A Closer Look: Industrial Alliance’s Unique Mortgage Insurance Solutions

Industrial Alliance has term mortgage insurance plans that  provide various unique benefits to take advantage of.

A home is the biggest investment most people make in their lifetime, so it's imperative that you cover your investment and protect your family in case of  financial catastrophe.

Industrial Alliance has term mortgage insurance plans that could provide a unique solution with various benefits to take advantage of:

• A level death benefit or a decreasing death benefit.

• A Pick-a-term Policy, which allows you to choose a term that's identical to the amortization period of your mortgage and,unlike the bank, you can convert your coverage to a permanent plan at anytime.

• The bank doesn't choose the plan - you do, putting you firmly in the driver seat of your financial future.

• You can insure your payments in the event of sickness or accident.

Industrial Alliance plans are also underwriten at the time of application. Unlike most lending institutions, which participate in post-claim lending. They do additional underwriting at the time of the claim, which increases the amount of time it takes to process the claim and the likelihood your claim will not be paid.

Take a closer look at Industrial Alliance's Pick-a-term Policy, thanks to this example of a 40-year-old, male non-smoker with $250,000 of coverage.

$250,000 Term 10 $26.55/month

$250,000 Term 20 $39.38/month

$250,000 Term 30 $62.78/month

$250,000 Term 40 $90.45/month

How Life Insurance Can Help Mind The Gap - In Lost Savings

Life insurance can be your safety net, helping you protect those basic necessities of life and insuring your family's future for years to come, especially in these volatile economic times.

If a $600,000 investment falls to $400,000, life insurance can be there to make up the  difference and insure that the value of the estate is maintained.

Many are facing a significant hit to their investments thanks to the economy. If a $600,000 investment falls to $400,000, life insurance can be there to make up the difference and insure that the value of the estate is maintained for the benefit of its heirs.

Below are two beneficial policies that could bridge the gap and maintain your investments:

A 50-year-old, male non-smoker can get a $200,000 policy of Term 10 for $38.07 a month, or a Term 20 policy for the same value at $75.87 a month.

The Best and Worst Life Insurance Policies in Canada

Life insurance may not be on the top of anyone's expenses list, but when it's time to invest in your family's future, you want to know you are getting the best coverage at the best price. Before you hand the cash to just any broker, you need to first determine how much life insurance you need. Our online Needs Analysis Calculator can let you know how much is just enough.

It's no secret that life insurance rates vary widely from company to company; knowing what separates the best from the worst can save you thousands upon thousands of dollars.

The next step is finding the best plan for your situation. Our Instant Quote Page cross-references all of the Term Life insurance plans across Canada to find you the best price in a matter of seconds. It's no secret that life insurance rates vary widely from company to company; knowing what separates the best from the worst can save you thousands upon thousands of dollars.

Below, we're blowing the lid off those carriers who reign on top and those who probably don't want you to know they're scraping the bottom of the barrel:

$250,000 Coverage, 40-year-old, Male Non-Smoker, Term 10

*Best Plan in Canada: RBC Insurance $22.23/month

*Worst Plan in Canada: Union of Canada Life Insurance $40.58/month

$250,000 Coverage, 40-year-old, Male Non-Smoker, Term 20

*Best Plan in Canada: Transamerica Life $36.90/month

*Worst Plan in Canada: Sun Life Insurance $42.30/month

$250,000 of Coverage, 40-year-old, Male Non-Smoker, Universal T-100

*Best Plan in Canada: Assumption Life $120/month

*Worst Plan in Canada: Standard Life $153.28/month

$250,000 Coverage,40-year-old, Male Non-Smoker, Whole Life 20-Pay

*Best Plan in Canada: Manulife $204.13/month

*Worst Plan in Canada: AXA Assurance $389.70/month

*The above rates listed were at the time of publication and will vary once  the included insurance companies adjust their premium schedules.

Term 100 Life Insurance: The Misunderstood Insurance

Term 100 life insurance is a very misunderstood product. The name is partially a misnomer. "Term" normally implies that this is a term policy, but Term 100 means they are actually permanent policies because they have a term of 100 years and best of all, the premiums never increase.

The policies are technically paid up at age 100, so the premiums cease at that point, but the coverage continues. Some Term 100 policies in Canada do offer a cash value, but most of them are offered on a stripped-down basis. This means that the owner does not get any return of premium if the policy is cancelled prior to death.

