Advances in medicine are helping Canadians to live longer. But as the population ages and health costs soar, we are paying for more medical expenses out of our own pockets.  This trend will continue as private facilities such as MRI clinics become more common.

An acute or chronic illness can affect your ability to earn income and can incure major expenses for treatment, rehabilitiation, and ongoing care.  If you or your spouse should become ill, this could also place a heavy burden on teh healthy spouse in terms of caregiving, child care, and housekeeping respoinsibilities. 

To meet your family's health protection needs at different stages of life, you may need disability, critical care, and long-term care insurance.

Replace lost income.   The purpose of disability insurance is to replace income during your working years, if illness or injury prevents you from earning enough to support yourself and your family.  disability insurance pays a montly benefit, up to a certain percentage of your income.

The quality of income protectin you receive varies considerably, depending on the type of policy and its definition of disability.  Many group disability plans provide benefits for only two years.  An individual disability policy can often replace a higher percentage of your income than a group disability plan, and also protect your income to age 65.

Remember however, that replacing lost income is only part of the picture.  Your disability benefits may not provide enough to cover major medical or caregiving expenses.

Cover the costs of a serious illness.  Critical illness (CI) insurance complements disability coverage by providing a single lump-sum benefit, ranging from $25,000 to $2 million, to cover costs associated with a serious illness covered by the policy, such as a heart attachk or life-threatening cancer.  Payment of the benefit isn't affected by your ability to work, and a CI policy can provide protection for a spouse who has no income or disability coverage. 

You can youse CI insurance proceeds for any purpose you wish.  The money gives you more options in terms of obtaining quality medical treatement as quickly as possible.  CI benefits can also be used to cover prescription drugs, home alterations, and the services of professional caregivers. 

Build long-term care into your retirement plan.  Quality caregivers, programs, and services in a comfortable environment can help people with a chronic illness or cognitive impairment enjoy a better quality of life.  But the best care, in a long-term care facility or at home, is expensive.

Long-term care insurance can make the type of care that you would choose for yourself or your spouse more affordable.  You can buy long-term care coverage, with home health care benefits, between the ages of 0 and 80.  The right coverage will allow you to choose the mose appropriate type of care, without depleting your savings or estate assets.

Professional advice can help you and your spouse design a comprehensive program to make quality care affordable.