Approximately 90% of all critical illness insurance sales in the United States come from either the worksite or group sales channels.
The product pays the policy owner a lump sum in the event the insured suffers one of the critical illnesses named in the policy. The person can then use the funds to pay for medical expenses not covered by insurance or any other expenses.
The average CI worksite policy in the US is usually designed as a stand-alone product. It is sold in benefit amounts of under $30,000, using simplified underwriting, limited or full portability, and an option for buy-ups.
In the U.S. the true group CI policies are even smaller. They are usually written for under $10,000 per employee.
By comparison, in the United Kingdom, the majority of CI policies are sold as a combination life and CI product, with an average benefit amount of $100,000 (U.S. dollars). The UK has about 9 million CI policyholders in a population of 36 million.
In Canada, the average policy is sold as a stand-alone health product, including a return of premium feature. The average individual CI amount is $93,000 (US).
This may be the right time to consider developing more, and selling more, individual CI in the U.S. market–not to the exclusion of worksite CI and group CI but in addition to those sales.
The target market for individual sales may well be the white-collar professional or business owner, age 30-50, who desires more CI coverage (over $100,000) and is willing to be fully underwritten.
The sales approach could focus on an individual's need for CI as asset protection, providing a liquidity trigger for calamitous medical events such as heart attack, stroke, or life-threatening cancer.
Daniel R. Pisetsky is president of US Living Benefits, Old Lyme, Conn., and founder of National Association for Critical Illness Insurance. His e-mail address is 
