No one will have to be my policy -- My Critical Illness Story

Critical Illness Insurance is the greatest financial security innovation in insurance history. This product pays you a lump sum of tax-free cash when you need it most - like when you are diagnosed with a life-changing Critical Illness including life-threatening Cancer, Heart Attack and Stroke and some 19 other conditions.

 This innovative product originated in South Africa with Dr. Marius Barnard, brother and partner of heart transplant pioneer, Dr Christian Barnard. Marius observed that with the developments in medical science, like heart transplants, many patients were surviving serious illnesses, but their finances were not. They were living physically but dying financially. He believed there had to be another way and invented critical illness insurance to meet this new need.

The product came to Canada with Barnard in 1994 and in 1997, when I discovered it, I immediately bought $500,000 of coverage. I jumped at the chance for protection as I know too well the impact of critical illness in a family.

 At age 54, my dad had a major heart attack. I was only 9 years old. At the time, my mother was a stay-at-home-mom looking after my younger sister and me. Dad was in the hospital for months with his heart problem. Our lives were changed forever. Finances got tight. 

 My mom decided she had to take the financial pressure off my dad and go back to work as a teacher, despite having been away from it for 15 years. My mother became my dad’s “critical illness insurance”. She alleviated the financial pressure on him which allowed him to take early retirement 3 years later. It was a lesson I never forgot. I never wanted my wife to be my critical illness policy.

 Today, I have 2 critical illness policies: A $250,000 with a level cost to age 75 that returns my payments if I never get sick. The second covers me for $125,000 with my rate guaranteed for 10 years and then it increases. All in, I pay $600 per month for both policies.

 Six people I know have received tax-free cash from their critical illness policies. Three of those people bought their policies from me.

 Their tax-free benefits have been used to pay off a mortgage; cover unexpected medical costs; and help make up for their lost income due to their illness.

It has been a life saver.

And, no one had to be their Critical Illness policy either. I want that for everyone.