Why Cancer Insurance is Important

Because cancer affects so many people, it makes sense that the illness has its own type of insurance.

According to the Canadian Cancer Society, nearly 30 per cent of people die of cancer. This number only reflects the percentage of lives cancer claims, and doesn’t attest to how many people develop cancer and are able to beat it with costly treatments and medical care.

What is cancer insurance?

Cancer insurance is exactly what it sounds like: insurance meant to provide financial support to help mitigate the high expenses associated with cancer treatment – hospitalization, medication, homecare, and even rehabilitative or naturopathic services. Like most critical illness insurance, policyholders will be paid out their coverage in one lump sum that can be used without restriction. Since cancer not only affects the people afflicted with the disease, but also their spouses, children and loved ones, cancer insurance doesn’t necessarily have to be put towards medical bills, but can also be put towards paying the household bills or securing childcare and spousal support.

There is typically no waiting period for coverage either, as long as the policyholder isn’t
diagnosed with cancer in the first 90 days of the policy being active.

The good news

While nearly two out of 500 Canadians are diagnosed with some form of cancer every day, the chances of their survival have increased exponentially, as medical technologies further develop. In fact, currently, 62 per cent of cancer sufferers are expected to survive after five years.

When applying for cancer insurance, It’s important to consider how cancer my affect your financial needs in the long-term, as the costs of long-term cancer treatment and recovery need to be factored in.

Cancer insurance is also much easier to qualify for than many traditional critical illness insurance policies. For example, In order to qualify for cancer insurance under the IA Excellence’s Cancer Guard policy, applicants are only required to answer “no” to two questions in order to qualify for up to $25,000. The questions are as follows:

• Have you ever been diagnosed with AIDS or tested positive for HIV?

• Do you have, ever have had, or noticed the signs and symptoms of cancer for which you have not consulted your physician yet, or are waiting for a test or test results for any form of cancer or malignant tumour?

Traditional critical illness insurance places a much stricter emphasis on whether you smoke or not, as well as the health history of your family. The requirements associated with cancer insurance –your height, your weight – is also far stricter when it comes to traditional critical illness insurance.

A closer look at the coverage

While you may just be learning about cancer insurance for the first time, cancer insurance isn’t actually new to the insurance market. Approximately 50 years ago, cancer insurance was created by American insurance companies Aflac and American Heritage Life Insurance Company, to respond to the increasing demand from those affected by a cancer diagnosis.

The only drawback to cancer insurance is that not all cancer policies cover all forms of cancer. According to the IA Excellence’s Cancer Guard, the following cancers are excluded from coverage:

• Carcinoma in situ

• Some stages of malignant melanoma

• Any non-melanoma skin cancer that has not metastasized

• Stage A (T1a or T1b) prostate cancer

Other cancers, such as breast or prostate cancer, may be subject to additional charges.

Don’t overlook cancer insurance

Speak with a broker today about cancer insurance. You don’t want to wind up in the same situation as one woman, who told her story to the Globe and Mail.

Julie was diagnosed at age 23. The recent university grad thought her illness would be covered by Canada’s robust health care system. While, thankfully, her in-hospital care and her chemotherapy were covered, sadly, the medication she needed for her out-of-hospital care was not. Over a decade later, she is caner free, but still paying off the $26,000 of debt that resulted from her illness.

It’s easy to get a no medical life insurance policy that can provide you with between $25,000-$100,000 in coverage, depending on your personal situation and how many eligibility questions you need to answer on the application. Remember, it’s not just medication you must be concerned about. Loss of income from having to take time off work, childcare while you receive treatment, prior debt on top of your income interruption – being sick can get very expensive.

For just a few dollars a month, you can get cancer insurance so that if you are diagnosed, you have a tax free lump sum of money to help you financially so you can simply focus on your recovery. Don’t overlook this important piece of financial protection. Contact us today to learn more and to get a free cancer insurance quote.