Primerica Term Life Sales Decrease in 2009

dollar sign by Colin

As reported in the December 2009 issue of the Insurance Journal, sales of Primerica term life products have been decreasing.

The company's recent prospectus filed on November 5, 2009 states that Primerica sold more than 115,000 policies in the six months ending June 30, 2009, compared with more than 121,000 policies in the first six months of 2008.

The prospectus also indicates a slight decline in the average size of new policies along, with a slightly higher lapse rate. (The rate of which people cancel their policies)

You can get a free term life insurance quote at our Instant Term Insurance Quote Page, or feel free to call us at 1-866-899-4840.
 

Top 10 Group Insurance Companies in Canada

As stated in the November/December issue of the Insurance Journal, the Fraser Group recently ran down the list of the Top 10 Group Insurance Companies in Canada. The top 10 companies combined comprise 95% of the market.

1. Great West Life 22.3%*
2. Sun Life 21.6%.
3. Manulife 21%.
4. BlueCross 10.5%.
5. Desjardin 5.9%.
6. SSQ Financial 3.9%.
7. Green Shield 3.6%.
8. Industrial Alliance Group 2.9%.
9. Standard Life 2.2%.
10. Co-Operators 1.2%.

* Great West Life results include Canada Life and London Life.

For a free, online group insurance quote, please visit our Group Benefits Quote Page, or contact us at 1-866-899-4849

Group Insurance Premiums on the Rise

As reported in the November/December issue of the Insurance Journal, group insurance premiums are increasing in Canada.

Insurers had profits of 29.1 million from their Canadian group insurance activities in 2008, according to the Frazier Group's Group Universe Report 2008. Insurers also saw an increase of 7% in revenue coming from group insurance activities over 2007.

The 2009 third quarter results, released by insurers very recently, showed a sustained level of sales in the group sector.

For more details, please feel free to contact us at 1-866-899-4849. You can also get a group insurance quote online by visiting our Group Insurance Quote Page.

Life Insurance: Underwriting and Bariatric Surgery

You can still get life insurance
once you have bariatric surgery.
photo by Colin Rose

We all know that North America is the heaviest continent in the world and for those who've tried dieting and exercise countless times with no success, often the only option they see for themselves is Bariatric Surgery. Even celebrities have gone under the knife, people like Carnie Wilson, Randy Jackson and Sharon Osbourne -- just to name a few.

However, even with such an invasive surgical procedure, you can still get life insurance. It's very important to be aware of the following underwriting guidelines because insurance companies will be basing their verdict on the factors below:

(Life Insurance: Underwriting and Bariatric Surgery continued...)

Five Long-Term Care Insurance Myths

Man by Michelle Tribe

While the number of long-term care policies being sold in Canada is rising, the number of Canadians who are properly insured is still extremely low. In some instances, its due to misunderstanding and myth. The following are five myths surrounding Long Term Care Insurance:

"My Family Will Take Care of Me"

This would have been more likely years ago, when adult children tended to live closer to their parents and women stayed at home. In today's society, children may live across the country or, further still, across continents. Obviously, many women are now active in the workforce, with less time to fulfill the traditional caregiver role. Even if this is a feasible solution, many seniors prefer to have control over their care and don't want to burden their families.

"Provincial Health Care Plans Will Cover My Bills"

Provincial health have experienced major cutbacks in recent years. The last federal budget was focused on tax cuts, not health care, forcing provinces like BC to cut over 6,000 surgeries. Worse, the trend seems to be on rise.

"Long-term Care Insurance is too expensive"

Long-term Care Insurance premiums are lower, when younger you are. So, it makes sense to purchase coverage when you are younger and when premiums are more affordable. The monthly premium if you purchase coverage at age 45 can be as low as $50 a month. Whereas, the same plan for a 55-year-old would be over a $100 a month and for a 65-year-old would be over $200 a month.

"Long-term Care Is to Hard to Qualify For"

Underwriting requirements for long-term Care Insurance are very different from life or Disability Insurance. In most instances, coverage can be obtained without having to complete medical tests.

"I'm Too Young"

A lot of us think that only senior citizens need to worry about Long-term Care, so we put off preparing for the possibility. The fact is accidents or illnesses can strike at any age.

People of all ages can develop serious conditions that require them to need assistance with routine daily activities for an extended period of time and the cost of care can be significant. Long-term Care Insurance can help cover the cost of the care associated with these illnesses and injuries while protecting your assets.

