South Coast Financial Services
We care about your financial self defence ... shouldn't you?
Dear Visitor,This month I would like to talk about Life Insurance specifically group life insurance by your employer.
A lot of people we talk to say “I have enough life insurance through my employer”, well that may or not be true. Your employer does not do an analysis of what your actual life insurance needs are to protect your family properly. In a lot of cases you get “x” times your annual salary or a fixed dollar amount of insurance. In some cases the company may even provide a smaller policy for you when you retire which may cover final expenses for you.
The big question is, are these policies guaranteed? The answer is not really your employer decides on what benefits he is going to provide for the employees and may decide to cancel or reduce the life insurance. What if you get downsized or move to another company, does it have life insurance in their benefits?
You may have the option toconvert your previous employer’s policy to your own policy the cost will be at your current age.
So what should you do?
In order to ensure your loved ones are properly protected you should have personal life insurance that covers off the following:
A term insurance policy for:
A T100 policy for:
When should you get your policy?
The younger you are the less costly your insurance policy will be so do it sooner than later. Now you are going to say “I really don’t need all that, I don't have anything items mentioned in the term insurance policy.
So at least get the T100 policy in place. However you could include any of the above get a term policy as well if they are in your plans.
Many advisors recommend a whole life policy however in most cases a term policy may be better for you. A term policy is just life insurance with no investments included. So start an emergency / future retirement fund with a TFSA Segregated Fund with the difference in cost.
Reason: Life is full of surprises, if something comes up and you need to stop contributing to your TFSA you can with a whole life policy you can't change the premiums.
We provide services in all these areas:
Investing for the Future
Wills & Powers of Attorney
Should you desire more information in any of these areas contact us, our contact information is below and we would be glad to setup a time where we can sit down and discuss things with you.
Also make sure you book your appointment for your complimentary, comprehensive and confidential Financial Goals Analysis. The analysis can lead you and your family to your financial goals and dreams!