Life Insurance in Canada

Speaking from a position of life insurance broker, I can understand the frustrations when it come to purchasing a traditional life insurance policy that requires the accountable medical form which should be completed. This occurs when most people can’t account for planning in the future but want to make sure that their family is well taken care of. When it comes to these troubles then then look no further than the types of policies that require no medical interegation. These are called ‘Simplified Issue Policies’ and ‘Guaranteed Issue Policies’ but you must be careful because there are many differences between the two.

Simplified Issue Life Insurance Policies

For this type of policy questions need to be answered but this does not involve you being fully exposed medically. These policies are though limited because they only pay out to a peak of $150,000 because companies are afraid of losing too much due to the lack of protection. To be more accurate companies are at greater risk at losing money because a medical examination was not carried out before the agreement was made. Under the traditional insurance policy that caters a medical exam, once a full examination is completed and if you are in good physical and mental health and your medical and family history meets no question, it is only then when you can be offered good or standard rates. On the other hand if you are personally experiencing chronic health you will be charged additional costs and if your condition is thought to be a major or terminal disease then your application will be unacceptable. Plans such as the Simplified Life Issurance Policies can be very fast and there is no need to go through the tedious process of a full medical scrutiny. Although if you have been refused insurance in the last two years you will not be able to use this policy. Don’t forget that the more questions you answer, the lower the premium will be in the end.

Guranteed Life Insurance Policies

With these policies, there is no need foranswering questions, no need for a medical follow through and no small underlying writing. These policies are available to those people that have been refused during the last couple of years. Final expenses are fully covered with this policy. The limit is usually only $25,000 and benefits are usually limited to a return inc. the interest, if the person with the policy dies within 2 years of the agreement. Although the payout is made straight away if the person holding the policy dies by accident.

I have spread some lines so far and suddenly realized I haven’t written much about our team. So, why not now?!

• Lorne Marr CFP MBA (Company President) Proud Ontarian, I have been a practicing financial planner for more than 15 years having graduated from the University of Windsor with an Master of Business Administration. Nine years ago I completed the internationally recognized Certified Financial Planner designation. I am a member of Advocis - The Financial Advisors Association of Canada. I have been also been a keynote speaker at numerous industry functions and has appeared in The National Post, The Toronto Sun, the Investment Executive, The Advisor’s Edge and the Insurance Journa My promise to providing clients with value-added service has made me a leader in my industry.
• Chantal Marr BEd (New Broker Supervisor) Chantal Marr comes from Quebec and was raised in Thornhill, Ontario. She completed her BA at Laval University in Quebeck and Bachelor of Education at the University of Western Ontario. Chantal has a zeal for helping people and has very strong leadership and organizational abilities. Chantal is in charge of new business development at LSM and works closely with our group of insurance brokers. Chantal interests include languages and travel and she is fluent in.
• Amy Bitton BA (Insurance Consultant) Amy was born and raised in Toronto, Ontario. She has been insurance insider for several years. But an unexpected family experience further strenghtened Amy’s belief in life insurance and motivated her to get her professional liense and join the LSM team. Amy has an extensive background in marketing and speaks Spanish fluently. She also gained a degree in psychology. Outside of work Amy enjoys nothing more than a good hour and a half of hot yoga
• Jack Bendahan BA (Senior Insurance Consultant) Jack was born and raised in Canada and studied at York University in Toronto, graduating with a BA. Jack has extensive additional education and professional experience in debt and finance management. Jackspeaks two languages too (English and French) and is keen tennis player and loves travelling.
• Elisabeth Prosper (New Business Cordinator) Elisabeth was born and grew up in the island of Haiti before heading to France where she finished a Master Degree in Economics at the University of Aix-En Provence. Elisabeth is trilingual (Creole, French and English) and enjoys putting her strong communication and organizationa skills to work helping people. Elisabeth has her life insurance license and takes a deep interest in natural nutrition.
• Aman Kapur MBA (Senior Insurance Consultant) Aman was born and raised in New Delhi, India where he acquired a BA (honours) in Economics. He further went to the United Kingdom to do his Masters in Business Administration from the Heriot Watt University. Aman has fantastic experience of working over four continents and has performed various roles in Finance and Marketing. He speaks fiev languages – English, Urdu, Hindi, Punjabi and Russian. Aman is fond of various performing arts, travelling and living healthy.