If you have any questions please do hesitate to call us at 1.866.899.4849 ,or visit our Long-term Care Quote Page.

BMO Guaranteed Life Plus Pricing

BMO Insurance's Guaranteed Life Plus is only available through BMO's call centre and not through its broker network. The plus with the plan is there are no health questions, but the plan does not pack a lot of insurance for your premiums dollar.

The death benefit on non-accidental deaths is also limited to a return-of-premium in the first two policy years.

The plan is available in five pricing increments and the table below lists the price at age groups spanning 40 to 75 for both males and females. Smokers and non-smokers pay the same rates.

For more details on non-medical life insurance, please contact us at 1-866-899-4849, or vist our Non-medical Life Insurance Quote Page.

Buyer Beware: Online Life Insurance Websites and Preferred Rates

You're bound to be frustrated
by online insurance providers.
Photo by Jimmy McDonald

Numerous websites offer so-called preferred rates when quoting online life insurance rates. Many of these websites use preferred rates as their default premium in their instant quote calculators, even though less than 30% of all applicants qualify for these preferred rates.

Numerous variables can disqualify individuals from online carriers' preferred rates. These variables include:

1. Prior tobacco use

2. Height and weight

3. Cholesterol

4. Blood pressure

5. Driving record

6. Family history

7. Past substance abuse

8. Hazardous sports and occupations

9. Travel

The difference in premium between preferred and standard rates can be significant. Case and point, a 40-year-old, male non-smoker would pay $62.55 a month for 500,000 of term 20 coverage under standard rates with Equitable life. Whereas, the preferred rate would be 44.55 a month.

When online providers give the preferred rate up front, they hope to lure customers into the application process. Another problem with the online carriers is that they do not have a clear understanding of which carriers best meet risk profiles, (i.e. some insurance carriers specialize in working with diabetics or people with blood pressure or cholesterol histories.)

It's the job of the insurance broker, to best match the insured with the most appropriate plan and insurance carriers for a client's own indvidual needs and  medical situation.

For more details, please visit our Term Life Instant Quote Calculator, or contact us at 1866-899-4849.

December Financial System Review

photo by Garry Knight

This significant report from the Bank of Canada is released biannually, and covers the most important aspects of the domestic financial markets. The main focus is to discuss the possible risks which may affect the Canadian financial system.

In the last three issues (December 2008, June 2009, and the latest, December 2009) the bank has identified five key sources of risk, and has followed their development. From the current report, it is apparent that the overall risk has declined since June. However, potential threats have not disappeared.

(December Financial System Review continued...)

Canadian Tire Life Insurance: Conveinence Comes at a Price

Canadian Tire is better for home
hardware than life insurance.
photo by Shirley Buxton

Canadian Tire started offering term life insurance, underwritten by Canada Life, in 2005. In March of 2009, they tweaked the details of the plan and began rolling out a new marketing campaign, complete with TV commercials.

On the plus side the plan is available with no medical tests but does have a series of health questions. The convenience of not having to meet with a nurse comes at a steep price.

Canadian Tire's term life plan is nearly double the cost of competing Term plans. As illustrated below, Canadian Tire's Term 5 Life Insurance Plan is twice as much as the competing term 10 plans. With competitors, you can get double the term for half the price.

Moreover, Canadian Tire premiums are only level for five years and the plan is not convertible without a medical to a permanent plan. The following is a list of rates showing how Canadian Tire Term Life Insurance stacks up with the competition:

(Canadian Tire Life Insurance: Conveinence Comes at a Price continued...)

TD Life Insurance Leaves Something to be Desired

Find out TD Term Life plans
fall short before it’s too late.
photo by Craig Cloutier

TD Term life insurance has been offering life insurance for approximately 10 years Now their offering plans through their TD Life Insurance division and Transamerica Life.

The TD life plans are available on a Term 10 basis. The Transamerica policies are the same policies offered by Transamerica independent brokers, but TD agents are unfortunately limited to only selling Transamerica’s Term 10 and Term 20 policies. The application process breaks down like this:

(TD Life Insurance Leaves Something to be Desired continued...)

Term Life: Unity Life Updates Risk Structure

Unity Life of Canada joined the Foresters family in April 2008 and as of Jan 23 2012 changed their name to Foresters Life Insurance Company.

