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Get Affordable Disability Insurance & Critical Illness Rates.

Replace your income and protect your lifestyle if you get sick or hurt.

Disability Insurance vs. Critical Illness Insurance

Disability Insurance

  • Based on your income or salary. 
  • Need a job to qualify.
  • Can buy up to how much your income qualifies.
  • Paid as a monthly benefit taxable or tax-free.
  • Can claim multiple times.
  • Injury coverage mandatory, sickness optional.
  • Benefits paid from day one or after 90 days.

Critical Illness

  • Not based on income.  
  • Don't need a job to qualify.
  • Can buy maximum of $2 million coverage
  • Paid as a one-time tax free lumpsum.
  • Can only claim once.
  • Covers only for covered illnesses usually 25.
  • Benefit usually paid after 30 days of survival.

Conclusion:

It comes down to what you can afford not to lose when you become sick or hurt. If you can't lose your income for the next 5-30 years, then disability insurance is likely the best option. If you're not worried about future income and would prefer a cash lumpsum to help you recover from a major illness, then critical illness is suitable. Keep in mind critical illness will only pay you once and doesn't cover injury or accidents.


Ultimately, your budget will play a factor as well. You can buy unlimited amount of critical illness but with disability it will depend on what income you can justify and prove. Either way both are good options when you need them.

Income Replacement Long Term Disability Insurance Quotes

Disability Insurance Quotes For Anyone Looking To Protect Their Paycheque & Lifestyle.

  • Looking to top-up workplace disability or plan.
  • You make more than $75,000 a year.
  • Self-employed individual.
  • Buy-sell agreement for partners.
  • Commissions and bonus make part of your compensation.
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Individual Disability Insurance
  • Individual Disability Insurance
  • Business Overhead Expense Insurance
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Disability Insurance FAQ

How much does disability insurance cost?

You can expect to pay 1-4% of your current income or 2-6% of the monthly disability benefit amount you choose. Cheaper doesn't always mean better and the most important thing to pay attention to is policy definitions. In addition, your disability insurance cost depends on several factors including:

  • Policy definitions such as whether the policy considers you disabled if you can’t work in any occupation, or if you can’t work in your occupation?
  • Is your considered policy non-cancellable and guaranteed renewable, or can the insurance company raise the premium or cancel your policy at certain intervals like 5 years?
  • The financial strength ratings of the insurance company?
  • Your gender, smoking status, height, weight
  • Your financial information like bankruptcy
  • Your occupation and the risks you have to take outside of work such as skydiving etc.
  • Optional benefits added to the policy such as inflation protection or partial benefits
 

How does disability insurance work?

Disability insurance is like insurance for your ability to earn an income. It covers you if you can't work and earn an income if you get sick or hurt. You consult with your doctor and they recommend how long you need to be off and that will be the period you will get paid the benefit. Your benefit amount depends on your income and you need to be employed to be able to replace your income. You can claim multiple times if you get injured or sick multiple times over the life of your policy.

 

Why is disability insurance important?

In general, your ability to earn a living is your most important asset as if funds your lifestyle. Disability insurance provides you with a percentage replacement of your income if for some reason your income is cut down or stops immediately due to an illness or injury and you can't work for a while. It is a foundational insurance that holds up everything else.

 

What if I have disability insurance through work?

Any type of disability insurance you have in place is good as long as it will pay you when you need it. The challenge of workplace disability insurance is that it it before taxes when you get paid a benefit. So you typically end up with a 40% pay cut that will be taxed once you receive it. In addition, if you make over $100,000 a year you are covered up to a maximum for most group plans. Disability insurance at work is beneficial if you make a low income. If you make bonuses or commissions as a major part of your income, workplace disability insurance doesn't cover.

 

What is not covered by disability insurance?

It depends on the policy terms. Disability will typically cover you for an injury or accident as standard. You will have to add an option for illness or sickness coverage. If you had a pre-existing condition stated in the policy at application, you will not be covered for that and it's considered an exclusion. It's important to read the policy provisions to determine what is covered and what is not. Blue Alpha Wealth can walk you through and explain the policy provisions thoroughly. 

 

What are the type of disability insurance in Canada?

Two main types of disability insurance in Canada are short-term disability insurance and long-term disability insurance. Short-term disability insurance covers lost income for about three to four months while long-term disability insurance typically pays a portion of your lost income for anywhere from one year to your entire life. This is why it's important to buy your own long term disability insurance because after a while your workplace long term plan will stop paying and expect you to go back to work.

 

How do I compare different disability insurance policies?