Life insurance forms the foundation of the majority of financial plans, yet so many continue to put it off and, for the past two decades, we have been dueling with that million dollar question, “Why?”

Canadians consider themselves too old. Many don’t notice that most Canadian insurance carriers~companies insure individuals Really, there is no need to hesitate because of your age.

They consider own health too weak. However, many life insurance Canada policies are accessible without a medical test and many other policies only require a handful of basic medical questions. Moreover, many clients who have a history cancer, heart attack or stroke in the family can still obtain life insurance in Canada. You can visit our Non-Medical Life Insurance Page for for more questions.

It’s too expensive. Wrong, life insurance premiums don’t have to extend $15 a month

What’s the point of life insurance?. Believe me, even in situations where you have no debt burden with no dependents, Life insurance can have a meaning for you to deal with final expenses. When you do havewith no dependents and/or debt, life insurance is a great way how to create instant cash when you and your dependents need it crucially.

I can’t understand all those terms and conditions. I completely understand this problem. Life insurance can be pretty confusing, but with my team of professional brokers we will help simplify it for you. You can also visit LSM Instant Life Insurance Needs Calculator to find out exactly what amount of life insurance you need.

Buying a life insurance policy is important step in your life. Everybody should be careful, on the other hand all information should be considered.

After last year collapse, American International Group (AIG) shares are on the bottom (value decline from $55 to $1.2 in one year). What does it mean for clients of AIG Life of Canada? Are there serious reasons to concern about their policy safety?

Nothing special, for three reasons:

1. AIG Life of Canada was recently bought by Bank of Montreal for $375 million in cash. This bank with its $416 billion in assets represent solid and respectable partner, who guarantees you security.

2. AIG Life of Canada wasn’t financially connected to AIG. Both companies were doing independent business, with own assets, on different markets. AIG suffered large loss related to housing market collapse in the US. AIG Life of Canada hasn’t experienced such problems, due to different investment structure.

3.Insurance policies in Canada are backed by Assuris, which protects Canadian policyholders (100% up to $200000, then 85% of the original face amount or $200,000). This protection covers not only life insurance policies, but also disability insurance policies and other. Assuris proved its function three times in Canadian history.

Everybody should be careful and protective, when talking about personal finance. On the other hand, cancelling your existing AIG life insurance policy may cause you lot of expenses, which should be deeply considered!

If you are not sure to decide whether leave your AIG policy or not, ask independent broker, who is not bounded to any company and has the best motivation to help YOU!

I don’t have to remind you, how dangerous times for investment we are living in these months. Stock markets collapsed and buried eight years of growth. Real estate prices are falling down.

More, interest rate after the recent cut by Bank of Canada down to 50-years low value of 1.5% means your money in banks are making less than the inflation rate takes, because inflation in Canada is around 2%.

And we can expect $4 billion spending soon, due to government’s commitment to participate on the North America car industry bailout. This can get the inflation rate even higher, due to bigger government spending. Interest rate can hardly go higher in upcoming months, because FED cut the interest rate even lower - near the 0% value and the Bank of Canada is usually following FED’s steps.

So is there any risk free solution with guaranteed growth over the inflation rate? Yes, there is. Some Canada life insurance universal policies offer 4% guaranteed growth. How is this possible? Easily, these products offer festure you can find anywhere else. It’s name is tax shelter, which is not influenced by the financial market!

Primerica Financial Services is financial company, based in the USA, with subsidiaries in Canada (from 1986) and Spain (2000). Its “problematic” Multi Level Marketing structure is the main topic of many articles, blogs and discussions.

Their efforts to have a quantity of advisers for any price creates a lot of negative responses. But I want to write now about something different. I don’t want to write about their employees. I want to write about their products.

I has been in life insurance Canada business for 15 years and I think I have enough skills to point out 5 importante remarks about Primerica’ policies and their disadvantages.

