Personal Life Insurance
Life insurance is a powerful risk management tool that can protect you against unforeseen events. It can also be part of a sophisticated financial or estate plan for families or businesses.
Insuring Personal Debt
- Eliminating debt on the death of an individual can be vital for the financial stability of the survivors
Income Replacement on Death
- The death of an adult family member has significant financial consequences for the surviving family members as it generally means the loss of income. Insurance can indemnify (compensate for) this risk by replacing lost income and is generally the most cost-effective means of doing so.
- This is a common way to reduce the taxes you owe on the estate through making a charitable donation.
Income Taxes Due on Death
- In addition to debt planning and family security, other financial consequences can arise on the death of a family member. This can include taxes, probate fees, time off work for the surviving spouse, etc.
Corporate Life Insurance
Shareholder / Key Employee
Companies can protect themselves from losses relating to a premature death of a key employee by purchasing a life insurance policy on their shareholders and key employees.
Buy-Sell Funding / Shareholder Agreement Obligations
When a shareholder dies, the Buy-Sell clause of a shareholder’s agreement protects the interests of the surviving shareholders and the heirs of the deceased by forcing the sale of the deceased’s shares at fair value. With properly structured life insurance, cash will be available to execute the share purchase on a tax-free basis.
Living benefits, such as disability insurance, long term care and critical illness are designed to provide financial protection during one’s lifetime.
This income replacement insurance protects an individual if they become unable to work due to an injury or illness.
This insurance can stand alone or compliment disability coverage by providing a lump sum benefit after the diagnosis of a serious illness.