Critical Illness Insurance Because saving your life  shouldn’t cost your life savings
Peter G Langelier Langelier Insurance Dr. Howard Rocket,   DDS
Despite Your Best Efforts . . . You may face a gap in your financial security Death Lost Wages Long-term Care Health Costs...
What really happens  in a health crisis? <ul><li>Medical care </li></ul><ul><ul><li>Co-pays </li></ul></ul><ul><ul><li>Ded...
What really happens  in a health crisis? <ul><li>Economic Impact </li></ul><ul><ul><li>Lost wages </li></ul></ul><ul><ul><...
What really happens  in a health crisis? <ul><li>Rehabilitation </li></ul><ul><ul><li>Long-term care </li></ul></ul><ul><u...
What really happens  in a health crisis? <ul><li>Almost half of all consumer bankruptcies are due to medical expenses* </l...
The High Cost of Getting Sick <ul><li>Average cost of a cancer diagnosis: $146,000 per patient* </li></ul><ul><li>Over 65%...
<ul><li>Each year, about 5.5 million sufferers will survive a stroke, but many will have permanent disabilities* </li></ul...
Risk of Illness and Disability <ul><li>Of the 15.8 million Americans who will suffer a heart attack this year . . .  70 pe...
<ul><li>Of the 1.5 million Americans who will be diagnosed with cancer this year . . .  60 percent will live at least five...
<ul><li>Each year, over 25 million Americans survive a heart attack, stroke, or cancer. </li></ul>Risk of Illness and Disa...
A Real Case Study <ul><li>Dr. Howard Rocket </li></ul><ul><li>Author, “A Stroke of Luck” </li></ul>
Where I went wrong . . . <ul><li>Cancelled my disability income insurance . . .  A $2.8 million blunder. </li></ul><ul><li...
Dr. Rocket: Stroke Case Study Incurred Expenses for the Period of October  27, 1995 to April 2007 Description Amount <ul><...
Dr. Rocket: Stroke Case Study Incurred Expenses for the Period of October  27, 1995 to April 2007 Description Amount <ul><...
Dr. Rocket: Stroke Case Study Incurred Expenses for the Period of October  27, 1995 to April 2007 Description Amount Total...
Toward the Future <ul><li>With advancements in health care, more patients will survive . . . And associated costs will go ...
What’s the Solution? <ul><li>“ Net Worth Reduction Plan” </li></ul><ul><ul><li>Deplete your savings and deplete your retir...
A Better Solution . . . <ul><li>Critical Illness Insurance </li></ul><ul><li>Created 20 years ago by  Dr. Marius Barnard: ...
Long available abroad: <ul><li>South Africa </li></ul><ul><li>United Kingdom </li></ul><ul><li>Canada </li></ul><ul><li>Au...
What Critical Illness Insurance Does <ul><li>Immediate pay-out upon confirmed diagnosis of a covered condition </li></ul><...
Do You Feel Lucky? <ul><li>Out of every ten people  who reach age 65 . . . </li></ul><ul><li>At least 7 will have experien...
Paying for Your Illness For every dollar spent, you’ll need to earn:  Self-insurance $ 1.35 Debt $ 1.75 Liquidate assets $...
So what will it be? <ul><li>Net-worth reduction </li></ul><ul><li>OR </li></ul><ul><li>Critical Illness Insurance </li></ul>
Peace of mind . . . <ul><li>Nothing can make a health crisis easy . . . </li></ul><ul><li>But critical illness insurance c...
Because saving your life  shouldn’t cost your life savings Life Insurance Disability Insurance Long-term Care Insurance He...
Questions?
