Critical illness insurance
It pays a lump sum on diagnosis, not on inability to work. That single difference is the whole point of it.
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What does critical illness insurance actually cover?
The money is yours to use however you like: covering a spouse's unpaid leave, private or out-of-province treatment, travel to a specialist, renovations, or simply the mortgage while you stop thinking about work. What matters when buying is the exact wording of each condition, not the length of the list. Early-stage cancers and mild heart attacks are defined differently between insurers, and that definition decides whether a claim pays in full, pays partially or pays nothing.
How is it different from disability insurance?
They also fail in different places. Disability cover will not pay for an illness you recover from quickly enough to keep working through, and it pays nothing extra for the costs a diagnosis brings. Critical illness pays nothing at all for a condition not on its list, and back injuries and mental health, two of the most common reasons people stop working, are usually not on it. If you can only afford one and you rely on your income, disability cover comes first. The full disability comparison is here.
What is return of premium?
Whether it is worth it depends on how you think about the money. It removes the feeling of paying for nothing, and for disciplined people who will keep the policy the full term it works out reasonably. But the extra premium is not invested on your behalf, so investing the difference elsewhere often ends up ahead, and cancelling early usually forfeits the benefit entirely. We show both numbers side by side rather than assuming.
Should I own it personally or through my corporation?
Corporate ownership generally fits where the need is the company's: covering a key person's absence, keeping the business trading, or funding a partner's temporary exit. Personal ownership fits where the need is your household's. Many incorporated clients end up with both, split deliberately, and the paperwork on who owns and who benefits has to be right at the start rather than fixed at claim time. The business owner view is here, and the corporate structure side here.
Is it worth it if I already have disability cover?
Critical illness fills that specific gap: it arrives early, in one amount, and covers the things income replacement does not, including a spouse taking unpaid leave and treatment not covered by the provincial plan. It is also the right answer for people whose income would continue anyway, such as a business owner with strong management in place, where the problem is not lost salary but everything else. If the combined premium crowds out saving, we would rather trim the cover than the plan. How the three types fit together.
What does a lump sum change at diagnosis?
A critical illness case study will be added here when the approved figures and story are ready.
See all case studiesPolicy details on this page are current as of September 2026. Contracts differ between insurers, and we review this page whenever they change.
What else should you know?
Is the benefit taxable?
A personally owned policy paid with after-tax dollars pays a tax-free lump sum. Corporate ownership is where it gets technical, because the company receives the money and getting it to you personally has tax consequences worth planning in advance.
How much cover should I buy?
Most people start from one to two years of household spending, enough to stop working without touching savings. Business owners often add the cost of covering their role in the company for a year on top of that.
Does a family history of illness stop me getting cover?
Not usually, though it can raise the price or lead to an exclusion on that specific condition. It is one of the reasons applying while you are well is cheaper and simpler than applying once something has been investigated.
What is the survival period?
Most policies require you to survive a set number of days after diagnosis, commonly 30, before the benefit is paid. It is standard across insurers, and the exact wording for each condition matters more than the headline list of conditions covered.
Can I have both critical illness and disability cover?
Yes, and for many people that combination is the right answer. They pay for different things, so holding both is not duplication as long as the total premium still fits the plan.
Would a diagnosis derail your plan?
Book a complimentary 20-minute assessment and we will work out what cover you actually need.