Life Insurance

There are two major types of life insurance: term life and permanent life insurance.

Term life insurance covers you for a specific period of time, which is often a year but can be much longer. A specified amount of insurance is provided during the term for a fixed rate. At the end of the term, the coverage ceases and the policy has no value. Buy this for its lower cost to match a need which has a specific time period – the term of a mortgage, for example.

Permanent life insurance protects you for your lifetime. It can build cash value and provide a death benefit. This can be used for wealth management, estate planning, tax-advantaged investments, and more. Types of permanent insurance include whole life or endowment, universal life, and variable universal life. Buy these when there is a bigger financial need – one beyond covering a need should you die.

Your life insurance should be considered part of your overall financial plan; the amount and type of insurance should match your exposure and risks.

Latest News:

  • Life, Health and Financial Security Report: Globe & Mail
    Toronto, ON (July 31, 2020) – The global coronavirus pandemic has created an array of health and economic challenges, which have been felt to various degrees in every corner of the world. In Canada, the life and health insurance industry, governments and employers have been working together to ...