Ask the expert: life insurance
Life insurance can be a sensitive topic, but
it’s an important one for Canadian families. Answering
some of the most common questions, Dave Minor, Vice President, TD
Insurance, offers his expert insight.
Q. Why do I need to buy life
A. Life insurance acts as a safety net for your
loved ones and gives you the peace of mind knowing they will be
taken care of when you’re not here. It offers a
guaranteed source of tax-free income to cover costs such as funeral
expenses and even future expenses such as post-secondary education.
Life insurance is an important part of your family’s
financial tool kit. Sure, you’re planning for tomorrow
with tools such as your retirement fund, registered education
savings plan and more, but what if something were to happen to you
today? It’s about protecting a lifestyle including your
income and assets.
Q. Aren’t I covered by my
A. According to the recent TD Insurance Life Stages
Poll, one-third of Canadians rely on life insurance through their
workplace benefits program. Unfortunately, workplace policies often
don’t provide your beneficiaries with sufficient coverage
and almost always end if you switch employers. Purchasing your own
policy gives you control and allows you to tailor the policy to fit
Q. Who should get life
A. If someone is relying on you, you should get
life insurance. Parents, especially, should both be insured. The
challenge with life insurance is that there isn’t a call
to action until it’s often too late, which is why it
should be a part of your financial tool kit. It helps you protect
what you have, plan for the future and be prepared for the
Q. What is term life
A. Term life insurance offers a fixed amount of
insurance for a fixed period of time – such as 10 years.
This simple type of coverage is great for parents with younger
children who want to make sure that their loved ones are covered
financially in the event the unexpected happens, often covering
household debts and helping with costs such as child care.
Q. I’m overwhelmed with all of
the details. Where should I start?
A. The best place to start is to answer two
- If something happens to you, what would you like your life
insurance to cover?
- And, how much have you budgeted for life insurance?
Then, do your research – either online or
by phone. If you have insurance, find out exactly how much. The
recent TD Insurance Life Stages Poll found one-quarter of Canadians
don’t know how much life insurance coverage they have.
The easiest way to get started is to speak to a professional.
That’s what good insurance providers, such as TD
Insurance, are there for.
For more information about life insurance, visit www.tdinsurance.com or call