When it comes to most forms of insurance, many people understand the importance of having coverage. Whether it’s your car, your home, or other valuable possessions, having insurance means that you’re financially protected should disaster strike. One of the first things you do when you buy a new car is to make sure it is protected before you drive it off the lot. Why? Because if you are involved in an accident chances are good you would suffer financially.
But, what about life insurance?
Although this form of protection works the same way as all other types of insurance, many are reluctant to open the conversation. Perhaps one reason is that life insurance involves the planning for the worst-case scenario – your death. The truth remains however, that if someone, your family or your business for example, would suffer a financial loss due to your death, life insurance is the answer. In fact, life insurance is one of the smartest ways to provide for both yourself and your loved ones.
For today, take stock of your current situation and consider these important reasons why life insurance is needed: Read more
For providing pure life insurance protection the most popular plan is Renewable and Convertible Term Insurance. This is the most basic form of insurance and is the simplest to understand. Coverage is provided for a specified term, the policy renews automatically at the end each term period until the policy expires, most commonly at age 85. This plan has the lowest initial cost at entry, but don’t be mesmerized by the low cost because on renewal you will pay a substantial increase. If, however, you become uninsurable before the end of the term period you will have no other option but to renew if you want to keep the coverage. Read more
A mortgage is the single largest debt most Canadians will ever assume. Most consumers will take the time to shop around for good interest rates and terms that suit their needs, but not everyone bothers to do the same for the accompanying mortgage insurance.
Many simply accept the coverage that’s offered by their lender without investigating other options. That’s a pity, because in many cases you can obtain better coverage for a lower price from an independent financial advisor.
What is mortgage insurance for?
Mortgage insurance is about protecting your loved ones. If something should happen to you (or your partner), mortgage insurance will pay off your debt. It’s a simple concept, but the details in each contract can vary significantly. Read more