Non-Medical Life Insurance Myths

Non-medical life insurance policies are often misunderstood. The following are five of the most common non-medical life insurance myths:

Myth 1. Non-medical life insurance means that there are no medical tests or health questions. Non-medical life insurance policies are broken down into two categories, guaranteed issue life insurance, which has no medical tests and no health questions, and simplified issue plans, which have non-medical tests and three to 12 health questions.

Myth 2. All no medical life insurance plans are priced the same or very similar. Guaranteed issue policies are generally much more expensive than simplified issue policies, and even among simplified issue policies, there can be sharp differences in premiums -- often up to 50% or 60%.

Long-Term Care Insurance: Why you Need it More Than Ever

Canadians are living longer than ever before, and while this is good news, it does have a financial impact. According to Statistics Canada, one in every seven Canadians is 65 and over.

Provincial health insurance plans do not have the resources to pay the full cost of long-term care. They provide no coverage for private facility care and pay only a limited amount for care at home.

Expenses for private nursing, cleaning, shopping, travel, etc. are primarily the insured's responsibility. These costs can add up to thousands of dollars and can create a major dent in their family's financial situation. Assets can deplete in a matter of years and sometimes months.

BMO’s Children’s Life Insurance Plan

BMO Insurance offers a children's life insurance plan sold directly via its call center and not its broker network. The plan is called the “Headstart in Life Plan.”

Five Facts about BMO Insurance

BMO Insurance’s Easy One plan is a non-medical life insurance - simplified issue plan sold directly via the BMO call center and is not available through its broker network. The plan features are below:

Understanding the Guaranteed Renewal Feature on Term Insurance Policies

Most term insurance policies in Canada offer a guaranteed renewal feature. This means the insured's life insurance policy can be renewed beyond the stated term without a medical. However, the renewal premiums on term policies build-in a buffer that accounts for the insured's possible change in health health may have changed during the term. Therefore, the renewals on term policies are substantially higher than the initial premium and much higher than on new equivalent term policies.

Below is an example of $500,000 of Term 10 coverage with BMO Insurance for a 40-year-old male, non-smoker.

The premium for the initial 10 years is $385.00/year

The renewal premium in year 11 is $2,985.00year

The renewal premium in year 21 is $7,105.00/year

The renewal premium in year 31 is $19,455.00/year

The renewal premium in year 41 is $52,800.00/year

The total gross premium put into the policy by the insured's 84th birthday would be $563,300.

Term insurance policies can be a very good value, if they cover a short term insurance need, but it's important to determine the length of the term needed.

If you need a policy beyond the initial term, the long-term cost of the policy can be prohibitive.

For more details, you can contact us at 1-866-899-4849 or visit our Term life Insurance Quote Page.

Empire Life’s Term 100 Policy

Empire Life Term 100 policies are available with or without cash values.

These are some additional features of the policy:

* It is available throughout Canada.
* Issuing ages are 0 to 85.
* It Uses age nearest pricing
* The policy fee on the plan is $60.00 per year, but if the insured has an existing policy with Empire, the policy fee is reduced to $30.00 annually.
* The minimum face amounts of $25,000 or $500 of annual premium.
* The policy is available on a Joint first-to-die or last-to-die basis or on a multi-life basis.
* There are no preferred rates on the policy.

What Are the Different Types of Life Insurance Policies Available in Canada?

There are variety life insurance policies available in Canada – the best type of plan depends on the insured’s needs and budget. The following is only a snapshot of the different types of plans:

Life insurance is generally grouped into two major types – temporary insurance and permanent insurance.