RBC Critical Illness Insurance Review

Traditional health insurance covers a variety of treatments and services, including diagnostic testing, prescription medications, and surgeries. However, critical illness care often involves additional costs. RBC’s critical illness care provides up to $2 million in benefits and can fill gaps in your coverage. 

The lump sum payout can cover income loss, lifestyle changes, and medical bills and treatment expenses not covered by your health insurance. But is it right for you? Read our in-depth review of RBC’s critical illness insurance to find out. 

Our RBC Critical Illness Insurance Review

With $2 million in benefits and coverage for 30 conditions, RBC’s critical illness insurance plan is as comprehensive as they come.

It is also flexible, giving you the option to increase the benefit amount periodically, get a premium refund on death, escape the premium payments in the event of total disability. However, there’s no limited-pay option, permanent coverage, or childhood illness coverage. If their absence is not a dealbreaker, RBC could be a good option.

Pros and Cons of RBC Critical Illness 

Pros:

• Protection against 30 illnesses and conditions
• Up to $2 million in benefits
• Long-term care insurance conversion option
• Different term and premium options
• Can increase the policy amount without medical underwriting
• Disability of waiver premium rider
• Return of premium on death rider

Cons:

• No permanent coverage
• Doesn’t offer limited pay option
• Return of premium on expiry/cancellation rider is missing
• Childhood illness coverage is not included

Who is RBC?

RBC Insurance is one of the most reputable insurance providers in Canada. Along with retirement planning and financial solutions, it offers a range of insurance products, including, but not limited, to travel insurance, health insurance, auto insurance, life insurance, and critical illness insurance. 

RBC Critical Illness insurance Product Offering

RBC’s critical illness cover, Critical Illness Recovery Plan, is designed to help protect your lifestyle and recover from a serious illness. It provides a lump-sum benefit if you are diagnosed with any of the 30 covered conditions. 

Key Features

Lump-sum benefit: You can purchase between $25,000 and $2 million of coverage. 

Enhanced: The plan covers 30 critical illnesses

Flexible: RBC offers the three term and premium options

• 10-year term (renewable up to age 75): Your premiums will increase every 10 years until you reach age 75. 
• Level premiums up to age 65 or 75 (guaranteed renewable): Your plan benefits will remain the same throughout, though your premium rate may change. You can renew the plan until age 65 or 75 without a medical exam.
• Level premiums up to age 75: This is a non-cancellable plan, meaning both your premium rate and benefits will remain the same throughout. 

Waiting period: If you are diagnosed with a covered condition, you will have to survive a specific number of days before you can collect the benefit. The waiting period for the RBC’s Critical Illness Recovery Plan is usually 30 days, but some conditions may have a longer survival period. 

Long-term care conversion: RBC allows you to convert your plan into long-term care coverage without undergoing medical underwriting. This option is available between the ages 55 and 65. 

Optional coverage: You can opt for various optional coverages to tailor the plan to your specific needs. Optional benefits include: 

• Return of premium on death: RBC will refund all the premiums if you pass without availing critical illness benefits. 
• Disability waiver of premium: In the event of total disability lasting more than 90 days, RBC will waive the premiums.
• Scheduled increase benefit: Your policy amount will increase by a fixed percentage at regular intervals. 
• Partial payout benefit: If you are diagnosed with any of the seven covered conditions, RBC will pay an additional benefit, equaling the lesser of 10% of the coverage amount or $50,000. This benefit is payable only once. 

Assistance services: All critical illness insurance policyholders receive access to a range of health and wellness assistance services. 

How much will I pay for RBC’s critical illness cover?

Critical illness insurance premiums are unique to the person applying for coverage. How much you will pay every month depends on factors such as: 

• Age
• Overall health and pre-existing conditions
• Smoking status
• Amount of coverage and types of riders selected

Why get RBC Critical Illness?

RBC’s Critical Illness Recovery Plan can act as a financial safety net if you are diagnosed with a covered condition. The lump-sum benefit can help cover different expenses and reduce the financial impact of a serious illness.

For example, if you are unable to work due to your illness, you can use the funds to pay for living expenses, monthly bills, and mortgage payments. You can use the payout to cover medical expenses not covered by health insurance, such as in-home care, travel expenses for seeking a second opinion, and counseling fees. 

How to apply for RBC Critical Illness insurance?

Interested in buying RBC’s critical illness insurance? We have got you covered. Click the Check My Price button to get a free quote or schedule a call with one of our insurance advisors to start the application process.

Conclusion

RBC’s critical illness care provides comprehensive coverage for 30 severe illnesses and offers a range of benefits and features that can significantly ease the financial burden during difficult times. However, since rates vary by insurer, it would be a good idea to get at least three critical illness insurance quotes. 

Comparing quotes helps you pick a plan that best suits your coverage needs and ensures your costs are as low as possible. Dundas Life, Canada’s top life insurance advisor, provides you free quotes from multiple insurance companies, making it easier for you to buy the best critical illness insurance plan. 

FAQs

Does RBC offer its policyholders return of premium option?

RBC offers the return of premium on death rider with its critical illness cover, but not the return of premium on expiry/cancellation rider. 

Can I change my RBC Critical Illness policy?

Yes, RBC’s critical illness cover gives you the flexibility to increase the benefit amount as time passes. The scheduled increase benefit, available as a paid add-on, increases your policy amount by a fixed percentage at regular intervals. There is, however, no provision to reduce the coverage amount.