Life, Disability, and Critical Illness Insurance

Basic life insurance coverage offers employees peace of mind in knowing that their family can be taken care of if they, or one of their dependents, should die.

Optional life insurance enables a plan member to leave something more for their loved ones, after they die. Spousal life insurance can be especially important for a dual-income family where both incomes are needed to meet and maintain the family’s obligations and lifestyle. Dependent life insurance can provide some financial help during a difficult time.

With both basic and optional life insurance, coverage can be based on multiples of an employee’s salary or a flat amount.

Employees can also purchase basic and optional Accidental Death & Dismemberment insurance for themselves and their dependents. This benefit offers coverage in the event of a death, loss of limb, or any other qualifying injury that results from an accident. Employees applying for this coverage are not required to submit evidence of insurability.

Long Term Disability insurance provides employees with income protection against disabilities resulting from a covered physical disease or injury. “LTD” insurance features flexible policy provisions that enable employers to customize their coverage choices.

Short duration disabilities are more common than long term disabilities and are costly to employers both in lost productivity and actual expenses, especially if an employer currently has a salary continuance plan for short-term absences. “STD” insurance offers an attractive way for employers to supplement their sick leave or statutory disability benefits programs and minimize the expense of continuing salaries while employees recuperate.

Medical advances have created an increased need for Critical Illness Insurance; more individuals are surviving life altering illnesses, such as cancer, stroke or heart attack. But these advances in modern medicine have come at a cost – the increased survival rate has strained the Canadian health care system. This, coupled with the fact that many people are naturally seeking extra services and non-traditional forms of treatment, has led to a dramatic rise in cost of care and thus increasing the need for additional coverage.

A key advantage to the employee is the potential portability of the coverage. An employee retiring at 60 would be faced extortionate premiums on an individual critical illness policy and the coverage may not even be available due to health issues. However, if the same employee was enrolled in a group critical illness plan the coverage may be portable and the rates would be based on the employee’s age at the time of enrollment.