Unity Life has updated their Preferred Term risk structure effective immediately!

They've gone from six risk classes down to four, making Class D their new Standard rate.

Also, Risk Classes E and F are now terminated, since these are borderline rates and only need to be applied at issue on a case by case basis. This means they will no longer be available for quoting, but Unity Life maintains that over 80% of their non smoker applicants are approved for preferred classes A, B and C.

To see what other term life companies across Canada are offering, visit our Term Life Instant Quote Page.

Canada’s Best Universal Life Policies

What company has the best
Universal life offering in Canada?
photo by Frank Steele

"You wanted the best, you got the best" is not just a line that works for rock 'n' roll, but Universal Life insurance as well. The following is a list of Canada's top Universal Life policies for a 40-year-old female, 40-year-old male non-smoker, and a 40-year-old female non-smoker at coverage amounts of $250,000.00, with a level cost of insurance option.

Universal life policies are available with either an increasing cost of insurance option, or a level cost option. The level cost option guarantees the cost of insurance will remained fixed for life.

Key advantages for each company:

(Canada’s Best Universal Life Policies continued...)

Whole Life Insurance for Children: A detailed look at Canadian Insurance Companies

Insure your kids early,
set them up for life.
Photograph by Lars Plougmann

Whole Life insurance can provide a valuable option for individuals looking for lifetime protection, fixed premiums and a tax sheltered savings component.

Participating Whole Life policies allow the insured to participate in the profits of the insurance company. By taking out a policy on a child, the insurance can benefit in the following three ways:

(Whole Life Insurance for Children: A detailed look at Canadian Insurance Companies continued...)

Whole Life Insurance Policies in Canada: A Comparative Analysis

Whole life insurance options
can be overwhelming
—we break it down for you.
by David Goehring

Whole Life insurance policies can be broken down into two types:

Non-participating Fully guaranteed contracts and the plans do not participate in the companies profits.

Participating Whole Life Policies Offer policy guarantees, but in addition, allow the applicant to participate in the profits of the insurance company.

Whole Life policies They've gained a resurgence in popularity in Canada over recent years, as consumers are becoming more concerned with market volatility.

(Whole Life Insurance Policies in Canada: A Comparative Analysis continued...)

Travel Insurance: Points to Remember

Before you take off,
protect your own interests.
photo by Sara Petagna

As the holiday season approaches, you and your family may be looking to get out of dodge. If you are traveling in the coming weeks, there's some regulations, rules tricks and tips you may want to be aware of.

(Travel Insurance: Points to Remember continued...)

One Third of Canadians Feel Underinsured

Parents worry about their families.
photo by Kipp Jones

68% of Canadians polled by Ipsos Reid said they feel like they have enough life insurance for their family’s needs. That leaves 32% of the respondents in doubts about their policies.

This survey made for RBC Insurance found that parents feel more concerned than adults without children. As much as 76% of parents said they worry about their family's financial situation in case of their death or illness.

Cathy Preston, head of Life and Health in RBC Insurance said: "The survey suggests that some Canadians are not confident they have enough life insurance."

Survey further focused on health issues. 70% of parents (and 51% of households without kids) feel too much under influence of stress. 57% of respondents believe stress in their lives grew bigger in recent two years.

When asked about possible sacrifices to add five more healthy years in their lives, 55% of those polled said they would not give up watching television, 45% said they would not give up red meat, and 34% would not give up alcohol.

Generally, men tend more to neglect their health than women. 50% would not exchange red meat for five healthy years, compared to 40% of women. Similarly, 39% can't sacrifice alcohol, while only 28% of women can't do the same.

Canadians Enjoy Greater Benefit Choices

Canadian employers provide
better benefit plans than
workplaces in other countries.
photo by Lee Chisholm

A recent survey has found Canadian employees have more choices through their benefit plans than employees working  around the world.

Mercer’s survey of 1,752 employers in 47 countries found that just 20% of employers globally provide at least some choice in the benefits they offer, while 7% have comprehensive flexible benefits programs.

(Canadians Enjoy Greater Benefit Choices continued...)

The Future Performance of the Canadian Economy

Go ahead for the future.
photo by Wlodi

The Canadian economy has been considered well prepared for this crisis. A sound financial system, fast housing market recovery, solid social and health care networks, abundant natural resources – all these factors were supposed to make recession short and not very painful. However, the economic forecasts for the future are blurry.

