Life Insurance and Living Benefits

"Santa Claus buys life insurance" said Soleus Winters with Upper North Life Insurance Co.  Upper North is best known for their frozen asset distribution facility based in Iceland.    Winters said he enjoyed the conversation with Santa Claus over a snack served with buttermilk and shortbread cookies.  “It was a memorable meeting to say the least” said Winters. Every question was answered correctly, and each was checked twice. Santa had met with Winters and the North Pole attorney, Pot Hole to discuss an estate freeze. Things were dancing like sugar plums with Santa, Winters and Hole said; and then it was time for the medical questions. With the wink of an eye, Winters asked “Do you smoke?” Santa answered slowly as his marshmallow like hand tenderly embraced the corncob pipe which he had received from his good friend Frosty the snowman. “Just a little” he said “and I don’t inhale either. I just do it because I like the smoke rings which circle my hat”. “And what i

Depending on what days you might work around Christmas, we only have 30 workdays left in 2015. While the Christmas rush is not necessarily upon us, the final 30 days of your work year certainly are. Whatever your 2015 New Year’s resolutions were, and no matter what your 2015 business and personal objectives were, you only have 30 days to make it all count. So, here is a question for you: What can you do in the next 30 work days that will help you complete 2015 in the best way you can? Are you going to close every last piece of business you can? Or, are you going to open as much as you can to get a jump on 2016? Regardless of your direction, the final 30 days are important. It’s the last leg of the year. Do you call your top 30 clients and ask them if you can help them in any way? Do you make a list of projects that need to be completed before the ball drops on 2015? Do you look back over 2015 and call all the clients you sold, and wish them a happy holiday? The specific ac

Two weeks ago I was in Toronto and delivered a speech to a group of 750 insurance advisors from across Canada. The audience was diverse, made up of everyone from the brand new insurance advisors to a few celebrating their 55 th year with the company. I had butterflies in my stomach; but, truth be told they were all flying in formation. I was introduced and walked on to the stage to a round of polite applause. My talk began as usual with a few spots of clean humor to get the audience’s emotions moving, humor is a great way to test the emotion of a group. I introduced myself as one of them and told a few stories about my youth. Soon, the light laugher calmed down as people found themselves caught intently listening to my story; and as I spoke, the laughing became silent and then tears were seen. This is why the next joke seemed so funny… not because of the humor, because of the release. I was told later, the hour flew by as if my talk had only lasted minutes. One lady approache

There are some things that you should just try to avoid at all costs. For one: brussels sprouts, those little cabbage looking things that your mother told you to eat, and supposedly are good for you. Fiber and protein are good; however, it’s that  funny  texture and odd aroma that gets me. Too bad some retirement investments didn’t come with an odd smell that would ward off unsuspecting baby boomers. I’m referring in particular to one aspect of a Mutual Fund which most investors are simply unaware… Your Estate . The question that you should ask is “If I predecease my spouse, what path will the proceeds in my RRSP “Mutual Fund” take?” The answer may surprise you, as it does most people. Let’s say you have a mutual fund and you use it as your retirement savings. You have named a beneficiary- say your husband or your wife. Let’s also say you are 60 years old, even though you look younger. At your death, the mutual fund becomes part of your estate regardless to whom you stated as you

W hen we were kids, it was O.K. to be sick. You got to stay home, you were fed ice cream and popsicles and the best thing was, you did not have to go to school. Now the meaning of being sick has changed, now that we are grownups we don’t want to be sick. Being ill for the most part scares many people,  especially  when it comes to long term illnesses. Long term can be defined as the inability to do your job for 90 days or more. According to disability insurance carriers in Canada, if an individual is sick or hurt enough to be out for 90 days, statistics show that you will remain off work for 2-3 years depending on your age at the start of the disability. Protecting one’s self in the event of a disability is a basic financial strategy, yet financial planners often hear expressions like “I’m insurance poor”, “I can’t afford the premiums” or “It’s too expensive”. This is not a new adage either. Found in my desk drawer, I keep a booklet first printed in 1920. The client object

There are no secrets to success, besides hard work. Nevertheless, one thing I have found to be fruitful and comes close to being a “secret to success” is this… “Do something every day that has the potential to earn $1,000.00.” Our lives and work keep us so busy that we sometimes don’t do the things we know make us successful. We talk on the phone too much, we spend too much time on the internet, we respond to emails as if a response is needed in 30 seconds or our computer will explode and we often spend too much time at the water cooler. In addition, we let the business run us, rather than us running the business. So, if we were to change one thing that would make a long term impact towards our success; what would it be? At the end of the day, we need to take an inventory of what we have actually accomplished. Did we do all the right things? Did our “to do” list actually get smaller? Did all the important things get done? Did you do something that had the potential to ear

Have you ever gone to a presentation and as you watched and listened; you found yourself completely immersed in the conversation from the podium? Soon after you hear the words, “Thank you, you have been a great audience”, people applaud and it’s over. Upon reflection, you find that the time just whipped by.  Then, you find yourself talking about the presentation to your friends and colleagues. In contrast, have you ever gone to a presentation and as the presenter is talking, you are looking at your watch, wondering if you should read your emails, or think about getting up and going for a coffee? Imagine if you were the person who was responsible for choosing one of the two speakers above. Which one would you be proud of? I have been to hundreds of presentations in my 30 years as a financial planner, and I too have spoken in 10 countries around the globe. In fact I have spoken to audiences in English, and through translators. Today’s comments however have been learned f