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Critical Illness Insurance

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What is Critical Illness Insurance and how can it help you

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Critical Illness Insurance

  1. 1. Critical Illness Insurance Because saving your life shouldn’t cost your life savings
  2. 2. Peter G Langelier Langelier Insurance Dr. Howard Rocket, DDS
  3. 3. Despite Your Best Efforts . . . You may face a gap in your financial security Death Lost Wages Long-term Care Health Costs Uncovered Expenses
  4. 4. What really happens in a health crisis? <ul><li>Medical care </li></ul><ul><ul><li>Co-pays </li></ul></ul><ul><ul><li>Deductibles </li></ul></ul><ul><ul><li>Uncovered expenses </li></ul></ul><ul><ul><li>Experimental drugs or treatments </li></ul></ul>
  5. 5. What really happens in a health crisis? <ul><li>Economic Impact </li></ul><ul><ul><li>Lost wages </li></ul></ul><ul><ul><li>Routine expenses </li></ul></ul><ul><ul><li>Additional household expenses </li></ul></ul><ul><ul><li>Unmet financial goals </li></ul></ul>
  6. 6. What really happens in a health crisis? <ul><li>Rehabilitation </li></ul><ul><ul><li>Long-term care </li></ul></ul><ul><ul><li>Physical therapy </li></ul></ul><ul><ul><li>Psychotherapy </li></ul></ul><ul><ul><li>Occupational therapy </li></ul></ul><ul><ul><li>Home remodeling </li></ul></ul><ul><ul><li>Personal help </li></ul></ul><ul><ul><li>Adaptive equipment </li></ul></ul>
  7. 7. What really happens in a health crisis? <ul><li>Almost half of all consumer bankruptcies are due to medical expenses* </li></ul><ul><li>75 percent of those bankruptcies occurred even though the consumers had health insurance coverage!* </li></ul>*Harvard Law School, 2005.
  8. 8. The High Cost of Getting Sick <ul><li>Average cost of a cancer diagnosis: $146,000 per patient* </li></ul><ul><li>Over 65% of cancer related expenses are indirect, and not covered by traditional insurance.* </li></ul>*American Cancer Society, Cancer Facts & Figures, 2005
  9. 9. <ul><li>Each year, about 5.5 million sufferers will survive a stroke, but many will have permanent disabilities* </li></ul>Risk of Illness and Disability *American Heart Association, Heart Disease and Stroke Statistics 2007 Update
  10. 10. Risk of Illness and Disability <ul><li>Of the 15.8 million Americans who will suffer a heart attack this year . . . 70 percent will survive* </li></ul>*American Heart Association, Heart Disease and Stroke Statistics 2007 Update
  11. 11. <ul><li>Of the 1.5 million Americans who will be diagnosed with cancer this year . . . 60 percent will live at least five more years.* </li></ul>Risk of Illness and Disability *American Cancer Society, Cancer Facts & Figures, 2005
  12. 12. <ul><li>Each year, over 25 million Americans survive a heart attack, stroke, or cancer. </li></ul>Risk of Illness and Disability *American Heart Association, “Heart Disease and Stroke Statistics,” 2007; American Cancer Society, “Facts and Figures 2007.”
  13. 13. A Real Case Study <ul><li>Dr. Howard Rocket </li></ul><ul><li>Author, “A Stroke of Luck” </li></ul>
  14. 14. Where I went wrong . . . <ul><li>Cancelled my disability income insurance . . . A $2.8 million blunder. </li></ul><ul><li>Didn’t have Critical Illness Insurance . . . A $710,000 mistake. </li></ul><ul><li>Total net wealth reduction to date: $3.5 million and counting </li></ul>