Term 100 means they are actually permanent policies because they have a term of 100 years and best of all, the premiums never increase.

Of course, one of the drawbacks of Term 100 policies is that they're payable to age 100 (your entire life) and if the policyholder misses a payment at any point prior to death, the policy will lapse after a 30-day grace period. This can create a problem for policyholders who switch banks, but forget to tell their broker or insurance carrier.

Also, Universal Life policies are often sold with an underlying Term 100 cost-of-insurance. These Universal Life policies can act as a Term 100 policy with an optional savings component. The only variable fluctuation in these T-100 Universal life policies is the premium tax, which is built into the policy, but may rise over time. Still, the insurance company bares the entire risk when it comes to a Term 100 policy, so your premiums will always stay the same.

One big advantage of the Universal Life Term 100 is the policy holder has the option to pick up an additional savings component that can be used to offset future premiums. If the cash value is not used, it is paid out on top of the death benefit, tax free.

Universal Life Term 100 and straight Term 100 policies have gone up as interest rates increase. Insurance companies use long term fixed-rate investments in their reserves primarily to offset future claims. Declining interest rates have made these plans less profitable for insurance carriers and many companies have pulled them from their product shelves.

These plans aren't available in most countries anymore, so if you want a Term 100 or Universal Life Term 100 plan, you better act soon. Get a free quote at our Online Quote Page.

Below is a summary of the plans offered by the top three Universal Life Term 100 and straight Term 100 carriers in Canada. The example is $250,000 of coverage for a 40-year-old, male, non-smoker:

Straight Term 100

Manulife: $117.50/month

Unity Life: $126/month

Empire Life: $132.53/month

Universal Life Term 100

Assumption Life: $120/month*

Manulife: $122.83/month

Empire Life: $125/month

*The Assumption Life policy has a built-in guaranteed cash value, which can be used via a policy loan to offset premiums in later years.

A Closer Look: Canada Life Competitive Term Solutions

Their rates are among the best in the industry and now Canada Life is lowering them on their Term 10 and Term 20 plan, effective May 19th.

Canada life's Term plans can be a tad confusing for the consumer because all their plans are issued under the brand name "Simply Preferred Term" when in fact. They have five classifications;

Non-Smokers

• Gold (Standard)

• Platinum (Preferred)

• Diamond Plus (Super Preferred)

Smokers

• Silver (Standard)

• Silver Plus (Preferred)

The new rates apply to single life and joint first-to-die, stand-alone policies, along with Term 10 and Term 20 riders added after May 18, 2009 to:

• All participating life insurance inforce policies

• Universal life insurance inforce policies issued after May 30, 2005

Additional value-added features include:

• A wide selection of benefits and riders to tailor your coverage.

• The fact that Term 10 may be converted to a Term 20 policy, prior to the fifth policy anniversary, without evidence of insurability.

• The ability to convert to a choice of participating or non-participating permanent life insurance.

i.e. 40, male non-smoker with $250,000 @ standard/gold rates Term 10, means $22.05/month, or Term 20 means $36.08/month. 

7 tips to boost your health condition instantly

The cost of your health insurance policy premium depends on a number of factors like your age, the benefits you choose or your health status. The first two values are usually both quite firmly defined, but the condition of your health can be improved immensely without spending too much additional time or money. If you've always wanted to improve your health condition, follow all or some of our tips and feel the difference for yourself!

Hydration

Do you drink enough? Being hydrated or dehydrated influences not just how you feel, but also your efficiency. Long term dehydration often leads to skin problems, loss of appetite, worse physical performance, trouble concentrating or even to a stroke, to name a few. Staying hydrated is a bit tricky, because adults developed the nasty habit of ignoring the early signals of thirst and drink only when the thirst (dehydration) fully develops. In fact for every 16 pounds of your weight you should drink 10 fl oz (1 big glass) of fluids every day, while spirits, wine, coffee and black tea don't count in at all and beer contributes to your daily intake only by half of its quantity. (We are of course not suggesting that you should drink beer twice as much.)

Proper meal timing

If you often feel tired even though you don't usually skip meals, try to eat 6 light meals a day instead of just 3 big meals. Your blood sugar will keep quite high during the whole day which should help you to stay concentrated on what you are doing. Also eating more times smaller amounts of food helps to get slimmer, so it this is one of your goals, go for it!

