Life Insurance:
*Disclosure: I am not an employee at RBC. This video is not a recommendation for a specific insurance company, although RBC is a leading company, we will find the most appropriate coverage for your needs at the purchase time.
What is Life insurance?
It is a contract between an individual (policyholder) and an insurance company. The policyholder pays regular premiums, and in return, the insurer pays a death benefit to the beneficiaries upon the policyholder’s death.
Although (of course), insurance can’t bring a person back, it can make the road easier financially for those left behind.
Why should consider Life Insurance?
There are many reasons to consider life insurance:
- Financial Security: Ensures that your loved ones are financially protected in case of your untimely death.
- Debt Coverage: Helps pay off debts like mortgages, car loans, and credit cards.
- Income Replacement: Provides a source of income for your family to maintain their lifestyle.
- Future Expenses: Can be used to fund children’s education or other future financial needs.
- Estate Planning: Helps manage and distribute your estate efficiently, and pays to your designated beneficiaries.
- Pension Supplement: This can supplement your pension, providing additional financial support in retirement.
Special Considerations for Women:
- Longer Life Expectancy: Women generally live longer than men, which can mean more years in retirement and a greater need for financial security.
- Career Breaks: Women often take career breaks for caregiving, impacting their lifetime earnings and retirement savings.
- Income Disparities: Life insurance can help bridge the financial gap caused by wage disparities
Special Considerations for Business Owners:
- Business Protection: In case of a partner or a key employee’s death. It pays a tax-free one-time lump sum.
- Diversify Business Assets: It could give access to the policy cash value.
Types of Insurance:
- Term Life Insurance: Provides coverage for a specific period of years(e.g.,1,5, 10, 20, X
years, to age 65). It’s generally the most affordable option. - Permanent Coverage:
- Term 100: the policyholder will continue to pay, up to the insured age of 100, and then stop paying, but the coverage will remain in force.
- Whole Life Insurance: Offers lifetime coverage with a savings component that builds cash value over time, it could be participating or non-participating.
Universal Life Insurance: Combines lifetime coverage with investment options, allowing policyholders to adjust premiums and death benefits.
Types of InsurancePolicies:
- Regular Insurance: Requires a medical exam and detailed lifestyle and health info for the insured and his/her immediate family members.
- Simplified Issue Insurance: No medical exam is required, but, there will be health questions.
- Guaranteed Issue: No medical exam, The coverage will be determined according to the insured answers, it has a higher premium, lower, and non-immediate coverage.
Some of the Insurance Companies we sell their policies:
- Assumption.
- Beneva Insurance.
- Blue Cross.
- BMO Insurance.
- Foresters.
- Canada Life.
- Co-Operator.
- CPP.
- Desjardins.
- Empire.
- Equitable.
- Humania.
- Industrial Alliance.
- IVARI.
- Manulife.
- RBC Insurance.
- Serenia Insurance.
- Sun Life.
- UV Insurance.
- Wawanesa.
Advantage of working with a broker:
As a broker:
- I am working on behalf of my clients, and I can offer products and policies from multiple regulated Canadian companies.
- This gives me access to a wide range of products, from many carriers.
- Accordingly, I have the flexibility, to find the option that fits my client’s needs, conditions, affordability, and eligibility, such as previous, declined, health issues, etc.
