Sun Critical Illness Insurance

Transcription

1 Sun Critical Illness Insurance PRODUCT FEATURE SHEET CRITICAL ILLNESS INSURANCE gives you a lump sum payment if you are diagnosed with and survive an illness covered by your plan. Having this extra measure of financial security helps give you the freedom to concentrate on what s most important your recovery. Life s brighter under the sun

2 Today more than ever, people are surviving illnesses that were once fatal. Your well-being and the well-being of your family or business depend on the strength of your financial plan. Adding critical illness insurance to your plan can help see you through such a life-changing event. Keep this handy summary sheet for a quick overview of available critical illness insurance coverage and benefits. The policy anniversary falls each year on the date your policy became effective. PLAN DETAILS Coverage Adult plans Available between ages 18 and 65. Available in coverage amounts from $25,000 to $2,500,000. Amounts over $2,000,000 have special requirements. Child plans Available between ages 30 days and 17 years. Available in coverage amounts from $25,000 to $1,000,000. Amounts over $250,000 have special requirements. Premiums are guaranteed to stay the same for the term of your policy. The insurance benefit is guaranteed provided you pay the required premium. Plan types 10-year term policy (T10) Provides coverage to the policy anniversary nearest your 75 th birthday. 1 Coverage automatically renews 2 at the end of each 10-year term, without having to re-qualify. To age 75 policy (T75) Provides coverage to the policy anniversary nearest your 75 th birthday. 1 There are two payment options: pay to age 75 pay for 15 years Lifetime policy (T100) Provides coverage for life and is paid up at the policy anniversary following your 100 th birthday with no further premiums due. 1 There are three payment options: Can be converted to a T75 or T100 plan without providing new medical evidence, up to the policy anniversary date nearest your 65 th birthday. pay to age nearest 100 pay for 15 years pay for 10 years 1 Unless you ve received a full payment, the policy is cancelled, or death occurs. 2 Subject to a new premium amount for each term, which is guaranteed at the time of initial purchase.

3 COVERED ILLNESSES Your policy defines the covered illnesses in detail and the necessary survival period after diagnosis. Refer to the Guide to definitions for an explanation of the covered illnesses, survival periods and exclusions. 25 covered illnesses full benefit Childhood illnesses and conditions full benefit Loss of independent existence full benefit Covered illnesses partial benefit We ll pay 100 per cent of your coverage amount if you re diagnosed with one of the following illnesses or conditions and survive the amount of time specified in your policy. Cancer Heart attack Stroke Coronary artery bypass surgery Acquired brain injury Alzheimer s disease Aortic surgery Aplastic anemia Bacterial meningitis Benign brain tumour Blindness Coma Deafness Heart valve replacement Kidney failure Loss of limbs Loss of speech Major organ failure on waiting list Major organ transplant Motor neuron disease Multiple sclerosis Occupational HIV infection Paralysis Parkinson s disease Severe burns When a benefit for a full illness is paid, the policy ends. Policies for children also cover the five childhood illnesses and conditions listed below until the insured child s 24 th birthday. Cerebral palsy Congenital heart disease Cystic fibrosis Muscular dystrophy Type 1 diabetes mellitus We ll pay 100 per cent of the coverage amount if the child is diagnosed with one of the childhood illnesses or conditions and survives the amount of time specified in the policy. When a benefit for a childhood illness or condition is paid, the policy ends. When included in your plan, you ll receive 100 per cent of your coverage amount if you re diagnosed with loss of independent existence and survive the amount of time specified in your policy. Coverage is optional for adult plans. Coverage is automatic for child plans. If the child is diagnosed with Loss of independent existence before the policy anniversary nearest their 18 th birthday, the claim may be submitted between the policy anniversary nearest their 18 th birthday and the policy anniversary nearest their 19 th birthday. When a benefit for Loss of independent existence is paid, the policy ends. Each of the following illnesses is eligible for a partial payment of 15 per cent of your coverage amount, up to a maximum of $50,000. You can claim once per illness. Cancer ductal carcinoma in situ of the breast Cancer stage A (T1a or T1b) prostate cancer Cancer stage 1A malignant melanoma Coronary angioplasty Once a payment for a partial critical illness is made, you cannot make another claim for that same illness. However, coverage continues for all full benefit illnesses and any partial illnesses for which a payment has not been made. The coverage amount will not be reduced by any partial payments that have already been made.