Sleep less

If you think you sleep enough but still feel tired and sleepy during the day, or if you lie in bed for ages, not able to fall asleep, try the following trick. The following night go to sleep later than you normally do and get up after only 5 hours. If you slept the whole time, add additional 30 minutes the following night and if you sleep again the whole time, keep adding 30 minutes at a time, until you actually find the right amount of sleep time for you. The important thing is that you sleep the whole time. If you can't, shorten the time you spend in bed. You should experience much more energy during the day and getting to sleep should not be a problem anymore.

Quit smoking

What actually happens in human body after the last cigarette? Within 8 hours, carbon monoxide level in blood drops to normal, while oxygen in blood increases back to normal. After 24 hours, the chance of a heart attack decreases. After 48 hours the nerve endings begin to re-growth and the ability to smell and taste improves drastically. After about one month after the last cigarette, coughing disappear, sinuses are clean again and lung function increases. This 23 minutes presentation might help you to make the final decision, so give it a try!

Get a pet

Why you might ask? According to the many studies, having a pet (especially a dog) actually decreases your blood pressure and heart rate! How is that possible? One way to look at it is the increased exercise that comes with caring for a pet. Another thing is the calming influence of another living creature - especially for those living alone.

Take a vacation

Of course taking some time of every year or even a few time a year contributes to your health in many ways, but to be more specific - taking a vacation is very good for your heart! According to a study at The State University of New York, middle-age women who didn't take frequent vacations have 8x the risk of either having a heart attack or dying of heart disease.

Laugh out loud

You've surely heard of this one: laughing improves your health. But how exactly? For one, laughter reduces the stress hormones that have been linked to heart disease. It also lowers the blood pressure and prevents the heart attack by making your blood vessels expand.

Disability Insurance: Canada’s Forgotten Insurance

Good thing he has the right coverage

When you're young it's easy to think you're invincible and nothing will ever happen to you, but the hard truth is, if you're under 65, you're 60% more likely to become disabled than you are to die.

The second leading cause of bankruptcy in Canada, behind over extension of credit, (29%) is injury or illness leading to disability (15%) because it blocks people from sustained employment. Yet, most Canadians don't understand how disability insurance works and why they may not be adequately covered.

(Disability Insurance: Canada's Forgotten Insurance continued...)

5 Traits of Successful Life Insurance Brokers

Becoming a successful insurance broker is hardly a cake walk, it takes discipline, hard work and a passion for helping people. The best of the best rise to the top and win over new clients with the following five keys to success:

Continue reading this article in our Broker's Tips Section.

7 Steps to Getting the Cheapest Term Life Insurance in Canada

We all know that most people don't spend their days thinking about life insurance, but if they did they would see that term life insurance rates vary widely from company to company, and that taking the time to investigate their options could translate into thousands of dollars worth of savings for them and their families.

The following 7 steps make sure you'll be several steps ahead of "most people". They will help you cover your bases and make sure you're always paying the lowest life insurance price possible.

Taking the time to investigate your options could translate into thousands of dollars worth of savings for you and your family.

Step 1: Make sure you're buying the right amount of coverage. You can visit our online needs analysis or calculator to find out how much insurance you really need.

Step 2: Pick the plan that is right for you.Term policies have a lower cost, but remember that cost rises as you get older.

Step 3: Make sure you are working with an independent broker with access to a variety of carriers. Many brokers, though independent, only have access to two or three carriers and aren't always shopping for the best rate.

Step 4: Buying life insurance is a great excuse to stop smoking. Smokers pay higher insurance premiums than non-smokers. A 40-year-old smoker will pay $77.40 a month for $250,000 of Term 20 life insurance, while a non-smoker will pay $36.90 a month.

Step 5: Improve your overall health. Many variables go into determining what insurance classification you will recieve, some of those are beyond your control like family history, but others are completely and totally within your control, like blood pressure, build, and other lifestyle factors. We recommend you do your utmost to improve those factors within your control and have faith about the rest.

Step 6: Be careful when selecting additional riders and benefits. Usually these are traps designed mostly to increase your premium payments.

Step 7: Shop online. Our Term Life Calculator compares the prices of all the life insurance companies across Canada to make sure you're not overpaying.

A Closer Look: HSBC Term Life Insurance

In just minutes, you and your family can enjoy peace of mind for the next 10 or 20 years. Simply create a personal quote, answer a few questions, then enjoy instant coverage, all online. It's quick, it's convenient, it's HSBC.

