How does AIDS affect the chances of securing Life Insurance in Canada?

From the end of 2005 gathered figures show that, in Canada, there are 58,000 Canadians living with HIV/AIDS. Traditional life insurance is generally not available to members of the public who have immune system abnormalities, including HIVAIDS.

If you look hard enough there are many providers that will sell you life insurance, these include simplified life insurance and some guaranteed issue providers.

The plus side of guaranteed issue coverage is there is no health questions and no medical assessment to take. Due to there being no health questionnaire, then you don’t have to say you suffer from an immune disorder. There are 3 drawbacks to this sort of insurance:
1) Large contributions are the first downside to this type of policy.
2) The premium paid out on death is considerably lower than other schemes.
3) protection has a two-year waiting time. This means, that if the insured passes away in the first two years by a non-accidental death, the death benefit is confined to a return of policy payments, and in some instances, interest.

With no medical test but up to 12 medical questions, then a simplified issue life insurance policy may be the policy for you. This sort of plan has the benefit of a higher pay-out and lower premiums. Be aware though that some of these policies still have a waiting duration of up to 2 years, though a few will pay out straight away. For good all round plan value, Canada Protection Plan and Assumption Life are two of the leading suppliers of simplified life insurance. With regard to questions about HIV or AIDS then the differed term policy and the deferred life policy from Canada Protection Plan are the most user friendly.

They read as follows: Deferred Life within the past three years, has the insured been treated for unusual chronic infection, including HIV and AIDS. On Canada Protection Plans Deferred Term policy, which offers face amounts up to $100,000.00 of cover, the question is even more favourable: within the past three years, has the insured been diagnosed with or started treatment for unusual chronic infection or immune system abnormality, including HIV or AIDS.

Lorne S. Marr is Canada life insurance expert