4 OPTIONAL BENEFITS Consider adding the following optional benefits to your plan: Long-term care conversion option The long-term care conversion option gives you the right to convert critical illness insurance to a long term care insurance policy that we make available. No evidence of insurability is required at the time of conversion. If you are between the ages of 18 and 50 when you apply for your critical illness policy, you can also apply for the long-term care conversion option if: you qualify and add Loss of independent existence to your plan, and you have applied for a lifetime payment critical illness plan and the policy is issued as applied for, without any ratings, modifications or exclusions. For child plans, you may apply to add this option between the policy anniversaries nearest their 18 th and 19 th birthday with evidence of insurability. The conversion can be made anytime between the policy anniversaries nearest your 60 th and 65 th birthdays. 3 The long term care insurance policy weekly benefit amount is calculated by dividing the critical illness insurance amount being converted by 200. The total amount of critical illness insurance benefit allowed to be converted under the long-term care conversion option is $250,000 per insured person (for a weekly benefit of $1,250). You may choose a long term care insurance policy with an unlimited benefit period at time of conversion. We will base premiums for the new long term care insurance policy on your age at the time you apply for conversion. Long term care insurance is designed to cover the cost of care over a lengthy period. It provides a benefit while the insured person is unable to care for themselves without someone else s help. For example, you may not be able to perform routine activities like bathing or dressing or you may experience a decline in mental ability, meaning you can t be left alone. Return of premium on cancellation or expiry benefit Adult plans 15-year option You can receive all returnable premiums if you cancel your policy once the policy has been in place for 15 years. Available for issue ages Age 65 option You can receive all returnable premiums if you cancel your policy on or after the policy anniversary nearest your 65 th birthday. Available for issue ages If the policy expires at age nearest 75 and no claim for a full covered illness has been made, you ll receive all of the returnable premiums. Child plans Option for plans that are paid for over the life of the policy: You receive an automatic return of 75 per cent of the returnable premium amount on the later of the 15 th policy anniversary or the policy anniversary nearest the child s 25 th birthday. Your policy does not end when this payment is made. You can receive the remaining returnable premium amount if you cancel your policy on or after the later of the 30 th policy anniversary or the policy anniversary nearest the child s 40 th birthday. Option for plans that are paid for over a limited period of time (10 or 15 years): You can receive all returnable premiums if the policy is cancelled on or after the policy anniversary nearest the child s 35 th birthday. If the policy expires at age nearest 75 and no claim for a full covered illness has been made, you ll receive the returnable premiums. Returnable premium is: The total of all premiums paid for your policy minus any unpaid premiums plus interest. If applicable to the policy, the returnable premium amount: does not include any premiums paid for the long-term care conversion option, and is reduced by any automatic return of premium amount we paid. The returnable premium is not reduced by any partial payments that have been made. 3 If premiums are being waived under a disability waiver benefit during the conversion period, you may convert your policy at the end of the period.

5 OPTIONAL BENEFITS (cont d) Return of premium on death benefit Disability waiver benefit OTHER INFORMATION Premiums Annual vs. monthly premiums If you die while your policy is in effect, and no claim for a full covered illness has been made, the returnable premiums are paid to your beneficiary. With the disability waiver benefit, your premiums will be waived if you become disabled and unable to earn an income for six months or more. You may add this benefit if you are between the ages of 18 and 55 when you purchase your plan. For premiums to be waived, the disability must occur before the policy anniversary nearest your 60 th birthday. If you pay for your plan over a limited period of time (10 or 15 years), the benefit ends when your premiums are no longer payable. Are the payments you make in exchange for your insurance policy. You can choose whether to pay your premiums annually by cheque or monthly by pre-authorized chequing. If you pay monthly, premiums are slightly higher to help cover the additional costs for processing monthly transactions. To calculate monthly premiums, we multiply the total annual premium by.09. For example, if the annual premium is $400, the monthly premium is $400 x.09, which equals $36. Tax and the critical illness insurance benefit There are no specific income tax laws for critical illness insurance. Based on current tax laws, we believe any cash benefits from critical illness insurance will not be taxed when the policy is owned by an individual. If the policy is owned by a corporation, different tax laws may apply. To learn how critical illness insurance benefits may be taxed in your situation, speak to your advisor or a tax professional. Interim or temporary insurance When you pay the first month s premium with your application, you may be eligible for up to $500,000 of temporary critical illness coverage. This can provide you with critical illness protection while we are considering your application. The terms, conditions and exclusions of that temporary insurance are set out in the certificate. The certificate also states when and under what conditions coverage under the certificate will end. If you don t pay at the time you apply and are not covered under a certificate of temporary insurance, then your coverage won t be effective until: your policy is delivered, you make your first payment, and (when required) you have given us sufficient evidence that there s been no change in your insurability between the time you applied for insurance and the time your policy is delivered. Change in insurability We may need you to provide us with evidence of any change in your health or insurability that takes place between the time you apply for insurance and the time your policy is delivered.

6 TIP You will be eligible to receive a returnable premium benefit at the time of conversion to a long term care insurance policy if: your policy includes the long-term care conversion option and a return of premium on cancellation/expiry option, and the policy has been in effect long enough for you to be eligible for a benefit under your return of premium on cancellation/expiry option. BEST DOCTORS SERVICES A VALUE-ADDED BENEFIT Critical illness insurance from Sun Life Financial automatically includes access to Best Doctors services an international physician network that can help you understand your medical condition and treatment options. When facing the uncertainty of a medical condition, Best Doctors provides a range of services to ensure you get the right information, the right diagnosis and the right treatment. Once insured, you, your spouse and dependent children can use this service while your insurance coverage is in place any time you suspect you have a medical condition. Best Doctors is a service we currently make available to you, but it s not part of the policy and may be altered or withdrawn at any time. TIP Loss of independent existence and long term care insurance both pay benefits if you are unable to care for yourself without someone else s help. But they differ in two important ways: Loss of independent existence benefits are paid if recovery is not expected. Long term care insurance benefits may be paid even if recovery is expected. Loss of independent existence benefits are paid in one lump sum; once paid, the policy ends. Long term care insurance benefits may have an unlimited benefit period to account for the possibility of lengthy care. Questions? We re here to help. Talk to an advisor about Sun Life Financial today! For more information and resources: Visit Call SUN-LIFE ( ) We re dedicated to helping you achieve lifetime financial security. All representations about the services of Best Doctors are those of Best Doctors, Inc. and not Sun Life Assurance Company of Canada. BEST DOCTORS and other trademarks shown are trademarks of Best Doctors, Inc. Used under license. This brochure does not form part of your policy. If there are any inconsistencies between the content of this brochure and your policy, the terms of your policy will apply. Sun Life Assurance Company of Canada is a member of the Sun Life Financial group of companies. Sun Life Assurance Company of Canada,