If you operate a business this sensible insurance will help pay the bills for your business in the event that you become disabled due to accident or sickness.  Office overhead insurance provides peace of mind knowing that many of your bills will be paid and your business can continue to operate.

Expenses are reimbursed by this type of insurance.  Generally, the premium paid for this type of coverage is tax-deductible to your business.  Expenses such as rent, salaries, utilities, property taxes, lease expenses for equipment and other normal operating costs are covered by this plan.

Coverage for office overhead insurance is usually purchased by professionals such as a physician, accountant, lawyer or principal/owner of a closely held business or practice.  Office overhead insurance should be non-cancellable until age 65, guaranteeing you that the coverage cannot be cancelled by the insurance company.  Should you be in a position to no longer need the coverage then you have every right to terminate the plan. Benefits from office overhead insurance are usually paid for a period of months, ie. 12, 15 or 24.

This coverage is vital for businesses and practices in which the owner’s ability to generate income makes a difference between the office/business being open or closed. There are generally a few circumstances when the office overhead insurance will not be paid if the disability is due to:

• An act or accident of war, whether declared or undeclared.
• Normal pregnancy or childbirth (disabling conditions of either of these are covered).

The plan reimburses eligible expenses on a monthly basis.  A list of business expenses is submitted to the insurance company at the time of application and underwriting. Office overhead insurance is just another sensible step business owners can take to protect their business and personal cash flow.  This type of insurance allows business operations to continue until the insured owner either returns to work or makes a decision regarding the future of the business.

Disability insurance is not the 1st thing that anyone wants to talk about. Canadians generally are more comfortable talking about life insurance or critical illness insurance than the ability to protect their income during their prime earning years.

The reality is 1 in 7 Canadians have indicated they have had a disability and 33% of workers between the ages of 30 to 64 will experience a disability greater than 90 days. Furthermore, less than 10% of disability claims are due to accidents; most are due to illness.

Canadians take their ability to earn an income for granted!  If you buy insurance for other assets in your life (house, car, cottage, boat, jewellery, art, etc.) why would you not want to protect your most valuable asset –you. The quality of life you have built and become accustomed to for you and your family will be difficult to maintain without a regular paycheck

Disability insurance or income protection insurance are most often purchased privately or under an association or employee benefit plan. The insurance company agrees to insure you for a percentage of your income under a group plan or a fixed dollar amount per month with a private plan. The plans cover a disability due to accident or sickness and have a waiting period before the monthly income benefit will start. Disability benefits are generally paid until you return to good health or until the end of the disability coverage whichever comes first.  The disability benefit is usually tax-free as long as you paid the premiums for the coverage.

Definitions of disability can be complex and vary according to the type of plan you have. Group employee benefits, association plans and private plans will have various levels of definitions, benefits and optional coverages. Individual disability plans are owned by you, contractual and non-cancellable. The coverage is portable and can move with you to various careers and premiums are guaranteed not to increase unless you opt to change or add to the coverage. Private disability plans can offer a refund of premium benefit over time and generally provide coverage to age 65.

Anyone interesting reviewing the best type of disability coverage for themselves should consult a professional life insurance advisor to tailor a plan to meet their personal needs. Make sure your earning potential is protected

Smart financial planning involves preparing for the expected and the unexpected. Saving money for retirement or other long term goals is a primary focus for consumers, but what about the unexpected expenses that can happen over your lifetime? Nearly one in two Canadians will be diagnosed with cancer, according to a recent report by the Canadian Cancer Society; it is worthwhile to consider what this could mean not only to your physical health, but also your financial well being. The exact costs associated with cancer treatment can vary depending on the type, stage, available treatments and how much time off work you will need. Other unexpected expenses are your out of pocket expenses, such as travel time, accommodations, meals, childcare, and housekeeping support. Critical illness insurance can help with these expenses.

Government and workplace assistance

Some of these costs can be reduced by government assistance, such as OHIP and drug expenses. Your workplace might have medical benefit plans to help cover costs for some drugs and equipment that are not covered by OHIP, and disability insurance will help with some of your lost wages. However, these both have limits as to how far the money will stretch to help pay off your bills. Items such as oral chemotherapy drugs taken at home are not covered by OHIP and might only be partially covered by your workplace drug plan. Further to that, any prostheses, medical equipment, wigs, vitamins or supplements may not be covered by drug plans at all, or in certain cases, the reimbursement may only help with some of the costs.

Enough coverage

The shortfalls in your OHIP and workplace drug plans can be covered through critical illness insurance. This insurance pays out a tax-free lump sum that you can use to help pay off any bills, or close the gap with what you get from your workplace drug plans. The money can also be used to help pay for parking, hotel costs for family or spouses, or even the gas needed to make the trips. Knowing that the money is there without having to file paperwork or keep receipts can help lift a weight off your shoulders.

Focus on your health

Critical illness insurance is a key component in minimizing your financial risks and provides a solution to help pay for medical costs. The insurance not only covers cancer, but also heart attacks, strokes, and up to 24 other conditions. Applications for critical illness insurance can be completed in as little as 30 minutes electronically, and from the comfort of your own home. Critical Illness insurance helps you put your focus on your physical well being and recovery rather than money or debt you incur because of your illness.

Life insurance is an important part of any financial plan, providing reassurance that in the case of death, your debts, family and loved ones are taken care of. The benefit from a life insurance product is paid directly to your beneficiaries tax-free, providing them with financial security during a difficult time. Deciding how much life insurance you need can depend on many factors in your life.

Debt amount

The amount of debt you owe is one of the first things you will want to cover when looking at life insurance. Your mortgage, student loans, credit cards, car loans, and lines of credit should all be fully covered with the value of your life insurance policy. When looking at life insurance, you should purchase enough to pay off the full amount of debt you have today. 

Financial Security

If you have a partner, child(ren) or others who depend on your income for financial security, you will want to look at a life insurance policy that can provide them with monthly income in the event of your death.  Knowing how long you intend to provide financial security for is also important here; are you planning on providing enough income from today until retirement (age 65), or just for a period of time (e.g. 10 years). 

Budget 

Your budget will play a key part in how much insurance you can actually purchase to fulfil your needs. For a male aged 25, a $1,000,000 life insurance policy can cost between $40 to $120 a month, and for a female age 34, the cost is $30 to $85 a month. Depending on your budget, there may be some compromises initially, and you can purchase additional insurance in the future. 

Time Frame

The time frame will also play into which type of insurance you will need. With a mortgage, you will be looking at a 20 to 25-year time frame. With a car loan, you will be looking at a shorter time frame (less than 10 years). If you are looking at costs for funeral services, you would be looking at a lifelong product with a constant price over your lifetime. 

These four factors all play an equal part in determining the type and amount of insurance you will need to give yourself peace of mind as well as provide support for your family. Most life insurance products have guaranteed premiums and conversion opportunities. If budget is a major factor in determining how much insurance you can purchase, you can look at a lower cost for a short term product that has the ability to convert without having to take any additional medical exams.