Critical Illness Presentation Pack

Critical Illness Presentation Pack
Within this pack you will find a number of slides that you can select
from to build your own CI presentation that suits your particular
style.
You can also tailor the presentation to suit certain audiences e.g
Women, young people, business owners.
Your MLC BDM can work with you to build your own CI
presentation.
Critical Illness Cover
“it won’t happen to me”
We don’t expect to die young…
Average Australian Life Expectancy.
….but we do expect to become ill, the question is how ill?
Do You Feel Lucky?
50 % people who reach
age 65 will experience…
•
•
•
•
stroke,
cancer,
heart attack or
some other covered condition
“It won’t happen to me”
Are you willing to take that chance?
Do you feel lucky?
Critical Illness does not discriminate
• Homemaker, female aged 40 – Breast cancer
• Restaurant owner, male aged 40 – Lymphoma
• Admin Officer, female aged 39 – Stroke
• Homemaker, female aged 36 – MS
• Director, male aged 26 – Cancer
…do you know someone who’s suffered?
We are all at risk
• One third of women and a quarter of men
will suffer cancer. Over 50% will live longer
than 5 years after diagnosis
• Cardiovascular disease affects 2 our of 3
Australian families
• By age 75 one in 3 Australian males and one
in 4 females will be diagnosed with cancer
The importance of cover for women
•20% of all MLC claims are for breast cancer..
•Australian Women have a 1 in 9^ risk of developing Breast
Cancer by age 85..
^National Breast and Ovarian Cancer Centre – September 2009.
Critical Illness Cover protects the important things in life…
Are you protecting
the important things in life?
Event
Car Crash
Burglary
Death
Permanent Disablement
Protection
Car Insurance
Home Insurance
Life Insurance
TPD Insurance
Breast Cancer
MLC Critical Illness Cover
Bowel Cancer
MLC Critical Illness Cover
Heart Attack
MLC Critical Illness Cover
..and MLC Critical Illness covers 38 more
Why you should have Critical Illness Insurance
Females (aged 25-40)
•5 times more likely to claim on Critical Illness policy than life
cover
•6 times more likely to claim on Critical Illness policy than TPD
– compared to male counterparts who are 3 times more likely to claim on
Critical Illness
Males (aged 25-40)
•3 times more likely to claim on Critical Illness than TPD cover
It makes SENSE to have MLC Critical Illness Cover!
What are my options?
“Self Insured”
•
Net Worth Reduction
• Deplete your savings and deplete
your retirement accounts
• Liquidate your estate
• Go into debt
• Bankrupt your family
• Go without necessary treatment or
care
Outcome
???
“MLC Critical Illness Cover”
 Immediate pay-out upon confirmed
diagnosis of a covered condition
 Absolutely no restriction on how
funds used
 No impact on other benefits, such as
health insurance, Medicare, etc.
 Benefits are income-tax free.
Outcome
• Peace of Mind
• Financial Security
Personal Financial Impacts
• High levels of debt
• Low levels of savings
most are unprepared for the unthinkable…
Personal related bankruptcies.
ill health caused 7.43% of personal related bankruptcies in 1997.
By 2008 this had increased to 11.78%
Personal related debt agreements
ill health caused 4.27% of personal related debt agreements,
by 2008 this had increased to 7.51%
# Melbourne School of Law – Trends in Insolvency 2009 Research Paper no. 390
Business Financial Impacts
• High levels of debt
• Global Financial Crisis
most are unprepared for the unthinkable…
2008
– Over 18% of business related debt agreements were caused
by personal reasons including ill health.
Would your business survive you getting seriously ill?
# Melbourne School of Law – Trends in Insolvency 2009 Research Paper no. 390
The Statistics show 50% of us are at risk,
and it could cost us our health, lifestyle, business or home…
So what needs to be considered when taking out Critical Illness Cover?
What should be considered when determining Critical Illness
cover.
Debts
o Clear home loan debts#
o Provide for a lump sum (income) equivalent to
1-5 years of loan repayments
o Provide for a lump sum (income) equivalent to 2
years of the client’s gross salary
The average Australian mortgage is
$350,000^
^Australian Finance Group (AFG) Mortgage Index August 2009
# Investment Loans & Critical Illness
In some instances, clients may wish to clear investment loans.
Discuss and determine why this type of investment was originally entered into and whether the investment
debt servicing will have a significant impact on cash flow (negative gearing) whilst the client is recovering from
a critical illness.
The true cost of Critical Illness – Bowel Cancer
Note – this does not include loss of income
Estimates provided by Dial An Angel, 2009, Family Care Specialists
Calculations do not reflect loss of income
The true cost of Critical Illness – Heart triple by-pass
surgery
Note – this does not include loss of income
Estimates provided by Dial An Angel, 2009, Family Care Specialists
Calculations do not reflect loss of income
17
The true cost of Critical Illness – Multiple Sclerosis
Note – this does not include loss of income
Estimates provided by Dial An Angel, 2009, Family Care Specialists
Calculations do not reflect loss of income
18