A new study released today by RBC Insurance says 45% of Canadians are worried that they won’t be able to cover their expenses if they become critically ill.

The survey, conducted by Ipsos-Reid, found that only 54% of Canadians believe they will have sufficient funds to cover their expenses in the event of critical illness. Surprisingly, younger Canadians, (85%) are more likely than their middle-aged (79%) or older counterparts (70%) to worry that they or someone in their family may become critically ill. This group (52%) is also more interested than middle-aged (38%) or older (23%) Canadians in hearing more from a financial advisor about insurance that can provide peace of mind in the event of critical illness.

“People know that a serious illness such as cancer, stroke or heart attack can have a dramatic affect on their family’s financial security and lifestyle,” said Kathryn Giffen, president and COO of the life insurance division of RBC Insurance, in a news release.

“It’s also important that Canadians be aware that there are products that will allow them to recover from illness and maintain their quality of life without the stress of taking on debt or depleting retirement savings.”

Maintaining their current lifestyle and being able to pay their bills are the top concerns of Canadians if they should become critically ill. Other worries include being able to support their family financially, losing their job, and being able to contribute to their RRSPs.

In general, younger people are more likely to be concerned about these things than older people. men are more likely than women to believe they can cover their expenses if critically ill. As well, 53% of respondents have not heard of critical illness insurance.

The survey also found that those who did not already have this insurance wanted to know more. Sixty-three per cent of those who had a financial advisor — but not critical illness insurance — believed it important to be advised about the product by their advisor. “Canadians should ensure their financial plan takes into consideration all their insurance needs,” said Giffen. “Critical illness insurance is one of the components of a comprehensive financial plan.”

These are the findings of an Ipsos-Reid/RBC Insurance poll conducted between October 16 and October 20, 2002. The poll is based on a randomly selected sample of 1,000 adult Canadians. With a sample of this size, the results are considered accurate to within plus or minus 3.1 percentage points, 19 times out of 20. The margin of error will be larger within regions and for other sub-groupings of the survey population.