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TERM LIFE INSURANCE
with or without VALUE
TERM Specific
I refer to TERM Specific life insurance as a plan that provides a Level Death Benefit for a Specific Period of time, say 5,10 or 15 years. Typically, the premium for this type of plan is a level premium for the duration of the term period. Often, these plans are renewable, without further medicals, for like term periods until you reach a maximum coverage age (age 70 - age 85). The premium for successive term periods is always higher based on the then attained age of the life insured. (age at the beginning of the current term period.) Up to a specified age (age 65,70 or 80 usually), many of these plans may be exchanged (or Converted) without medicals, for life long plan. (a Term 100, Universal Life or Whole Life.)
In shopping for a product, the benefits and policy terms are as important as the price. When comparative shopping compare
- policy terms,
- benefits, as well as
- the price.
SHOPPING THE MARKET CHECK OUT PRICE VARIATIONS*
| * IMPORTANT NOTE |
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Rates Change frequently, at least monthly. Rates change by plan, age, sex, amount of coverage and risk category.
The position of companies by these categories change constantly. We keep on top of the changes.
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WARNING:
Ask for a QUOTE |
Best Value is derived from
1. Professional Advice
2. Sound Insurer
3. Flexibility of Policy Provisions
4. Low Net Present Value.
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TERM SPECIFIC UTILIZATION LIST
Here is a non exhaustive list of reasons Canadians buy Term Specific Life Insurance Plans
PERSONAL USE:
- MORTGAGE PROTECTION
- CONSUMER DEBT PROTECTION (Car Loan, etc)
- INCOME PROTECTION
- COLLATERAL (Child Support, Alimony, etc.)
BUSINESS USE:
- COLLATERAL (Business Loans, Lines of Credit)
- KEY PERSON (Protect Profit Loss)
Lifelong TERM [Term 100] is a plan where there is
- little or no cash value, and the
- coverage goes on for life, and
- premiums are paid to age 100.
Variations of this base plan offers
- paid up features, or
- premium refund features
LIFE LONG TERM (T100) UTILIZATION LIST
Here is a non exhaustive list of reasons Canadians buy Life Long Term Insurance Plans
PERSONAL USE:
- MORTGAGE PROTECTION (Why Not to Use Bank Plans)
- CONSUMER DEBT PROTECTION (Car Loan, etc)
- INCOME PROTECTION
- COLLATERAL (Child Support, Alimony, etc.)
- RETIREMENT FUND COMPLETION PROTECTOR
- ESTATE CONSERVATION TOOL (Pays last expenses & RRIF & Capital Gains Taxes)
- ESTATE BOND (Creates Tax free transfer of Assets to next generation)
- CAPITAL ASSET RECOVERY
BUSINESS USE:
- COLLATERAL (Business Loans, Lines of Credit)
- KEY PERSON (Protect Profit Loss)
- BUY SELL AGREEMENT FUNDING
- RETIREMENT INCOME FINANCING as Shareholder PERK
- GENERATIONAL TRANSFER OF FAMILY BUSINESS
- TAX ADVANTAGED CASH EXTRACTION FROM HOLDING COMPANY
- CORPORATE FINANCED PERSONAL LIFE INSURANCE as EXECUTIVE PERK ~
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VALUE ADDED TERM
The Insurance Act creates a tax shelter inside a life insurance contract. Within parameters deposits towards a deferred savings inside a life insurance contract effectively creates a tax shelter. The most efficient form of life insurance that make this tax effective saving a real value to Canadians is the Universal Life plan. This plan is a program that espouses to the slogan "Buy Term and Invest the Difference." It has some unique characteristics that allow planners to maximize tax effective strategies for retirement and estate planning. Check out our UNIVERSAL LIFE Page
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Term Life
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