MOST PEOPLE ILL-PREPARED FOR CRITICAL ILLNESS

4 A recent nationwide study by the Washington National Institute for Wellness Solutions (IWS) found that only 10% of middle-class workers believe that they have enough savings to cover medical emergencies and the long-term cost of a critical illness.

Diseases such as cancer, heart disease, or Alzheimer's can be life-changing financially, as well as personally. Although most respondents said that, even with Medical and Disability Income insurance, they would need out-of-pocket funds to cover their expenses from a serious medical condition, they lack the savings to fall back on. Nearly half (45%) felt they would never recover financially from a battle with Alzheimer's or dementia; for cancer, the percentage is 38%.

Out of 1,001 survey participants between the ages of 30 and 66 and annual household incomes of $35,000 to $99,999, 75% have saved less than $20,000. Among these, half have less than $2,000 in savings - and one in four have no current savings.

One-fourth of respondents "did not know" what resources they would use to help offset their expenses, says IWS. Others would use credit cards (28%), loans from friends and family (23%) or financial institutions (19%) to help cover what insurance doesn't.

Washington National Insurance Co president Barbara Stewart advises employees to give themselves a reality check about the financial burden of critical illness. "Find out what your current insurance will - and will not - cover" says Stewart, "and then assess your overall financial health. Identify the gaps between the resources you would need and the options you have."

We'd recommend that you offer your employees Critical Illness coverage as a voluntary benefit that will provide an extra layer of financial protection when they face the challenge of a serious disease.
Need insurance for You, Your Family or Your Business?
We can match you to a qualified, local insurance expert!
Further Reading
No one wants to think about what would happen if they contracted a critical illness like cancer or had a major heart attack. However, critical illnesses affect millions of people every day. Take several steps today as you prepare financially for a cr...
A recent nationwide survey by Sun Life Financial, based on responses from more than 4,000 employees found that many workers fear the financial impact of a critical illness - especially cancer - even more than death. According to the study, "Well-P...
Despite the financial protection provided by Health insurance policies, most major illnesses will inevitably result in significant out-of-pocket costs. It's this fundamental element of Health insurance that has caused many employers to expand their v...
Medical advances keep us healthier. However, debilitating illnesses still affect thousands of people, and the costs of treating those illnesses cause many medical bankruptcies. With critical illness insurance, you may get the treatment you need, keep...
Critical Illness (CI) insurance appeals to people who want to ensure that their lifestyle, asset base, and business won't erode in the event of a critical illness. It's a natural complement to other insurance products in an employer's benefits packag...