Insurance

Insurance provides life insurance coverage for a specific time period (10 or 20 years) whereby the initial premium is guaranteed and usually quite low. Most policies will have the option of renewing at the expiry of the term period or the option of converting it to another type of policy. Mortgage Insurance is offered by the lending institution when taking out a loan to purchase a home.

If your need for life insurance is likely to last indefinitely and/or well into old age, you should consider a “permanent” policy. Universal life combines locked in level lifetime costs with some personal control of the investment portion of the policy.

If you need permanent insurance, and are confident the insurance company can manage the investment portion of your policy as well or better than you can, then a Whole Life policy may be the best solution. The savings component or cash value adds up over time and can be used for wealth accumulation.

If you become ill or injured and as a result are unable to work at your regular job, this insurance will replace all or part of your income in a monthly payment. Many employers provide group disability available in short and long term plans which provide coverage for work related injuries and are fairly inexpensive. Personally owned disability policies offer another option if there is no applicable employee or government program such as WCB, or you need more income replacement.

Upon diagnosis and survival of a heart attack, stroke, cancer or other specific illnesses, this policy will pay out a lump sum amount which can be used without restrictions. CI gives you choices about your treatment and care as well as choices for family and choices for work.

Who will look after you if you can’t look after yourself? Would you want a family member or friend to take time off work to care for you? Could your finances handle the expense of going into a care facility? Long term care will provide the assistance to you if you become chronically ill or disabled.

Estate planning is the process of preparing a plan of how to manage and divide your estate after death according to your goals. There are taxes due on your investments if you leave them to your estate including capital gains. Having life insurance will offset those taxes on your capital gains while also providing your beneficiaries with additional funds.