. Other diseases that can be treated under critical illness are:
You can select a policy for a specific term based on your financial goals and family needs. Term options include 10, 20, 65, 75, and 100 years. Typically, coverage is available up to age 75, offering financial protection during your most important years. Term plans are affordable and easy to manage, making them a preferred choice for many.
This option allows you to receive back the premiums paid if no claim is made during the policy term. It offers peace of mind knowing your money is not lost. However, in case of a partial refund, your sum assured will be reduced. This feature is generally offered for policies with longer terms such as Term 65 and above.
In some cases, if the insured dies during the waiting period from an uncovered illness, the premiums may be refunded to the beneficiary. This ensures some financial return even without a claim. Certain plans also return a portion of the premium if the policy reaches maturity without being used, adding a safety net.
Even if you fully recover from the diagnosed illness, you will still receive the full payout as per the policy terms. This benefit is applicable only after fulfilling the waiting period. It provides complete financial support for recovery and beyond, helping you manage expenses during and after treatment.
Receive a lump-sum payment (tax-free for personally owned policies) you can use for anything: treatment, recovery costs, mortgage payments or replacing lost income.
Once your claim is approved and the survival period has passed (often 30 days after diagnosis), the insurer pays a lump sum, tax-free for personally owned policies, to support your immediate financial needs.
Helps cover hospital expenses, medical treatments, and living costs so you can focus on your recovery instead of financial stress.
Maintain your lifestyle and property while recovering. This plan ensures financial stability for you and your family during tough times.
Gain access to advanced medical care and treatments that may not be covered under standard health insurance plans.
Most plans cover the "big three": cancer, heart attack and stroke. Broader plans cover 25 or more conditions, such as kidney failure, major organ transplant, multiple sclerosis, Parkinson's disease, paralysis, blindness and coronary artery bypass surgery. Definitions differ by insurer, so compare what is covered, not just the price.
A common guideline is enough to cover 1 to 2 years of income, or about $25,000 to $100,000 or more, depending on your savings, debts, and whether you have disability insurance. Think about lost income, treatment and travel costs, and time off for a family member.
The price depends on your age, coverage amount, smoking status, health, term length and the number of illnesses covered, and every insurer sets its own price. Younger, healthy non-smokers pay the least. Get a personal quote to see your real price; we compare plans from 20+ insurers.
Term critical illness (for example 10 or 20 years, or to age 65 or 75) costs less and suits people who mainly need protection during their working and mortgage years. Permanent critical illness lasts for life with level premiums, so it costs more but protects you as you age. Many policies can be converted from term to permanent without new medical questions.
Most critical illness policies require you to survive a set period after diagnosis, usually 30 days, before the lump sum is paid. The exact period and definitions vary by insurer and illness.
Return of premium is an optional rider that refunds some or all of the premiums you paid if you never make a claim, or if you cancel after a set number of years. It increases the cost but can make the policy feel like a savings plan if you stay healthy.
Often yes. Insurers may still offer coverage but exclude the pre-existing condition, charge a higher premium, or offer a simplified-issue plan with fewer illnesses covered. Answer the health questions honestly so the policy holds up when you need it. We compare insurers to find the best option for your health history.
Yes. Child critical illness plans cover childhood illnesses such as cancer, type 1 diabetes and some congenital conditions. They are usually affordable and can often be converted to adult coverage later without new medical questions.
Yes, and many people do. Critical illness insurance pays a one-time tax-free lump sum if you are diagnosed with a covered illness. Disability insurance pays a monthly income if illness or injury stops you from working. Together they protect your savings and your income. Check your disability policy to see whether it reduces benefits because of other coverage.
No. For personally owned policies, the critical illness lump-sum benefit is paid tax-free in Canada, and you can use it any way you choose, such as replacing income, paying the mortgage or covering treatment costs.
Claims are handled directly by your insurance company. Contact the claims department listed on your policy to get the claim forms. Submission deadlines vary by insurer, so check your policy and contact the insurer as soon as possible after a diagnosis.