What does life insurance do for you?
Life insurance helps to create security for you and your family. In the event of your unexpected death, it can be used to:
- pay final expenses and any debts you may have
- provide an income for your family
- ensure your family has the resources to maintain a comfortable standard of living
- leave a legacy to your favorite charity
While you are still living, some life insurance policies can:
- build a tax-advantaged savings fund which you can draw upon as needed for personal or business opportunities
- supplement your retirement income
- provide for long term care or home care for a family member
- Life insurance is a valuable part of your financial security plan
Life insurance: The advantages
Ensuring an estate – Life insurance can help create an estate at a time when funds may be needed most. This is a low-cost way to ensure your family’s continued financial well being.
Fast Cash – Your beneficiary, the person(s) you name to receive the insurance money, will be paid within a few days of the insurance company receiving the required information in contrast to savings and other assets that may be legally tied up for some time after death.
Living Benefits, not just for after death – Many permanent insurance policies (i.e. participating and universal life) build cash values that you can access during your lifetime. The cash value is the equity you have built up in your policy. Cash values can accumulate within your policy on a tax-advantaged basis. The growth in the cash value is generally only subject to income tax when it is withdrawn from the policy. Your policy’s cash surrender value can be used to:
- provide funds in an emergency
- finance a down payment on a home or cottage
- launch or expand a business
- act as collateral for a loan from a third-party lending institution
- supplement your retirement income provide income for long-term care or home care for you or your spouse
How you use the money is really up to you.
- the death benefit is not subject to income taxes
- probate costs can be avoided if you name a beneficiary other than your estate
- unlike a will, information regarding your life insurance can remain private
- in many instances, life insurance may be protected against creditors.
Winter related claims can result in expensive damage to your home and increase your insurance premiums. Every year, the start of winter brings out advice on how to prepare your home for winter. Turn off your outside faucets Have your furnace professionally serviced...
Cottage ownership is not for everyone. The costs of owning and maintaining a seasonal property may outweigh the small amount of time you may be able to actually enjoy the property. Here are some tips to assist you before you rent a cottage. Rent a cottage from a...
A person going by the name of Steven Oriley has been operating a cottage rental scam through Kijiji the past couple of weeks.The cottage is not owned by Oriley and the actual owner has never put it up for rent. Would be renters contacted Oriley through his ad on...