Calgary Life Insurance broker CG Hylton examines what plan is best for you,
Calgary life insurance broker CG Hylton helps define what type of plan is best for you. We will go over the following, Calgary term life insurance and Calgary permanent insurance. Definitions of Alberta Life insurance by Canada Life Insurance standards
Calgary Life Insurance broker, Life Insurance defined
- is a contract between an insured (insurance policy holder) and an insurer, where the insurer promises to pay a designated beneficiary a tax-free lump sum of money (the “benefits”) in exchange for a premium, upon the death of the insured person. There are two types of life insurance – term and permanent.
Calgary Term Life Insurance
- life insurance which provides coverage at a fixed rate of payments for a limited period of time, the relevant term. After that period expires, coverage at the previous rate of premiums is no longer guaranteed and the client must either forgo coverage or potentially obtain further coverage with different payments or conditions. If the life insured dies during the term, the death benefit will be paid to the beneficiary. Term insurance is the least expensive way to purchase a substantial death benefit on a coverage amount per premium dollar basis over a specific period of time.
Calgary Permanent Life Insurance
- life insurance that is “permanent” (assuming the policy is kept in force), thus it cannot be outlived and will last for the life of the insured. This guarantees that there will be a tax-free lump sum benefit payment to a named beneficiary upon the death of the life insured. Permanent life insurance also accrues a cash value.
For information regarding Canadian Insurance Law, please see the following link to the Canadian Governement website. http://laws-lois.justice.gc.ca/eng/acts/I-11.8/