Shelley didn’t buy optional benefits from her insurance company. She was focused on the premium and not the benefits. Three months ago, Shelley was in a serious car accident.
She could hardly cover her monthly bills because she was only receiving $400 a week in income replacement benefits. What she didn’t realize is that if she had reviewed her policy with her insurance broker or lawyer, she could have increased her IRB to $800.00 weekly based on her pre-accident income.
Simon was alerted to the diminishing benefits in standard insurance coverage in 2016. Simon paid attention and took the time to purchase the additional benefits he might need. Simon was recently in a very serious car accident, although, he is able to focus on his rehabilitation because his bill is covered thanks to his $1,000.00 weekly IRB payment, and he is receiving all the care and treatment he needs thanks to the optional benefits he purchased 2 years ago.
| SHELLEY’S BENEFITS | (NO OPTIONALS) | SIMON’S BENEFITS | (OPTIONAL BENEFITS) |
| Income Replacement Benefit (a benefit that kicks in if you are injured and unable to work) — 70% of your gross income up to a maximum of $400/week | You can increase the weekly payment (in keeping with your gross income) up to $1,000/week. |
| Medical and Rehabilitation and Attendant Care Benefits — $65,000 (for non-catastrophic injuries
For catastrophic injuries, the coverage is limited to $1 million (for those who have suffered a catastrophic injury, $1 million does not go far to assist in their recovery) |
You can increase the combined total for Medical, Rehabilitation and Attendant Care Benefits to $130,000 (for non-catastrophic injuries)
For catastrophic injuries, the coverage is limited to $1 million |
Of course, there are additional considerations when purchasing optional benefits and it is by no means a “one size fits all” answer. Someone with a robust LTD policy may not require optional benefits. That said, make sure your extended health carrier covers injuries sustained in a car accident — many do not. Furthermore, those who are self-employed must consider what is best for their individual situation.
Simon says… don’t be a Shelley! Be educated, and talk to someone who can help you navigate this decision to ensure that if you find yourself injured in a car accident, you have access to the care and treatment you need!
(519) 657-1LAW or Info@ml-dev.thirdeyeinsights.ca
By: Melissa Scott
