Sterling Brokers

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SUMMARY

COVERAGE OPTIONS

ADVANTAGES

DISADVANTAGES

Term Life

Temporary protection. Purchased to cover loans/mortgages.

5 – 35 years

Inexpensive, convertible to permanent coverage, rates fixed for duration of term.

Coverage ends when the term expires. Costs can increase substantially at renewal.

Par Whole Life

Stable long term protection.

Guaranteed for Life

Cost of Insurance is guaranteed for life. Participating policies build cash value which can help pay the premiums in later years or can be paid to you upon cancellation of the policy.

Higher premiums than term insurance when younger.

Universal Life

Stable long term protection with more flexibility. Includes features that help to grow investments on a tax-deferred basis.

Typically lifetime protection

An excellent tax-deferred savings vehicle to augment your RRSP and TFSA. Often used for Estate Planning and structuring complex long term investment strategies.

If structured incorrectly, Universal Life policies will not achieve the desired results.


Sterling Brokers