Camp Illahee was established in 1946 in Cobourg, Ontario. It began as a children's camp run by the Toronto Y.M.C.A. for diabetic children and later began catering to children with other diseases including heart and kidney conditions, haemophilia, and controlled epilepsy. The camp was later taken over by the Family Service Association of Metropolitan Toronto, an agency of the United Way. The name of the camp was changed to Illahee Northwoods Camp and its location was moved from Cobourg to Drag Lake in Haliburton, Ontario.