Is Guaranteed Health Insurance Really a Thing? Yes, It Is - and Here's How You Can Get It

Posted on August 5, 2019

Insurance in Canada is one of the best around the world. If there’s something that countries envy Canada for, it’s the superior health insurance. They’re right to want the same.

In 2018, the Canadian government spent $253.5 billion or $6,839 per person on healthcare. To take advantage of this, you would want to make sure your insurance covers your needs.

Guaranteed health insurance is a common policy in Canada. Basic insurance coverage comes from your provincial government, so here’s a fact. Getting a guaranteed issue can be useful for you in the long run as well.

In this article, we’ll explore the depths of a guaranteed issue health insurance.

What is it? What are its benefits? How can you get one?

Let’s find out now.

1. What Is A Guaranteed Issue Policy?

When it comes to health care, a guaranteed issue refers to a type of health insurance. In this type of insurance, you get to have a health care policy regardless of your current health status. This is open to any and all eligible applicants, and it ensures that you get insurance one way or another.

How did the guaranteed insurance come to bear fruit? This comes from the provisions of what we know as the Canadian Health Act of 1984. There is no mandate for insurers to provide guaranteed issue, but it’s there for a reason.

The Choice Between Basic and Guaranteed Issue Health Insurance

People with health issues may have pre-existing conditions that they got over time. This is especially true for middle-aged people and even millennials with hereditary health concerns. In this case, they will have a couple of choices to choose from.

One will be to choose a basic health plan. This receives underwriting so you need to fill out a questionnaire. If you have a medical condition, chances are you won’t get coverage.

The second option is to get a guaranteed issue health insurance plan. This receives no medical exam, so you have an excellent chance to get into the program.

Many Canadians who have serious health complications get rejections from insurance companies. This tends to be a problem, especially for people above 40. They are the most at risk with age-related health problems and may not get insurance ever.

Many specifics of a guaranteed issue assure for:

  • low payments
  • high premiums on the other end
  • almost zero questions asked
  • no medical exams

If that’s the case, how can it benefit you more than the basic Canadian health care?

2. What Are The Benefits Of Guaranteed Issue Insurance?

The benefits of guaranteed issue insurance are numerous. While this type of insurance will cost you a bit higher than many standard policies, it’s worth it. You can enjoy different conveniences that the insurance type affords you. Here’s some of them.

No Medicals, No Questions

The prime benefit of the guaranteed issue health insurance is the no medical exam, questions asked policy. This sounds simple, but to people who have physical conditions, this is a godsend. No questions asked means guaranteed coverage regardless of your current circumstances.

When an insurance provider is not asking questions, that’s good. They’re allowing for a more comprehensive coverage net of eligible people.

As an example, many companies provide guaranteed issue as a form of travel insurance. People coming from abroad can enjoy Canada’s health care for the duration of their stay.

Have An Insurance Even With Pre-Existing Medical Conditions

If a company offers a guaranteed plan, this can be a helpful proposition. This is especially useful if you have current health conditions.

If you have ailments like Diabetes or a heart condition or you’re plain getting older, here’s your problem. As you get older, getting health insurance will get harder as time passes by.

Age means companies will have better incentives when rejecting than covering you. There’s more risk of taking care of older people, more so when they have physical conditions.

When it comes to guaranteed insurance, you will get sure coverage any time. Middle-aged people can function and move around without fear of lacking insurance.

If you’re having trouble getting medical insurance, this is the choice you need.

Consistent Cost Year Per Year

Another area of guaranteed issue that tends to be beneficial to customers is the cost. Many times, the cost of insurance goes up or down depending on the health condition of the customer. This tends to be ideal as you and your company get incentives from keeping yourself healthy.

When it comes to guaranteed insurance, your costs don’t go up until you reach a certain age. Many companies put this at around 70 - 95 years old. This means you get to pay for the same insurance type every year forever.

Some insurance companies even provide free coverage after 70 or 95, but that tends to be a milestone as it is. Why is this relevant?

The growing costs of health insurance can become a burden as you grow older. Many people tend to have more and more expensive policies the more conditions they get. If you fail your medical, then your coverage premiums go up.

When it comes to a guaranteed issue, you don’t get price hikes every year. You don’t get your premiums adjusted on you. While you get a bit higher fees than standard, that’s because it’s riskier to cover clients without question.

Supplemental Coverages

Depending on the insurance, many guaranteed issue insurance cover areas basic health care may not. This may be useful as you won’t need to apply for supplemental insurance. You get to cover areas like dental and drug coverage.

When it comes to guaranteed issue health insurance, you may get coverage on your drugs, your dental or both. This can cover most of your expenses while maintaining a low amount of payables.

3. What’s The Cost and Eligibility?

The cost and eligibility needs vary depending on the company. Even then, some standards tend to be the same across.

Clients would need to be Canadian citizens at the very least. There are different policies and guaranteed issue insurance for travel purposes too.

Age tends to start at 40 years old and goes up to a specific upper limit. This can be anything from 70–95 years old. After the age of 70, there will be a different type of insurance that companies provide.

As for the cost, this tends to be more expensive than the usual basic insurance. As we mentioned in brief, this is due to the increased risk of not asking questions. If the client has an existing health condition, this puts the insurance company at a much more significant gamble for their money.

The cost, however, is at the convenience of zero underwriting process for you as a client. The lack of medical exams gives you an extra incentive to pay a bit higher cost.

In many circumstances, all you need is to talk to certified health insurance providers online. They will provide you with a quote of everything within your guaranteed issue insurance and the payment scheme. Payments go at annual fees and may have different brackets and coverage levels.

4. What Do I Need To Do Before Getting Guaranteed Issue?

There are a few things that you need to do before getting a guaranteed issue for yourself. Not all insurance companies have an excellent guaranteed issue policy. You would want first to read the fine print before you agree to anything.

Take a look at the coverage that they provide. Make sure that the coverage has everything that you need in it. If you care about dental, drug coverage or both, make sure you know.

Take different quotations from different companies and compare. Which ones do you need? Are you inside the age bracket for guaranteed insurance?

You may also want to go over the pre-existing conditions clause of your guaranteed issue. Some companies will not cover pre-existing conditions, while others may do so.

Do you care about pre-existing conditions coverage? There are heaps of underwriting that insurance providers give to in their guaranteed issue health insurance. Knowing what you’re paying for is a part of your job.

Take a look at the terms and conditions as well. If there are some clarifications that you need, it’s best to ask. Insurance companies are more than willing to explain their clauses to customers.

If you don’t have a pre-existing condition, it’s best to go through the hoops of regular health plans first. A guaranteed issue should be a priority once you can’t avail your basic health policy.

Do You Need Guaranteed Health Insurance?

Guaranteed health insurance is a crucial policy for people who can’t get a basic health plan. If you have a pre-existing condition, it’s best to avail such insurance. With the no medical exam and no questions asked, you can get medical support with this policy.

When it comes to Canadians seeking medical insurance, the best option is to go with someone you can trust. Your best bet is your friends here at Insurdinary.

We can find you the best and lowest insurance rates in Canada. From a guaranteed issue to small business insurance, we can help you find the right one you need.

Contact us now and let’s help you find the insurance that fits you. Insurdinary gets you those quotes, and much more! Get insured now.

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