Insurances:
Insurance prevents you and your family from needing a Go Fund Me page if something unfortunate happens. Have questions? Book an appointment today to discuss insurance with an advisor.
Life Insurance
Life insurance is an important part of your financial plan if you have loved ones who would be financially impacted if you (and the income you bring in) suddenly “go away.
It typically breaks down to two different types: term and permanent.
Term insurance is what most people think of most of the time. It’s a set amount of coverage, for a set amount of time (10 years, 20 years, until you’re 65, etc), for a set amount of premium. It’s relatively less expensive than permanent, doesn’t grow over time, and is temporary in nature.
Permanent insurance can last as long as you do. This type of insurance can grow over time and, typically, has a cash value component to it. Compared to term, it is more expensive but serves a different purpose.
Critical Illness Insurance
Critical Illness insurance offers a one-time (sometimes two-time) lump sum tax-free payment if you get sick. Now, we’re talking about some significant sicknesses/health issues–coming down with a cold doesn’t qualify. Cancer, heart attack, and stroke are considered “the big three,” but most policies will cover various other conditions as well. Critical Illness coverage allows you to concentrate on your health and recovery instead of worrying about your bills. A Return of Premium rider is available on some policies making this type of policy an even bigger benefit to your financial toolbox.
Disability Insurance
Disability Insurance provides a monthly tax-free benefit if you’re not able to work for an extended period of time due to a disability. It is income tested (meaning, the amount you can apply for depends on your income) and very customizable through various options and riders. Most people who have some sort of group benefits through their employer probably have disability coverage; however, it’s still worthwhile to look into an individually owned policy to “top up” the group coverage or extend the benefit period.
Group Benefits
Group benefits coverage is something an employer puts in force for the benefit of their employees. It can help with attracting and retaining talent in a very tax efficient way. Plans can be very flexible but typically include coverage for life and disability insurance and prescription medication, with potential coverage for dental and extended healthcare (RMT, chiropractic, mental health services, etc) as well.
Travel Insurance
Travel insurance is great to have if you travel out of province. It can cover extra expenses caused by health issues while traveling, including medical costs, and costs associated with an emergency return home. It can help prevent you from receiving an $80,000 hospital bill because you got sick in Florida. Since OHIP only covers you while in Ontario, this coverage is beneficial even if your travels keep you in Canada.