Critical Illness Insurance
Critical illness insurance pays a lump sum to you if you suffer a specific illness and survive. This money can help to pay for many things including medical expenses, home health care, home modifications, or other therapies or medications. Note that some employers may also offer Critical Illness Insurance as an employee benefit.
You should take a close look at the details of any policy you are considering. Some things to look for include:
- A clear definition of what an illness or accident is and which ones are covered by the policy. For example, policies may cover certain types of illnesses and not others. You don’t want to pay for coverage and then find out that many illnesses are excluded.
- Check to see how long it takes to get paid. Many policies will pay benefits 30 days after the illness starts.
Long-Term Care Insurance
The purpose of long-term care insurance is to help pay the costs of care either in a nursing home or at home. It can give families options when choosing what type of care is needed or where that care will be provided.
If a care receiver has long-term care insurance, it can offer additional options and resources for the caregiver. In Canada, this insurance is relatively new. You should take a close look at the details of any policy you are considering.
Ask your financial advisor or an insurance agent for more information. Some employers may also offer Long-Term Care Insurance as an employee benefit.
Additional financial support is available through a variety of federal, provincial, and territorial income tax deductions and credits. These tax credits are worth a close look if you are a caregiver or someone who is receiving care. Reducing federal and provincial income taxes can help relieve some of the financial pressure associated with providing care.
Tax Information for Caregivers
As a caregiver, you may be eligible for the following tax credits and benefits:
- Caregiver amount
- Infirm dependant amount
- Eligible dependant amount
- Child disability benefit
- Disability tax credit supplement for children
Tax Information for Special Groups
There is information for special groups of individuals, including amounts you may be able to transfer from the person you provide care to. Please see the following sections for more information:
Provincial Tax Credits
Make sure you check for provincial and territorial income tax and benefits for caregivers during this tax season. The following information provides links to provincial and is related to recent changes in provincial tax credits and allowances for caregivers:
- Manitoba Primary Caregiver Tax Credit
- Quebec Tax Credits for Informal Caregivers
- Nova Scotia Caregiver Benefit
Adapted from: Healthy Balance Program, Caregiver’s Handbook: A helping hand for friends and family giving care in Nova Scotia, 2007.