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