In 1985 I sold computers for a living. The Compaq portable was a featherweight at 28 pounds.  The industry has grown up so much in the past 30 years. What surprizes me is that with all the technology around us, many people don’t take full advantage of ways to improve how their office functions. In this blog, we focus on 7 ways to make your office more efficient with a little technology: Voice mail to email Electronic files/scanning CRM software Remote access to computer Online client survey Online visibility Electronic presentations Everyone has voice mail on the office phone.  However, there is a relatively new technology called Voice mail to email that has come out and it is very useful. Imagine you are away from the office (even on the golf course), and you miss a phone message from a client you were not expecting to hear from. A moment later, you are alerted by your iPhone that you have a new email. When you look at the screen, you see that it is not somethi

Every industry has its own jargon and acronyms which confuse the average person. The Life Insurance business is no less guilty when it comes to special terms and phrases. The intent of this blog is to provide some answers to some of the most commonly misunderstood insurance terms. Every policy, and every company has its own contractual definitions and you should check with your carrier for accurate meanings. The following terms are being defined for general understanding: Death Benefit : The sum of money that will be paid at the death of a life insured. Beneficiary :  The person(s), company, or estate that the death benefit will be paid to; following the death of the life insured. Waiver of Premium : This is where the premiums for the insurance policy are paid by the insurance company if the life insured or the policy owner is disabled or dies. Guaranteed Insurance Benefit : This benefit is a contractual provision which allows the life insured to purchase a

Y ou bought your home from an agent you trust, you qualified for the Mortgage because of good credit, you shopped for a great mortgage rate to save money, and when it came to the mortgage insurance, you simply signed on the dotted line without asking “Is this a good deal?”. Most people want to get life insurance when they buy a home, but are often too excited about the new house that they forget to ask any questions about the insurance. How many times have I heard, “I didn’t want to blow the deal, so I just signed”, or “the banker just told me to sign the document, so I did”. It’s not too late to look around, and yes, you can cancel the bank insurance if you want. Mortgage insurance at the bank is often very expensive for what you get. Here are 7 things about Bank insurance you should know: 1. Money: Bank insurance is often very expensive when compared to a private policy. 2. Coverage: Bank insurance is tied to the mortgage, so if you pay off or reduce your m

For the past 10 years in Canada, we have all heard about Critical Illness Insurance ; yet the average person does not understand how Critical Illness Insurance works. We know that life insurance pays if you die, and that disability insurance pays if you become disabled; but what about the in between stage where you are diagnosed, but you aren’t sick enough to be disabled and you don’t die either? The financial cost of being sick is staggering . Drug coverage by group plans and by the government is limited, and living in Canada has now become known as winning the postal code lottery. We all know someone (maybe even in your own family) that has had a heart attack, stroke or cancer.  Having a critical illness can change your life forever. Finances may never recover, and having a critical illness is often the root of marital breakdown.  Even for young adults, a sickness may ruin your finances, and moving home with your parents when you are sick is often not in the cards.

My Grandfather bought a life insurance policy for me when I was a baby. At the time, he didn’t know what my future would hold. He didn’t know if I was going to be a success in business, happy in life, or even a good or a bad guy. My grandfather simply wanted to do something that would help me in any way he knew how. People don’t buy life insurance on children in case they die; people buy life insurance on children in case they live. Of course, should the unthinkable happen; a death benefit would help offset the associated costs so parents are not left with the loss of a child, and a debt. Parents look to their child’s future and set money aside for all sorts of things. Short, medium and long term savings become a part of most people’s lives. Saving for a rainy day and saving for an education are far apart in the scope of the mechanics; however, every type of savings plan is important- including starting an insurance plan. When it comes to children, life insurance offers so

Summer is not officially over until September 21 st . However, “back to school” week is a sure sign of the fall! The fall is a busy time in our financial planning office, as people seem to use this time of year to tidy up many small items concerning everything financial. It might also be a good time of year for you to do the same, especially if you aren’t in this “fall time” habit. Many people have a list of items to refer to when it comes time for financial clean up. Here is a typical list:       Update beneficiaries on your insurance policies’ if required.       Increase your disability coverage if your income has increased.       Review your RRSP investments against your current Risk Tolerance questionnaire.       Top up your Tax Free Savings Account       Increase your RRSP deposits by 10%       Question your bank to see if you can save money by renewing your mortgage early.       Compare your bank mortgage insurance premium to a private policy.       Comp

Speaking to an audience can be a nerve-racking experience for anyone; especially if you are speaking in front of family, friends or people you may know.  However, speaking in front of strangers doesn’t subtract from all of the nervousness either.  You may notice that the anxious feeling of “life or death” does dissipate a bit when the audience is not related to you; but maybe this is just because you know that if you do a terrible job, you never have to see them again! I have spoken to thousands of people on spectacular stages in 10 different countries. I have spoken to English speaking audiences and I have spoken and been translated consecutively and simultaneously into Spanish, Vietnamese, Mandarin, Japanese and Portuguese, to name a few. Although I rarely get stage fright anymore, I still get butterfly’s in my stomach; albeit, they now fly in formation. While experience is helpful, there are a few tips one can use to calm their nerves, and sound a little more professional.  I st

I was building a deck a few years back and I didn’t know what type of wood to use.  When I asked my family and friends, everyone seemed to have their own answer.  One friend suggested spruce, another recommended pressure treated lumber, another proposed untreated lumber, and yet another believed cedar to be the best choice; if I could afford it. I wasn’t sure which wood to settle on until I asked a family member; who in turn asked me a question first. He asked: “how long do you want the deck to last?” I guess the answer really depended on what my own objective was. When buying life insurance, one must ask themselves similar questions; such as: Why do I want the coverage? How long will I need the insurance? Is my need short term or permanent? Will my need diminish with time? And the most important question: How much coverage do I need to accomplish my objective? By asking these questions, the answers will come to the surface; and speaking with an advisor will