There are many different kinds of insurance. Find out which ones will help you protect your family.
Other than home and auto insurance, most folks are aware of life insurance. Here are others you should consider.
In addition to life insurance, an individual or couple need to consider their risks when it comes to disability, critical illness, long term care, travel and other coverages. In all cases the purpose of the insurance is to transfer some or all of the financial risk of something unexpected (and largely uncontrollable) occurring from you to the insurance company. The financial risk you are transferring is the risk of your income stream being partially or completely reduced. Family and/or business needs and expenses will continue and they need to be funded somehow.
At Erb and Erb Insurance Brokers, we realize that selecting the best type, format and coverage of personal insurance is a not simply picking a number out of a hat. While doing that may result in the right coverage for you, it would be a lucky guess if it was. Our goal is not to sell you insurance, but to work with you to structure an insurance plan that aligns with your situation and your goals. Without this planning, you will very likely be underinsured or overpaying for an insurance product while there are likely better and more cost effective solutions available.
When working with a client to develop a prudent personal insurance plan, we consider many different factors.
These factors are:
Purpose. What are you hoping to protect?
- funds to pay a debt, such as a mortgage or line of credit
- replacement income if needed due to disability, serious illness or premature death
- guaranteed tax sheltered investments
- creation and preservation of your estate
- estate planning (to cover capital gains taxes, to equalize an estate and so on)
- ensuring your children and grandchildren will have adequate financial assets
- ensuring a favourite charitable cause will benefit from your legacy
- removing the financial risks associated with major illness and/or accident
- eliminate the financial risks associated with your care later in life
- removing the financial risks associated with an accident while travelling
- tax efficient method of transferring wealth to the next generation
Time-frame. How long do your require coverage?
- until retirement for disability coverage
- until retirement of permanent for critical illness coverage
- term coverage if the need is temporary
- permanent coverage when the benefit is associated with your estate planning
Options. Balancing the coverage to your needs
- bundled coverage
- coverage on your children that will allow them to covert to permanent coverage
- tax sheltered investing within a policy
- whole life or universal life
- guaranteeing more coverage regardless of changes to your health
- coverage on spouses with the benefit paying at the 1st death of at the 2nd death
- lifetime payment or a shortened pay period
We approach over 30 insurers across Canada to find the one that will offer you the best coverage
For those who are not expert in disability, critical illness, life and travel insurance coverage it is almost impossible to sift through the types, timeframes, options and sources when planning your insurance plan. At Erb and Erb we are experts. We work with clients one to one, we listen, we ask questions, we review your existing coverage and only then do we recommend a plan. Once that plan is implemented, we monitor it to ensure that if any significant events in your life indicate a change in that plan, that change is made.
Buying life insurance over the internet is not insurance planning. For your complimentary discussion regarding your insurance, please contact us at 800.265.2634 or email us here.
Lackner McLennan and Erb and Erb provide these informational articles to educate the public about insurance and investment related matters. This article does not substitute for broker advice regarding your specific insurance or investment needs. For a comprehensive strategy to tackle what you, your family, or your business, may need we invite you to speak directly to a broker who can guide you through all the options available to you.