Life Insurance and Living Benefits Solutions
Protect yourself, your family, your business and your estate from events such as death, disability and critical illness.
Life insurance pays a lump sum to the designated beneficiaries upon a person’s passing. This can relieve the potential catastrophic financial implications which can arise in the event of death. The proceeds of life insurance in Canada are received tax free in the hands of the beneficiary and can be used to continue to support the family’s financial needs; paying down a mortgage, child care and education, living expenses and other costs. Life insurance is often a good solution for estate preservation and to pay for taxes when a person passes. Businesses use life insurance to support the business in the loss of a key man or honour the obligations of a shareholder’s agreement.
There are two main categories of life insurance, Term Life Insurance and Permanent Insurance.
Term Life insurance is temporary insurance to be used for a specific period of time (usually 10, 20 or 30 year) to cover risks which are eliminated over time such as children’s needs and loan obligations.
Permanent Life insurance has two sub categories, Universal Life and Whole Life. This insurance lasts for the duration of the life insured and is used to cover longer term requirements such as estate preservation, leaving behind a legacy and, paying taxes.
Disability insurance is income protection. It pays a monthly benefit when you are unable to work due illness or accident. In the event of a disability, the ability to continue to earn an income may be diminished or completely eliminated. Without disability coverage, a person may be forced to use up their savings or liquidate assets in order to survive. Disability benefits can be used to continue to pay for regular expenses as well as medications and health care. The benefits can be up to 2/3 of income, may be tax free and, last anywhere from 2 years to age 65.
Critical Illness Insurance pays a lump sum in the event of a diagnosis of one of the covered conditions. This can be used as you wish from paying for health care needs to settling your affairs or taking a vacation.
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*Mutual Funds provided by Goldstein Financial Investments Inc. (GFII). GFII is not associated or affiliated with Mycor Insurance Solutions in any way.