What kind of life insurance is right for me – Permanent Insurance or Term Insurance?


There are only two basic types of policies: Permanent Life Insurance and Term Life Insurance.
Permanent Life Insurance provides permanent protection – coverage as long as you need it, which means coverage until you die. This type of insurance:

  • costs more, which makes sense because as long as you continue to pay premiums, this type of insurance will always pay out a death benefit,
  • usually offers a partial refund of premiums if, for some reason, you decide to cancel your policy before you die. This refund is called a “cash value”.
  • often offers a variety of premium payment options. Some permanent insurance plans are payable for as long as they are in force (sometimes called Whole Life insurance), while other plans allow you to pay a larger premium for a shorter period of time, such as 20 years.
  • may offer a variety of additional benefits, either at no cost, such as a Terminal Illness Benefit, or for an additional premium, such as an Accidental Death Benefit.

Term Life Insurance is temporary insurance. It can last for 5 years, or 10 years, or 20 years, or to your age 65, or for any other period that is defined in the policy. At the end of the term period, the insurance may end, or you may be able to extend it for another term. You may also be able to convert your Term Insurance policy into a Permanent Insurance policy. This type of insurance:

  • Costs less than permanent insurance. Usually, the shorter the term period, the lower the premium.
  • Only pays a death benefit if you die during the term period. If you live beyond the term period, this plan does not pay a death benefit.
  • Does not include any cash value if you cancel it early, and
  • Like Permanent Insurance, may offer a variety of additional benefits, either at no cost, or for an additional premium.



September 28, 2015 at 3:21 pm Leave a comment

If you have mortgage insurance with a BANK…then read this !

245Approximation 70% of Canadians  have a mortgage life insurance  through a Canadian bank,  when you sign up for your mortgage,  When you meet your banker he will say “Just sign this document”

it’s easy. Simply check “yes” to add the coverage. But how many of you actually shopped that coverage to see, if you were getting the best rate or that there might be a better coverage option for you.



  • Your benefit (Mortgage balance) is decreasing every year but premium stay  the same ouch !
  • You can’t name a beneficiary, the bank is the Lender
  • You can’t transfer your mortgage insurance protection when you move or change institutions.
  • Premiums are not Guaranteed; if interest rates go up, your insurance will as well.


    • You can name a beneficiary
    • Transferable protection when you move or change institutions.
    • Guaranteed Level coverage and fixed premiums.
    • Premiums established according to each client rather than a group.
    • We will shop over 25 insurance companies to get you the best price & product

With Ottawabroker.com we will shop over 25 insurance companies to get you the best product and price….


July 13, 2015 at 2:12 pm Leave a comment


Life insurance provides your family and dependents with a financial payout in the event of your death, but how do you make the policy premiums affordable while you’re alive? These 15 tips can help lower the cost while giving you assurance that your family won’t struggle to pay the bills without you.


Term versus Whole Life Insurance.

There are two types of life insurance policies. Term life insurance covers you for a specific term, say 10 or 20 years, and then expires (but usually can be renewed). Whole life policies remain in force for as long as you pay the premiums, with part set aside to grow as “cash value” that can be withdrawn or used to pay premiums later on. Whole life policies are much more expensive than term policies, but the premiums don’t increase over time as do most term premiums. Many people opt for term life insurance, in part because they’re cheaper, but also because they only want coverage for a specific time period — while raising a family, say.

Take a Medical Exam.

Depending on the policy you apply for, you may need to undergo a medical exam. The higher the coverage amount sought the more thorough the exam will be; some life insurance plans with low coverage only require applicants to submit a written questionnaire. Never lie during the exam because doing so could void the policy.

Buy a Policy Early On.

If you don’t have any dependents or outstanding loans (including any you co-signed), you likely don’t need a life insurance policy. If your circumstances change, however, it probably makes sense to buy one sooner rather than later. Signing up for life insurance when you’re young and healthy can help you lock in lower rates. Some policy premiums rise every year while others remain flat for a set term. Either way, you’re better off getting into a policy early.

Get Rid of Riders.

Like many insurance products, life insurance policies offer add-ons called riders. For example, you can pay a little extra and receive a portion of the death benefit when you’re still alive if you’re diagnosed with a serious medical condition or need long-term care. (If you don’t have an early-payout rider, be sure you can cover some short-term expenses with an emergency fund and find out if your employer provides disability insurance.) Eliminating riders will keep the overall premium cost down.

Shop for the Best Rate.

Just as you comparison shop before making a major purchase, always compare insurance companies to determine which will give you the best rate for the coverage. It’s also wise to reassess your choice every few years. Changes in your health and/or lifestyle, or even the life expectancy of the general population, influence the cost of life insurance.

Buy With a Group.

You may have access to life insurance through an employer, AARP, or another large organization. It’s possible that the plans are a good option in terms of cost and coverage, but it still pays to comparison shop.

Drive Safely.

The National Safety Council says the odds of dying in a motor vehicle crash are 1 in 112, the fourth most likely cause on the council’s list. Insurance companies know this, and unsafe drivers pay higher premiums.

Stop Smoking.

Premiums for smokers are much higher than they are for nonsmokers, in some cases more than  five times higher. That certainly says something about the harmful effect of cigarettes and could be motivation to quit. At least consider making a switch to e-cigarettes– some insurance companies will give you the nonsmoker’s rate if you do.

Lose Weight.

According to the Centers for Disease Control and Prevention, more than one-third of Canadian adults are obese. Like cigarette use, obesity can lead to many health complications and premature death. Among the many benefits of losing weight, you’ll qualify for lower life insurance premiums. In other words, slim down before applying for a policy or getting a medical exam.