(The Future Performance of the Canadian Economy continued...)

Canada Protection Plan: Non-medical Whole Life Policies

Canada Protection Plan Whole Life policies are underwritten by Unity Life. Their whole life policies are divided into three categories.

1. Deferred life. Under the deferred life policy, the insured has to answer six health questions and the death benefit is limited to a return of premium plus 3% interest, if a death occurs by non-accidental means. If death occurs by accident, the payout begins immediately.

2. Simplified Life. Under this policy, the insured has to answer a total of 20 health questions, and the death benefit starts immediately with face amounts up to $50,000.00.

3. Simplified Life Plus Plan. Under this policy, the insured has to answer 22 health questions, but the death benefit on this policy starts immediately and amounts up to $75,000.00 are available.

All three policies require no medical tests and the insurance company will not contact your doctor. However, they will require that, the insured complete a brief phone interview. Plans are also available on a life pay or limited pay basis.

You can get additional details on Canada Protection Plan Whole Life non-medical plans by visiting our Non-medical Insurance Quote Page or contacting us at 1-866-899-4849.

USA Today takes Travel Insurance Questions from Readers

USA Today answers your
travel insurance questions
before the family vacation.
Photo by Lina

With the holiday travel season heating up and flu season at its apex with H1N1, USA Today recognized that perfect storm and asked its readers to submit all of their travel insurance confusions and concerns. At LSM, we share this mission. Our new partnership with Travel Underwriters is meant to help you get travel insurance quotes and policies right from the comfort of your livingroom.

(USA Today takes Travel Insurance Questions from Readers continued...)

New Locked-in Account Laws for Ontario

The new Ontario LIF laws
will give freedom
to account holders.
photo by "bloomsberries"

New legislation for locked-in accounts in Ontario means greater access for clients in the province with money locked-in to insurance plans and greater flexibility when it comes to managing their savings for retirement.

(New Locked-in Account Laws for Ontario continued...)

Long-term Care Consumer Report

Growing 2 old has never
been easier with Long
term care insurance.
photo by Edwin Kelly Tofslie

We're always surveying the latest and greatest in insurance plans available in Canada and today we're breaking down the advantages and disadvantages of some of leading long-term care plans in Canada. We do the work, so you don't have to.

In 2008, LIMRA, a financial research firm, introduced stats that underscore the importance of getting long-term care insurance early. These include the following:

(Long-term Care Consumer Report continued...)

Travel Insurance: An Olive Branch that’s Peace of Mind?

This may have been avoided
with Travel Insurance.
photo by Daniel Lobo

When most of us go on a trip, insurance is the furthest thing from our minds. We're there to take a load off, see the sites or visit family and friends. But what if you have an accident? What if the family member you're traveling with falls ill? What if your belongings and money are stolen?

Travel insurance can save you the grief of those nightmares for only a few cents a day. According to Maclean's Magazine, Canadians are losing $2 million dollars a day in cancelled flights -- and that's just from Air Canada.

(Travel Insurance: An Olive Branch that’s Peace of Mind? continued...)

LSM Partners with Travel Underwriters to Provide Online Travel Insurance Solutions

December 1, 2009 -- LSM Insurance is proud to announce we will be adding travel insurance to our ever expanding repertoire of online insurance services. 

LSM has partnered with Travel Underwriters, a company with more than 40 years experience in the travel insurance field, to go beyond providing quotes for our customers and, for the first time ever, hand them the ability to provide travel insurance for themselves and their families right from the comfort of their own living rooms.

"Our clients can now get quotes and apply instantly in the comfort of their own home. We are extremely proud to be associated with Travel Underwriters, a leading travel insurance provider in Canada."

Travel Underwriters has insured more than one million trips a year over its 40 years in the business, establishing formidable partnerships with insurance brokers, automobile associations, banks, credit unions, travel agencies, tour operators and airlines.

"We are a company committed to reaching the full potential of internet technology," - Kathy Starko, president of Travel Underwriters.

Through a simple two-step process, Travel Underwriters will combine factors such as, travel dates, frequency of travel (in minutes), travel dates and the number of people traveling to deliver a customized quote that can be compared side-by-side with various travel insurance policies and coverage costs.

To take full advantage of our newest partnership and start down the path toward comprehensive, reputable travel insurance coverage, please visit Travel Underwriters' Travel Insurance Page, or call us to discuss this exciting development at 1-866-899-4849.