No Regrets Life Insurance

No Regrets Life Insurance
by Bruno Black


No Regrets Life Insurance

History

The History of Critical Illness Insurance or, as I like to call it, "No Regrets Life Insurance"

Today, Critical Illness Insurance has become one of the fastest selling products in the Canadian Life Insurance market and around the world. Critical Illness Insurance was the idea of Dr. Marius Barnard, the South African heart specialist. After seeing many of his patients suffer financially after recovering from a critical illness i.e. cancer, stroke or heart attack, Dr. Barnard saw the need for a life insurance product that would provide a financial benefit to individuals while they were still alive btereby protecting their financial resources. Critical Illness Insurance was first offered in South Africa in 1983 but was not available in Canada until 1996.

No Regrets Life Insurance - A Living Benefit

The unanticipated effect of a critical illness on a family can often be financially worse than those of death. According to recent statistics, the chances of a critical illness is much greater than death for individuals prior to reaching retirement age. Critical Illness Insurance is quite different than regular life insurance where you have to die and than someone else receives the insurance benefit. With Critical Illness Insurance, you receive a lump sum tax free benefit upon diagnosis of a critical illness such as cancer, stroke or heart attack.

In describing Critical Illness Insurance to my clients, I refer to it as "No Regrets Life Insurance" as it places the client in a win-win situation as the client can receive a benefit payment in three different ways. If the client is diagnosed with a life threatening illness, the selected benefit is paid out as a tax free lump sum; if the client dies, the beneficiary is paid a death benefit; if the client remains healthy for the life of the policy, the total premiums paid are returned. If after paying your car or home insurance for 25 or 30 years without incident you were to have the total premium payments returned, wouldn't you think that was a great deal? Wouldn't the lump sum premium payment be a great retirement bonus?

Today, it takes two working parents to meet the growing financial needs of a family. A decline in income could cause financial problems and a drop in the standard of living if one of the wage earners was to be diagnosed with a life threatening illness.

Over the years, we have bought a personal life insurance policy or have coverage from a work group plan. Having life insurance protects those we love and provides peace of mind that the family will be able to maintain their current standard of living should the main wage earner suffer an unanticipated life threatening illness or die. In reality, life insurance is death insurance. Someone must die before a benefit is paid. What would happen if you had a heart attack today? How much money would you receive from your life insurance policy? In most cases, nothing. While improvements in the health field can keep you alive longer, you have to die before your insurance pays out. What you need is an insurance that pays while you are alive - critical illness insurance that pays a "living benefit" should you become seriously ill.

Most people know someone who has been diagnosed with cancer, suffer a stroke or had a heart attack. How were they affected financially? Would a lump sum payment of $50,000 or $100,000 have allowed them receive a more timely treatment; pay the mortgage and other payments; allowed them to recover without worrying about having to return to work prematurely. If you were to be diagnosed with a life threatening illness tomorrow, how much insurance coverage would you need while you recovered?

Life is so busy for most of us that we don't take the time to reflect on what could happen if we became seriously ill. If you were diagnosed with a life threatening illness tomorrow, would your family have the financial resources to manage the costs related to your illnes and be able to maintain their current lifestyle? It can happen and it does happen to thousands of Canadians yearly. Financial security means you never risk losing the two most treasured items we all have: our home and our lifestyle. Now is the time to take stock and to consider the affect on your family if you were to be diagnosed with a seriously ill or die. Don't gamble that you will remain healthy when you can hedge your bets by taking out a Critical Illness Insurance policy.

Now is the time for action. The opportunity for you to purchase Critical Illness or, as I like to refer to it, "No Regrets Life Insurance". Take the first step to protecting your family's financial future by calling me now to set up an appointment.

If you live in Newfoundland & Labrdor and have questions or to arrange an appointment, contact me at terry.stapleton@lfs.ca or call 728-1463 or 895-3236.

Thank you for taking the time to learn more about "No Regrets Life Insurance"


About the Author
Life Insurance Professional