Services
Insurance Planning
None of us plan on catastrophe striking. But when it does, it is imperative that you have proper insurance in place to replace the income that is lost as a result of death, disability, or a life-altering illness. It's not just about you, it's about being able to provide for your loved ones as well.
Insurance Planning is an important step in the preparation of your overall financial plan.
At DeLauretis Wealth Management, we analyze the insurance policies that you may already have in place, working with you to plan for your unique life, disability, critical or life-altering illness insurance needs, and offer you competitive insurance market options.
Insurance protects your greatest assets: You – Your Family – Your Business!
Insurance planning is important for individuals, families, and businesses. It can prevent the erosion of your wealth, as well as lost income due to death, disability, illness, or taxes.
Here's an overview of the most popular insurance coverage we provide at DeLauretis Wealth Management:
- Life Insurance
- Critical Illness Insurance
- Disability Income Insurance
Read on for an overview of what each type of insurance is.
Types of Insurance
Life Insurance
Life insurance enables individuals with a way to provide for their families financially, often on a tax-free basis, in the event of their untimely death.
By purchasing life insurance, a person can provide enough funds to pay for not only the funeral and other estate expenses, but also the following:
- To continue to make mortgage payments on the family home
- To pay the mortgage balance in its entirety
- Provide funds to the survivor to replace loss of income of the passing spouse
- Provide future retirement funds of the surviving spouse
- Provide education funds for the future education of children
- To fund annuities or trusts set up for surviving family members/beneficiaries (especially useful in cases where the beneficiary is a disabled family member)
- To provide sufficient funds to cover any tax liability of the individual or the estate, thereby leaving the estate intact to surviving family members
- Several other financial strategies can implement the use of insurance policies
DWM Insurance Tips:
Designating a beneficiary has the added benefits of:
- avoiding probate (including delays and related expenses)
- avoiding and the seizure of the benefit by creditors of the estate, and
- maintaining confidentiality as to who is the recipient of the funds.
Always consult with your financial advisor to determine if naming a beneficiary is most suitable to your insurance and estate planning needs.
Critical Illness Insurance
Critical Illness Insurance is designed to provide you with a large amount of tax-free cash , paid 30 days after being diagnosed with a life altering illness covered within such an insurance policy. It is a lump sum payment, as opposed to monthly income payments traditional to disability insurance policies.
There are several critical illnesses covered within a traditional critical illness policy; such as: life-threatening cancer, kidney failure, heart attack, stroke, multiple sclerosis, Alzheimer’s disease, severe burns, and loss of speech – just to name a few.
Each insurance company has its own definitions and exclusions of these covered conditions and therefore it is important to know what you are buying!
A great feature that some insurance companies allow you to add to your policy is the “Return of Premium” option – or as we like to say “Your money back if no claim is made” – a popular feature for business owners, medical professionals and high-income earners.
If you have a corporation, your critical illness policy can be corporate owned or personally owned – speak with one of our collaborative partnering advisors (insurance agent and/or affiliated accountant) to determine which policy, features and set up is best for you.
If you are diagnosed with a covered illness, the insurance benefit you receive can be used in any way you choose.
The most common uses of Critical Illness Insurance benefits are:
- Relieve debt obligations like your mortgage
- Replace lost income due to you or your spouse being off work – You may be the person with the illness and will need to take time off work, or you may be the one who will have to take time off work to take care of a spouse, child, or parent – a life altering illness does not only affect you, but your loved ones as well.
- Make modifications to your home for access and mobility
- Travel outside of Canada for private health care vs. waiting for treatment in Calgary
Pay for cutting edge treatments not covered by the Alberta Health Care Insurance Plan - Seek alternative treatments around the world
- Have the financial freedom to spend quality time with family and friends
DWM Insurance Tips:
If you have not purchased an insurance policy with a long-term care component, your wealth plan must include late-in-life savings to fund a possible long-term care need.
Disability Income Insurance
Safeguard your future!
Disability Income Insurance provides coverage against one’s inability to work due to serious injury or disease.
When you are no longer able to work, disability insurance will provide money to make up for lost income.
How much you get and for how long depends on whether you have short or long term disability insurance.
Short term disability insurance provides coverage when you are temporarily unable to work due to short term illness or injury. Coverage usually starts after you have exhausted any sick leave you may be entitled to. The payments are initially at your level of income, and then gradually fall to 60% of your income and usually continue for six months.
Long term disability insurance covers permanent or long term inability to work. It starts where short term disability insurance leaves off and can go on for years. Ideally, a permanently disabled person will have solid disability insurance that pays until retirement income takes effect.
With age or illness, you may find yourself needing some form of long-term care, whether you receive the care in your home; a private care facility; or a government-subsidized facility. Long term care insurance is designed to provide you with a tax-free monthly benefit payment in the event that you are unable to perform at least two of the six activities of daily living on your own: bathing, dressing, toileting, transferring, eating, or suffer a cognitive impairment as defined in the specific policy contract. You will have the freedom to use your benefit the way you see fit.
Insurance Planning with a professional ensures you receive the type and quality of care you need, and are able to replace lost income so that you can pay your bills and provide for your family.
