Critical Illness:

News from 2012

Limited-Pay Critical Illness Insurance

Canada is one of the few countries to offer age to 100 critical illness insurance. Critical illness policies in Canada have increased sharply in cost over the last few months. Back in August, LSM reported this steep increase in our article "Permanent Critical Illness Insurance Rates are on the Rise." The largest increases have been recorded among critical illness policies with longer premium guarantees. Some examples are critical illness Term to 75 or Term 100 plans, in which ...
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Transamerica life Canada Adds a New Critical Illness Rider

As reported in the September 2012 issue of The Insurance and Investment Journal, Transamerica Life Canadahas introduced a critical illness rider that can be added to all of its term and universal life insurance policies effective August 27, 2012. However, Transamerica is not offering the product as a standalone option — only as a rider. The rationale behind this choice was to keep the cost of the product down. By adding coverage on a rider-only basis, they save their policyholders an ...
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Permanent Critical Illness Insurance Rates are on the Rise

Critical Illness insurance coverage pays out a lump sum if the insured is diagnosed with a critical illness, and Canada remains one of the few countries in the world to offer critical illness permanent plans with guaranteed rates. The number of critical illnesses covered can range from three to 25. However, permanent critical illness policies have been heavily affected by historically low long-term interest rates. As a result, many insurers have removed these products from their lineup ...
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Canadian Critical Illness Comparison Chart

The Critical Illness marketplace in Canada is heating up. Since the first Canadian Critical Illness policy was sold in the mid-'90s, annualized new premium sales have steadily increased. Premium sales rose by 6 per cent to $103.8 million in 2011. The insurance industry sold 7 per cent more policies than it did in 2010 during this period, and insurers sold 100,775 individual Critical Illness policies in Canada last year, so it's clear that insurance companies are taking notice of the ...
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Comparing the Four Types of Living Benefits Insurance

Living benefits are health-related insurance plans. Living benefit insurance is very different from life insurance because it pays out if the insured develops a type of injury or illness. Living benefit insurance policies generally come in four distinct types: Disability Insurance, Critical Illness Insurance, Long-term Care Insurance, and Health and Dental Insurance. For your benefit, we've provided a summary of each coverage category. 1. Disability Insurance:This living benefit ...
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What Are My Options If I have Been Declined or Rated for a Critical Illness Policy?

The Edge Benefits provides a Guaranteed Issue Critical Illness plan. Guaranteed Issue means the policy requires no health questions and no medical tests. Guaranteed issue coverage is fairly common in life insurance, but it is very rare and difficult to find a carrier providing this type of critical illness protection. The policy is available to applicants diagnosed with a major illness, such as cancer, stroke, or heart disease. (more…)
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Desjardins Insurance Announces Rate Changes for its Permanent Products

Just like a spate of other insurance companies in these times of high interest rates, Desjardins Insurance is modifying its permanent insurance and critical illness insurance products. But, unlike many of their competitors, Desjardins is not getting rid of its permanent insurance line-up all together. Instead, the average increase in permanent insurance rates will be between 5% and 7% on the following products: (more…)
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Critical Illness Insurance: Shared Ownership

Critical illness insurance shared ownership plans are designed for business people who want to obtain critical illness coverage and maximize any potential tax benefits. The company must be a corporation with one or more shareholders and the company must have surplus cash that is not required to operate the business. The plan is essentially set up as follows: (more…)
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Critical Illness Insurance: Term to 100

Critical Illness insurance pays out a lump sum benefit if the insured is diagnosed with a critical illness and survives the usually 30-day waiting-period. Canada is one of the few countries in the world to still offer guaranteed critical illness insurance. There are a limited number of companies that offer a critical illness policy with a guaranteed premium until age 100. The following are the leading carriers of critical illness term to 100 coverage. The rates are accurate as of July ...
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RBC Insurance Drops a Number of Products from its Line-up

RBC Insurance has removed five living benefit plans and two life insurance plans from its product line-up, reports Investment Executive. The decision was apparently reached by RBC Insurance following an internal review of their processes, including its insurance portfolio, pricing, operations and distribution. Already eliminated, as of June 23, 2012, were the following living benefit plans: (more…)
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