-Source: HSBC Insurance

These HSBC term life policies are underwritten by Household Life Insurance Company and, in keeping with convenience for the insurance consumer on the run, they come with only seven health questions. However, this rapid-fire solution comes with a heavy price. The premiums are almost double the rate of the competition.

Just check out this side-by-side comparison with other plans below:

Term 10: $250,000, 40-year-old male smoker

HSBC Term 10: $31.50/month (preferred rates not available)

RBC Insurance Term 10: $22.93/month (standard rates)

Transamerica Term 10: $17.33/month (preferred rates)

Term 20: $250,000 40-year-old male smoker

HSBC Term 20: $45.72 /month (preferred rates)

RBC Insurance Term 20: $36.90/month (standard rates)

RBC Insurance Term 20: $26.01/month (preferred rates)

In the end, the HSBC term life policies come with several distinct disadvantages, as listed below:

• Higher premiums

• Maximum issue limit is $250,000

• Policies are not convertible to a permanent plan without a medical, so if the insured's health changes and they want to convert the coverage, they'll probably be out of luck.

• No available options, or riders

• The policy is only available online, so don't expect great service.

Life Insurance: Are Canadians Over Insured?

Canada is thought to be a conservative nation and part of conservatism is the prudent planning it takes to purchase life insurance, maybe that's why 70% of Canadians have some sort of life insurance policy. While life insurance forms the backbone for most sound financial plans in Canada, we wondered if other nations around the world think so.

Below is a chart highlighting what percentage of a nations population has some sort of life insurance plan, whether that be group or individual:

The Top 5 Life Insurance Rip-offs

careful before you sign
photo by Christian Birmele

In the land of life insurance, it's important to be cautious and inoculate yourself against the traps that exist in the business. When it comes to your financial future, knowledge truly is power, so we hope that by exposing these rip-offs, you'll become a more powerful and savy life insurance consumer.

A Closer Look: CPP Term Plans

Since June 2006, Canadian Protection Plan [CPP] has offered various term life insurance plans underwritten by Unity Life. The flagship plans in CPP's lineup are Deferred Term, Simplified Term and Simplified Term Plus.They are all available without a medical and can be purchased online or through a broker.

The flagship plans in CPP's lineup are Deferred Term, Simplified Term and Simplified Term Plus.They are all available without a medical and can be purchased online, or through a broker.

Before you choose a plan that works for you, take a closer look and see what each one means for your financial future.

Read the rest of the article A Closer Look: CPP Term Plans.

10 tips that keep your wallet full

Is the thought of financial crisis troubling you? Do you want to spend less?
No need to be worried: with the following tips you will be able to cut on expenses in no time. 

I. Grocery shopping
Don’t ever shop on empty stomach! That way the advertisement is especially tempting. Before you leave home, make a shopping list and stick to it! Match up the prices per pound or ounce to find the best deal. If you look around the shelf, you will note that cheaper items are located at harder to reach locations, usually at the bottoms of shelves. More expensive goods would be presented in front of your eyes. If you can tell the difference between a $9 bottle of wine and a $30 bottle of wine blindfolded, buy the more expensive one. If you can’t, stick to the $9 one. Having your shopping list ready, don’t fall into the trap of buying stuff because it’s cheap.

II. Water
Do you really need to pick up your favourite bottled water every day? By filtering your tap water you save both money and you also help the environment. Sure: recycling all the plastic bottles is one way to go, but not creating the waste works even better.

III. Coffee
Can’t live without caffeine? Most people can’t. But is it worth paying for your coffee every morning? Learn to make coffee yourself and save a lot.

IV. Snacks
The breakfast long forgotten and your lunch break far away time for some snack. Chocolate bar might be tasty, but eating it every day is no good to your health and wallet. Try fruits and veggies instead. Getting slimmer is just another side effect.

V. Movies & Cable
A night out at the movies is not particularly cheap. It can be between $20 and $30, including popcorn. On the other hand, for $9/months you can watch all the movies you like on Netflix. But when you do finally sit down and watch TV, do you go through all the channels you have available?
Have a look at what you are actually paying for and get rid of all those channels you have no use for.

VI. Music CDs
Do you still keep collecting expensive new released CDs for one or two songs? Why don’t you check out the on-line services allowing you to download just the songs you like? iTunes or Amazon let you download them for under $1 per song.