You compare by looking at policy definitions such as definition for what is considered a disability and when and how they will pay. You also want to consider the financial strength and ability of the insurance company to pay. It's important to go through the contract language with an independent broker like Blue Alpha Wealth to ensure you get the right policy.

 

Are disability insurance benefits taxable?

In most cases if you buy a private individual disability insurance policy, your benefits are tax-free as you have used after-tax dollars to pay for your policy. If say for instance you get a policy through work, if your employer pays the premium you will be taxed on your benefits. If you pay the premium you won't be taxed. Always talk to your accountant for tax advice for your unique situation.

Can I buy disability insurance with no medical exam?

Yes you can. These are called guaranteed issue disability insurance policies. The drawback to these is that you will pay for the policy but at time of claim you will go through underwriting or medical exam to see if there is any issues. The insurance company can deny a claim if they find something or an issue wit your health that would cause them not to pay. It's always good to do medical underwriting prior to buying a policy so you know exactly what you're covered for.

 

What is an elimination or waiting period?

This is the time that passes before the insurance company starts paying you your monthly benefit. it's like a deductible of time. It makes the cost of your policy cheaper the longer you wait to receive benefits. You can have a 0 day, 15 day, 30 day or 90 day waiting or elimination period.

 

What waiting period should I choose?

It depends on how long you are able to go without an income and can tap into your savings. Most policies are priced to have the sweet spot as a 90-day elimination period. The premium doubles by decreasing the waiting period to 30 days.

 

What is a medical exclusion?

This is a case whereby you have a pre-existing condition and at time of application the insurance company approves your application on the condition that they don't cover the pre-existing condition if it's necessary not to. This exclusion could be temporary or permanent and if temporary the insurance company will let you know when the exclusion will come off and under what circumstances.

 

Can I still buy disability insurance if I have medical issues?

It depends on the insurance company and the type and severity of the medical problems. The insurance company has three options:

  • Charge you a higher premium for the policy
  • Exclude the condition from the policy
  • Decline insurance altogether

It's important to determine this prior to application in the event you want to take a dry-run before you apply.

 

Difference between individual disability and group disability insurance?

Group Long Term Disability Insurance

  • Benefits are taxable if your employer pays the premium
  • Benefits based on a percentage of base income. Bonus and commissions are typically not covered
  • Benefits typically reduced during a period of disability if you receive benefits from another source or work in a different occupation
  • More restrictive definitions within the policy (qualification for benefits may require you to be unable to work in ANY occupation)
  • No rate guarantees
  • Partial disability may not be covered
  • Policy can be changed or canceled by the insurance company or your employer at any time
  • Policy is connected to the employer and generally not portable

Individual Disability Insurance

  • You receive benefits tax-free if you pay the premium
  • Quality plans will cover you in your own occupation/specialty
  • More liberal definitions within the policy to pay you more money in more claims scenarios
  • Higher monthly benefits
  • Benefits can increase with inflation
  • Rate guarantees to age 65 or for a lifetime
  • You own the policy and can take it with you to a new job or occupation (portability)

Doctor & Dentist Disability Insurance Quote

Get Specialty-Specific Disability Insurance Rates With True Own-Occupation Policy Provisions.