1. It’s expensive. If you check prices of  competitors and prices of Primerica policies, you will recognize most of their products are overpriced - simply because there are too many people involved.
2. Stuck to the term life. I have nothing against term life of course, it’s very important part of my business, but it doesn’t fit everybody
3. Captive sales force - do you believe some company’s products can fit ANYBODY? Range of clients’ needs is much wider than any offer of one company. But Primerica advisers can/t offer you anything else…
4. Part-time advisers. Do you think it’s a good choice? Do they know more than you know about finance? go and read some articles about their “seminars” on the web!
5. Non convertible policies. don’t you want to think on the back door? Primerica doesn’t offer permanent policies, so if you are unlucky with health - you have problem!

Our own Canadian elections are more actual topic now, however, I would like to point at our south neighbour. Why? Because as a Toronto life insurance broker I believe it can have a huge impact on American health insurance market and it can influence many insurance companies, also active in Canada.

As most of you may know, health care has been one of the hottest politic topics in last months in the USA, mainly ignited by Michael Moor’s documentary Sicko.  Both candidates offer quite different solution. Obama’s strategy counts on an employer mandate, new public and private insurance programs, and regulation, while McCain’s plan continues promoting private insurance with a help of tax bonuses.

Especially Obama’s plan can significantly change insurance market conditions and distract millions of people from getting private health insurance. Democrats are aften calling Canada as an example of well working single payer health care. But are we a really good example, when talking about health care?

I know non of us wants to
admit, that we all are endangered of being disabled. No matter if you are
manual worker working on dangerous constructions, or clerk sitting in an air
conditioned office. Just a minor injury or inconspicuous
illness can ruin your career. While dealing disability insurance in Ontario I have met many similar cases.
Bread-winner turned to be disabled and whole family life was ruined, because
not only they lost his/her income, they also had to take care of disabled member.
Yes, most of you have a life insurance, but this product is not designed for
help in disability.
What you need is disability insurance. This kind of insurance will
provide you regular monthly payments for the period you choose - there are five
years policies, ten years, but also policies lasting till you are 65.
You can choose the sum to adjust it for your income - disability insurance policies are very flexible and can be adjusted exactly to fit your needs! It can
cooperate with your life insurance to create your basic financial safety net.
And if you don’t have any dependents and your mortgage is almost payed - I
believe disability insurance should be number one for you, even before life
insurance!

Yes, it’s true! Of
course, we are not hedging oil prices or digging own oil wells. We in life insurance brokers Toronto
decided to cope with gas consumption. LSM offered employees a
condensed work week to reduce commuting costs as gas prices soar. Four day
workweek means  20% less consumption  and 20% more time for
family.

This step  attracted attention of
some nation TV and radio stations, like CBC (watch news (watch this video on Life Insurance Canada ).
So if you are thinking what to do, when your wallet is on diet after every gas
station visit, try to ask your employer. Four day workweek may sound like
revolution (and maybe it really is), but your performance in work can even
rise. Satisfied and good mooded employee should be the goal of every employer.
Streets would be a bit emptier and Mother Earth would thank you too!
I hope not only other Toronto life insurance
brokers will follow our step soon…

I am not going to present advantages of this insurance for clients. For now, I am going to write, why insurance brokers should consider dealing group benefits Canada
This business has some advantages (and some disadvantages as well) that may be interesting for potential brokers.

Do beginners have some chances to establish a good career on the field of group insurance? Yes - there is only about 5% of advisors dealing group benefits and consider, there is ca. 200 000 new jobs created by small companies (<100 employees) every year in Canada!

Group insurance is creating more constant income - feature you may like. And if you have family, read more - most of the business meetings are during daytime. No meeting with clients during evenings and weekends.

Group insurance enables you to "play" more with the contract. You can customize much more the terms and conditions.

Still not satisfied? Prefering individual deals? Imagine, every group deal contains potential of dozens of individual deals - for example, many of your client’s empolyees may like your term life quote Canada

At the beginning I wrote something about disadvantages. There are actually two of them - sale takes longer time, so your initial income may not fit your image. And the second one - administration is more demanding.

So it’s up to you - but I believe you would have a good future as a broker in group benefits business…