Insurance Introduction / Term Insurance
Term Insurance
Term Insurance provides an affordable, temporary insurance protection. This flexible coverage is most appropriate for young families or small businesses with a temporary need. Although five year term is available, it is most commonly purchased as ten or twenty year terms (term life is also available).Life insurance is an essential part of any financial plan, and having enough life insurance is just as important. As your life evolves and your family grows, your current individual policy or group policy might not provide enough protection. The question is how much life insurance do I need.
How much will you need
Here are some considerations. Funds should be set aside for your children’s education. All debts should be repaid, including the mortgage. A general rule of thumb is that the family income should be sixty to seventy five percent of the pre death amount. This income should last for seven to ten years. Other common considerations are final expenses an emergency fund and any other bequeaths. For a customized report please click on the "more info" icon on the top right hand side of this page and send us an email. Include answers to the following questions and we will provide you with a complete report and quotes from at least five different carriers. Please note, that these quotes will be for a non-smoker of average health, a final quote can only be obtained after full application is submitted.
To determine the amount of life insurance you need,ask yourself the following questions.
- How much would you need to pay off your current mortgage?
- How much would you need to pay off other uninsured loans and debts
- How much would be needed for an emergency savings fund? (i.e. three months income)
- How much would be needed for your children’s education fund? ($12,000/yr X 4 years X 2 children)less existing RESP's
- How much income would your family need to maintain their standard of living (60% to 75% of your current income)
- How many years will your family need to rely on this income.(usually between 7 and 10 years)
- How much cash and other non registered investments would be available on your death?
- What is the value of any other life insurance you already have? (group mortgage, etc.)
Send us an email with the answers and we will do the calculations and provide you with the five least expensive quotes in Canada
All insurance products offered through yourCFO Wealth Management Inc.
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