  • Your coverage cannot be cancelled or changed unlike the Ontario Medical Association Plan.
  • Get better definitions and policy provisions.
  • Your rates don't increase as association plans.
  • Association plans means your rates are based on the health and claims or other group members.
Disability insurance for doctors in Ontario
Select Your Specialty
  • Select Your Specialty
  • Allergy
  • Allergy: Immunology
  • Anesthesiology
  • Anesthesiology: Pain Management
  • Anesthesiology: Pediatric
  • Cardiology: Electrophysiology
  • Cardiology: Invasive
  • Cardiology: Invasive-Interventional
  • Cardiology: Non-Invasive
  • Critical Care: Intensivist
  • CRNA
  • Dentistry: General
  • Dentistry: Endodontics
  • Dentistry: Pediatric
  • Dentistry: Prosthodontics
  • Dentistry: Periodontics
  • Dentistry: Orthodontics
  • Dermatology
  • Dermatology: Dermatopathology
  • Dermatology: Mohs Surgery
  • Emergency Medicine
  • Endocrinology/Metabolism
  • Family Medicine (with OB)
  • Family Medicine (without OB)
  • Family Medicine: Ambulatory Only (No Inpatient Work)
  • Family Medicine: Sports Medicine
  • Gastroenterology
  • Gastroenterology: Hepatology
  • Geriatrics
  • Hematology/Oncology
  • Hematology/Oncology: Oncology (Only)
  • Hospice/Palliative Care
  • Hospitalist: Family Medicine
  • Hospitalist: Internal Medicine
  • Hospitalist: IM-Pediatric
  • Hospitalist: OB/GYN
  • Hospitalist: Pediatric
  • Infectious Disease
  • Internal Medicine: General
  • Internal Medicine: Ambulatory Only (No Inpatient Work)
  • Internal Medicine: Pediatric
  • Neonatology
  • Nephrology
  • Neurology
  • Nurse
  • Nurse Practitioner
  • Obstetrics/Gynecology: General
  • OB/GYN: Gynecology (Only)
  • OB/GYN: Gynecological Oncology
  • OB/GYN: Maternal and Fetal Med
  • OB/GYN: Reproductive Endocrinology
  • OB/GYN: Urogynecology
  • Occupational Medicine
  • Ophthalmology
  • Ophthalmology: Corneal & Ref Surgery
  • Ophthalmology: Pediatric
  • Ophthalmology: Retina
  • Orthopedic (Nonsurgical)
  • Orthopedic Surgery: General
  • Orthopedic Surgery: Foot & Ankle
  • Orthopedic Surgery: Hand
  • Orthopedic Surgery: Hip & Joint
  • Orthopedic Surgery: Pediatric
  • Orthopedic Surgery: Spine
  • Orthopedic Surgery: Sports Medicine
  • Orthopedic Surgery: Trauma
  • Otolayrngology
  •  Otorhinolaryngology
  •  Otorhinolaryngology: Pediatric
  •  Pain Management: Nonanesthesia
  •  Pathology: Anatomic & Clinical
  •  Pathology: Anatomic
  •  Pathology: Clinical
  •  Pediatrics: General
  •  Pediatrics: Adolescent Medicine
  •  Pediatrics: Allergy/Immunology
  •  Pediatrics: Cardiology
  •  Pediatrics: Child Development
  •  Pediatrics: Critical Care/Intensivist
  •  Pediatrics: Emergency Medicine
  •  Pediatrics: Endocrinology
  •  Pediatrics: Gastroenterology
  •  Pediatrics: Genetics
  •  Pediatrics: Hematology/Oncology
  •  Pediatrics: Infectious Disease
  •  Pediatrics: Neonatal Medicine
  •  Pediatrics: Nephrology
  •  Pediatrics: Neurology
  •  Pediatrics: Pulmonology
  •  Pediatrics: Radiology
  •  Pediatrics: Urgent Care
  •  Pharmacist
  •  Physician Assistant
  •  Physiatry (Physical Medicine & Rehabilitation)
  •  Physical Therapy
  •  Podiatry: General
  •  Podiatry: Surgery-Foot & Ankle
  •  Psychiatry: General
  •  Psychiatry: Child & Adolescent
  •  Psychiatry: Geriatric
  •  Pulmonary Medicine: General
  •  Pulmonary Medicine: Critical Care
  •  Pulmonary Medicine: General & Critical Care
  •  Radiation Oncology
  •  Radiology: Interventional
  •  Radiology: Diagnostic
  •  Radiology: Neurological
  •  Radiology: Nuclear Medicine
  •  Rheumatology
  •  Sleep Medicine
  •  Surgery: General
  •  Surgery: Bariatric
  •  Surgery: Breast
  •  Surgery: Cardiovascular
  •  Surgery: Cardiovascular-Pediatric
  •  Surgery: Colon & Rectal
  •  Surgery: Neurological
  •  Surgery: Neurological-Pediatric
  •  Surgery: Oncology
  •  Surgery: Oral
  •  Surgery: Pediatric
  •  Surgery: Plastic & Reconstruction
  •  Surgery: Thoracic (Primary)
  •  Surgery: Transplant
  •  Surgery: Trauma
  •  Surgery: Vascular (Primary)
  •  Urgent Care
  •  Urology
  •  Urology - Pediatric
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Critical illness

Critical Illness Insurance

Critical Illness is A Tax-Free Lumpsum of Cash Paid Out To You If You Suffer & Survive A Covered Illness Like Cancer or Heart Attack.

  • Not based on your income or employment.
  • Buy as much as you can afford.
  • Buy up to $2 Million coverage. 25 illnesses covered.
  • No medical critical illness coverage available up to $50,000 if you've had a pre-existing condition.
  • Cancer and heart attack standalone insurance available at cheaper rates.
Critical illness quote