When people talk about life insurance, they immediately think of the working class with a family that depends on them for their income. The loss of their lives would have a devastating effect on their families’ finances, and life insurance on their lives is common to prevent such a loss. While that may be the most common demographic that requires insurance, the elderly segment of the population should not be neglected. In this post, we will discuss the types of insurance seniors need.

Mortgage life insurance is sold by your lender to pay off the mortgage in case you pass away.

But is it a good deal?

It is for the bank.

In this post, I will show you exactly why that is. I’ll also show you an alternative to mortgage life insurance that gives you better coverage. Oh, it can also save you 30%.

Let’s get started.

If you are one of the millions of Canadians whose employer offers a group benefits plan with life insurance coverage, you may be thinking if individual life insurance is still needed to protect your family. In this post I’ll outline some of the basic differences between the two products so that you will have a clearer picture on whether or not you should buy individual life insurance.

Most people with a family dependent on their income know that life insurance is an important part of their overall financial plan, but few know how much coverage they actually need. Some life insurance agents swear by a formula, such as 8 times of salary, or a flat rate of half a million for everybody. But it’s most likely that these ‘methods’ of determining your life insurance needs are inaccurate. Instead, they are fabricated by the agent to simplify his life by not having to perform the calculations manually. So what is the right amount? Thanks to software provided by the life insurance companies, all it takes is a few minutes to determine the life insurance coverage that you need. They are typically all very similar, prompting you to input cash and income needs at death, and sources of cash at death. It then adds these amounts together to output your total coverage required.

The main argument against term insurance is that premiums often increase dramatically at renewal, becoming up to five times as expensive at the first renewal and up to one hundred times the initial premium at the final renewal. The premium increases do not reflect the increase in an individual’s income. On the other hand, permanent insurance is likely to be too expensive initially, beyond the means of the average consumer. There appears to be room for an intermediate product that has neither the outrageous renewal increases of term nor the staggering initial costs of permanent insurance. PPI Solutions, along with Assumption Life, came up with a solution, called LifePhases and LifePhases Plus.

Choosing the right life insurance policy is one of the most important financial decisions you’ll make, but it often comes with a tough question: Should you go for term or permanent life insurance? Both types have their unique features, benefits, and drawbacks, and understanding them is key to making the right choice for your needs.

In this post, we’ll demystify the differences between term life insurance—a cost-effective option for temporary coverage—and permanent life insurance, which provides lifelong protection and potential cash value. We’ll delve into the pros and cons of each type, helping you weigh affordability, flexibility, and long-term benefits.

By the end, we’ll settle the debate once and for all, helping you determine which type of life insurance is most suitable for you, based on your financial goals and personal circumstances. Let’s dive in and uncover which policy aligns best with your life plan.