Welcome to your guide on non-medical life insurance and cancer. This page will give you a good understanding of this topic and will inform you of savings opportunities while providing a number of other useful tips based on our publications. We will also help you to ind best life insurance quotes across more than 20 top Canadian insurers.
As the name suggests, non-medical life insurance assumes no medical test when issuing a policy, as opposed to a traditional policy where medical tests (blood test, blood pressure, etc.) are required. Some types of non-medical life insurance do not require the completion of a health questionnaire either, thus, non-medical life insurance is often a good choice if you’ve been diagnosed with cancer (though it is typically more expensive than traditional life insurance) or plan to get a life insurance policy after cancer.
It is important to mention here that if you were diagnosed with cancer, you can still qualify for a traditional life insurance policy. Insurers will look at the type of cancer, its stage and its advancement when considering your eligibility. The earlier it is diagnosed, the better. An experienced broker will know what insurance providers are most likely to offer coverage in these cases, and what should be done (submission of a cover letter together with your application) to increase your chances of a favourable policy issue decision.
Types of Non-Medical Life Insurance to Consider
There are basically two types of non-medical life insurance that might be available if you’ve been diagnosed with cancer:
1. Simplified Issue Life Insurance: This policy requires no medical exam but still has a number of health-related questions you’ll have to answer. Typically, the longer the health questionnaire, the lower the insurance premiums will be. A typical policy limit is $150,000, and if you were denied life insurance in the past 2 years, this policy might not be available for you.
2. Guaranteed issue life insurance: This policy has neither a medical exam, nor health-questionnaire to complete. It is available to you even if you were declined for a policy during the last 2 years. Typically the coverage (face value) will be limited to $25,000 and there are a few limitations in terms of payouts (in case an insured dies within the first 2 years).
How Can You Save on Non-Medical Life Insurance?
- Member of something? Some insurers reward it: Are you a member of a professional organization (e.g. Certified Management Accountants of Canada or The Air Canada Pilots Association)? Then some insurance companies will offer you a discount.
- Alumni: Graduates from certain Canadian universities (e.g York University) might be eligible for a discount at certain Insurance providers.
- Annual vs. monthly payments: In comparison to monthly payments, annual payments save insurers administrative costs (e.g. sending bills) and therefore they may reward you with lower premiums.
- Avoid insurance agents: Insurance agent is not equal to insurance broker. Agents typically work for one company only and can offer only products of this company. That does not leave too many options.
- Other tips: Contacting an experienced, licensed broker (see a button below) will help you to find other ways to reduce insurance premiums of your life insurance premiums. Discussion with broker is entirely free and there is absolutely no obligations to buy.