| Critical illness insurance had been a little | | | | known as life policies. This may sum up to 30 |
| slow to be known in Canada. More precisely, | | | | to 40 percent of women who may possess |
| it took around five years. However, the | | | | critical illness policies. One fact that |
| Canadian life industry believes that critical | | | | could explain this may be that many business |
| illness insurance may adopt a similar trend | | | | owners in Canada could be women. |
| where it had been a success, for example UK. | | | | |
| As a matter of fact, the boost in critical | | | | Moreover, when critical illness was initially |
| illness sales may be expected to occur | | | | introduced, it was a standalone plan. |
| imminently. | | | | Gradually, it was combined with disability |
| | | | and life insurance. Actually, insurers may be |
| Contrary to the UK, where probably most | | | | giving a new look to the critical illness |
| critical illness sales come from the Direct | | | | cover policy design. This may aim at giving |
| Sales Forces (DSF), in Canada, sales most | | | | more benefits to potential customers. They |
| likely come from the agency field force. The | | | | had chosen to accelerate the death benefit of |
| agency field force may comprise of brokers, | | | | a life policy upon diagnosis of a critical |
| associates and agents. Group critical illness | | | | illness. Other companies might also be |
| or employer sponsored critical illness may be | | | | choosing to give limited critical illness |
| becoming more popular than individual | | | | coverage on a guaranteed issue basis. |
| critical illness in Canada. Some critical | | | | Furthermore, Return of Premium (ROP) was |
| illness sales may have also been made through | | | | another tactic used by insurers in Canada. |
| the worksite marketing. As the Canadians | | | | Having this on a critical illness policy |
| become friendlier to critical illness | | | | meant competition with other companies as it |
| insurance, companies believe that sales may | | | | probably represented an advantage. |
| somehow be made by direct response programmes | | | | |
| in the future. Also, the internet could be | | | | Some companies had the ROP automatically |
| used to target possible customers as the | | | | integrated in their policies as a rider |
| Canadian Industry had started to become | | | | benefit. On the other hand, other companies |
| mature. | | | | refunded the premiums if the policyholder |
| | | | stayed in good health until the end of the |
| According to Munich Re, 2000, there had not | | | | policy. Other firms provided their customers |
| been a specific market for critical illness | | | | with the ROP on lapse benefit which refunded |
| sales in Canada. Policy holders may vary from | | | | the premiums upon ceasing the critical |
| young to old, males to females and small | | | | illness policy. Some people view this option |
| business owners to professionals. However, a | | | | as misleading as companies may be in fact |
| trend had been noted. People who earn more | | | | encouraging their policyholders to terminate |
| money tend to buy critical illness cover than | | | | their policy prematurely. |
| those who earn less. The reason behind may be | | | | |
| that critical illness policies could be quite | | | | The adoption of critical illness insurance |
| expensive. The high price of critical illness | | | | may have been slow to be adopted in Canada. |
| cover could be because the policy may stand | | | | But as awareness increases among people, it |
| for lifetime. Additionally, women have been | | | | could end up becoming as popular as in the |
| recorded to buy most critical illness | | | | UK. |
| policies than life insurance policies also | | | | |