VII. Phone
While some people may be able to live without a cell phone quite happily, most of us can’t either for personal or professional reasons. But having a cell phone doesn’t have to be a burden. Don’t stay with your cell network provider only because of loyalty. If you find a better plan with another company, go for it. Also consider pay as you go.

VIII. Gas
For busy professionals, having a car although costly is a necessity. Because the use of gas differs significantly, you should look up the fuel efficiency of gas online before you make the purchase. What you save on a single refill may not be a lot, but over the years the savings are huge.

IX. Smoking
Quitting smoking not possible for you at the moment? Try rolling tobacco instead. Switching to rolling tobacco saves you plenty of money (up to 50%), since you tend to use less tobacco per cigarette. Give it a try!

X. Credit cards
Having a credit card could be a real advantage in unforeseen situations when you are short of cash. On the other hand, that tiny bit of plastic can really make your life costly and difficult, when you are unable to repay it on time. Most people keep using their credit cards only out of a habit. Think differently. Close all your credit card accounts except for one and live on what you make! Or do you really enjoy paying the interest rate every time you pay with that piece of plastic?

I hope these tips help you save money. They've helped me and my friends afford wonderful family vacations and cruises. Live well and smart. Don't forget the best things in life are free - time with your friend and family. Make the most out of life and don't work yourself to death.

I have my office working on a four day work week and they love it. More time to enjoy life and more time for friends and family.

BMO Life Assurance Re-Pricing Term Life Plans

AIG Life Canada was once very aggressive in the term life market and its successor, BMO Life Assurance, has followed suit by re-pricing both its Term 10 and Term 20 policies, effective May 1st.

BMO Life Assurance, has followed suit by re-pricing both its Term 10 and Term 20 policies, effective May 1st.

Both plans have the follwing qualities:

• They are guaranteed renewable to age 85.

• They are guaranteed convertible without a medical

• Preferred plans are available for those in excellent health and have very good family health history.

• Multi-life discounts, with the policies available on a joint-life basis.

The plans also can come with a Unique Business Guaranteed Insurability Option, which gives the business owner the option to buy additional insurance, as the business grows, without requiring additional insurability evidence.

But how does BMO's Term Insurance stack up against the competion with its new rates? It's time to take a closer look, so that you can see the best fit for your situation:

Preferred Term 10 (Standard Rates)

Preferred Term 20 (Standard Rates)

Non-Medical Life Insurance Consumer Report

Couple by Masahiro Hayata

Non-medical life insurance plans can be purchased instantly, without medical exams. No doctors or nurses will need to visit. You just need to answer yes or no to a series of questions. Traditionally, only a limited number of companies offered these types of plans in Canada, but competition is heating up among insurance providers.

Non-medical life insurance plans can be purchased instantly, without medical exams.

Read the full article Non-Medical Life Insurance Consumer Report.

Life Insurance, Underwriting and Bankruptcy

It's standard practice for insurance companies to determine your life insurance premiums based on several influencing factors. These variables include the following:

• Your age

• Gender

• Whether you smoke or not

• Overall health

• Family history for disease and medical conditions

Unfortunately, with the current economic crisis, a new factor that could influence premiums is having more and more impact on more and more Canadians everyday–bankruptcy.

More than 117,000 Canadians filed for bankruptcy over a period of 12 months ending in January 2009, an increase of 15.8% from the previous year.

-Source: Canadian Business Blog

Below is an inside look at how various Canadian insurance providers tackle bankruptcy:

AIG

Either a letter from the trustee advising that they are aware of the insurance purchase and will allow it, or a discharge.

AXA

Will consider after a discharge.

Canada Life

$100,000 is allowed, as long as the individual doesn't have any other insurance in force.

Desjardins

Will consider after discharge and will also verify your current income and net worth.

Empire

Will consider after discharge.

Equitable

Will consider after discharge.

Industrial Alliance

Will consider under the following conditions:

• Personal life insurance only

• Only after a ten year term plan, to a maximum of $100,000

• Individual has a well-defined need

• The plan must be accepted as standard and there will be no criticism of your lifestyle (Alcohol,driving record, criminal record).

RBC Insurance

Will consider after discharge.

Sun Life

Either a discharge, or a letter from the trustee indicating the agreement and the need for the insurance purchase.

Standard Life

Will consider after discharge.

Transamerica

Will consider a max of $100,000, if there is no other insurance currently in force.

Unity

Will consider after discharge.