  15. 15. Dr. Rocket: Stroke Case Study Incurred Expenses for the Period of October 27, 1995 to April 2007 Description Amount <ul><li>Renovations and Alterations to Home </li></ul><ul><li>Hospital Bed </li></ul><ul><li>Wheelchair </li></ul><ul><li>Cane </li></ul><ul><li>Customized Ramp </li></ul><ul><li>Alterations to Shower </li></ul><ul><li>Transfer Bench </li></ul><ul><li>Wall Grab Bar </li></ul><ul><li>Toilet (raised) </li></ul><ul><li>Dining/Kitchen Tables (raised to accommodate wheelchair) </li></ul><ul><li>Entrances to Rooms (widened to accommodate wheelchair) </li></ul><ul><li>AFO (Swedish-made leg brace: $1,500 plus additional AFO at $500) </li></ul>$180,000 <ul><li>Transportation and Vehicle Modifications </li></ul><ul><li>Taxi ($30/day for 18 months) </li></ul><ul><li>Driver and car (50,000/year plus cost of larger vehicle for 36 months) </li></ul><ul><li>Canes story and WheelTrans vs. own van - TYPE A personality </li></ul>$ 8,100 $290,000
  16. 16. Dr. Rocket: Stroke Case Study Incurred Expenses for the Period of October 27, 1995 to April 2007 Description Amount <ul><li>Medical Necessities </li></ul><ul><li>Prescriptions (ongoing and possibly increasing for the rest of his life </li></ul><ul><li>Dental (on going work estimated at $30,000) </li></ul><ul><li>Glasses </li></ul>$195,000 <ul><li>Incidentals </li></ul><ul><li>Family Meals at Hospital </li></ul><ul><li>Hospital Parking </li></ul>$2,500 $2,500 <ul><li>Post-Stroke Costs </li></ul><ul><li>Post-stroke ongoing costs – miscellaneous items </li></ul><ul><li>Dental costs – explain reason </li></ul>$32,000
  17. 17. Dr. Rocket: Stroke Case Study Incurred Expenses for the Period of October 27, 1995 to April 2007 Description Amount Total Incurred Expenses $710,000 Loss of Earned Income 9 years (20k per month x 9 yrs) $2,800,000 Earned Active Income (Pre-accident earnings – average 30k/month) $ 0 Total Economic Loss NET WORTH REDUCTION $3,510,100
  18. 18. Toward the Future <ul><li>With advancements in health care, more patients will survive . . . And associated costs will go up. </li></ul>
  19. 19. What’s the Solution? <ul><li>“ Net Worth Reduction Plan” </li></ul><ul><ul><li>Deplete your savings and deplete your retirement accounts </li></ul></ul><ul><ul><li>Liquidate your estate </li></ul></ul><ul><ul><li>Go into debt </li></ul></ul><ul><ul><li>Bankrupt your family </li></ul></ul><ul><ul><li>Go without necessary treatment or care </li></ul></ul>
  20. 20. A Better Solution . . . <ul><li>Critical Illness Insurance </li></ul><ul><li>Created 20 years ago by Dr. Marius Barnard: </li></ul><ul><ul><li>“ Medical science can save lives, but it can't salvage lost bank balances. In other words, we'll keep you alive, but we won't provide the money to support you.” </li></ul></ul>
  21. 21. Long available abroad: <ul><li>South Africa </li></ul><ul><li>United Kingdom </li></ul><ul><li>Canada </li></ul><ul><li>Australia </li></ul><ul><li>Japan </li></ul><ul><li>Now . . . the United States </li></ul>
  22. 22. What Critical Illness Insurance Does <ul><li>Immediate pay-out upon confirmed diagnosis of a covered condition </li></ul><ul><li>Absolutely no restriction on how funds used </li></ul><ul><li>No impact on other benefits, such as health insurance, Medicare, etc. </li></ul><ul><li>Benefits are income-tax free. </li></ul>
  23. 23. Do You Feel Lucky? <ul><li>Out of every ten people who reach age 65 . . . </li></ul><ul><li>At least 7 will have experienced stroke, cancer, heart attack or some other covered condition. </li></ul>
  24. 24. Paying for Your Illness For every dollar spent, you’ll need to earn: Self-insurance $ 1.35 Debt $ 1.75 Liquidate assets $ 2.00 Critical illness insurance $0.20
  25. 25. So what will it be? <ul><li>Net-worth reduction </li></ul><ul><li>OR </li></ul><ul><li>Critical Illness Insurance </li></ul>
  26. 26. Peace of mind . . . <ul><li>Nothing can make a health crisis easy . . . </li></ul><ul><li>But critical illness insurance can ease the way to recovery. </li></ul>
  27. 27. Because saving your life shouldn’t cost your life savings Life Insurance Disability Insurance Long-term Care Insurance Health Insurance Critical Illness Insurance
  28. 28. Questions?

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