Choose Between More and Less Coverage.

The amount of coverage you want will affect the premium rate. Opting for a higher coverage amount will be more expensive, but the cost per thousand dollars of coverage decreases as the coverage increases. In other words, you get more for (relatively) less when you buy more coverage. Ultimately, the decision is a personal choice reflecting the needs of your dependents and what you can afford.

Buy Multiple Policies.

Insurance companies have a thing for clients who buy multiple insurance policies from them and show this affection in the form of discounts. If you already have auto, home, renter’s, or any other insurance product, speak to your agent about life insurance policies. You may qualify for a discount on this new or any existing policies underwritten by the same insurer — but don’t forget to compare the price against quotes from other companies.

Pay in Full.

Insurance companies may offer a discount to policyholders who pay the annual premium all at once instead of making monthly  or quarterly payments. If you can afford the lump sum payment, consider this when comparing plans.

Hire a Broker.

Life insurance brokers compare policies offered by different companies and can be especially helpful when you have a pre-existing medical condition. Look for a broker who doesn’t work directly for a particular insurance company and consider hiring a fee-only insurance advisor (paid by you) if you’re skeptical of the bias a commission-based broker might have.

Exercise and Share Your Data.

John Hancock, the financial services company, recently introduced the Vitaly program which rewards points to members who wear a fitness tracker when they exercise. More points mean lower premiums, as much as 15 percent off. Members also earn points by not smoking, getting flu shots, or having healthy glucose, cholesterol, and blood pressure levels.

Tell the Truth.

It can be tempting to lie about your health or smoking habits when first buying insurance in order to pay lower premiums, but doing so puts the beneficiaries at risk of losing the payout. Even if the policyholder’s death was unrelated to the cause of death — for example, the insured was hit by a car and the company then learned that he or she was a smoker — the death benefit can be denied.


April 29, 2015 at 9:09 am Leave a comment

Hard to insure Seniors for Life Insurance: Get a Free quote Now !

BBaoT6wWith  ottawabroker.com & Canada Protection Plan, you can get the life insurance coverage you need in as little as just a few days. We offer the most options and largest amounts of No Medical & Simplified Issue life insurance with competitive premiums. Our many options can provide the coverage you need, whether you have very serious medical conditions, or even if you are in good health. See how we can help you to solve your life insurance needs.


Why should you consider No Medical & Simplified Issue Life Insurance?

  • You’re a Canadian senior
  • You have some health problems
  • You’re hard to insure
  • You have a dangerous job or dangerous hobbies
  • You don’t like needles or medical exams
  • You just want your coverage fast


Call us now for a Free quote 1-800-503-6454 ex 223

April 22, 2015 at 2:40 pm Leave a comment

Here we go again…Mortgage Life Insurance

Fotolia_34068889_S-300x200If you are like most Canadians, you are probably getting a mortgage at a bank. And they are probably showing you how easy it is

to get mortgage life insurance. So you sign up, and everything is good. Or is it?


There is no question that the easiest way to buy insurance to pay off the mortgage in case you die is to get mortgage life insurance at the bank.

But did you know:

  • Bank mortgage life insurance is a type of No Medical insurance, often with very little support to ensure that the no medical questions are answered correctly. That assessment is only made if and when you die! If you have a medical condition and you answer one of the questions incorrectly, your claim may be denied!
  • The death payment under a bank mortgage insurance policy is payable to the bank to discharge the mortgage. There is no flexibility to make the payment to your beneficiary and let them decide how to handle the bills.
  • The amount of coverage under the bank plan is equal to the mortgage amount and decreases as your mortgage decreases.
  • The premium under a bank mortgage plan usually increases every 5 years.
  • In spite of what you might think, bank mortgage insurance often costs more than other insurance policies that are designed to meet your specific needs.

In other words, a bank mortgage insurance policy works great for the bank – but may not be the best plan for you.

Ottawabroker.com will shop insurance protection that is right for you. One of our Licensed Insurance Advisors can help you to figure out how much and what kind of insurance you need. That may be permanent insurance or it may be term insurance. Traditional insurance may be right for you; or no medical insurance may be the plan you want or need. We will help you to make the right decisions, so that you understand and manage ALL of your life insurance needs.


Send us a message or call us toll-free for a no-obligation quote
at 1-800-503-6140 ex 223 (Bob Lemieux)


March 28, 2015 at 10:56 am Leave a comment

How much should i have in my rrsp?

BBi0tc0It depends on how luxurious a retirement you want. To get a rough idea, start by adding up how much annual income you think you’ll need in retirement; then subtract the amount of money you expect to get from your company pension, Canada Pension Plan and Old Age Security. Then multiply that amount by 30. That’s how much you need to have saved by the time you retire,

Here’s an example: You and your spouse are together earning $100,000 a year. Most retirees can live comfortably on half their pre-retirement income. That’s $50,000. Many couples in that situation will get about $33,500 a year in retirement income from the Canada Pension Plan, workplace pensions and Old Age Security, so you’ll need an additional $16,500 a year from your own savings. Multiply that by 30 and you get close to $500,000. That’s the amount you need to have banked by the time you retire.

How do you know whether you’re on track to reach your goal? The chart below offers some sample numbers, based on a few realistic assumptions. The first is that in the early years of your career, RRSPs won’t be a priority. If you’re in your 20s, you’re probably too busy going to school and getting your career started to contribute. Any extra money you do earn should go towards paying down debts. By your early 30s, the mortgage, cars and kids are weighing you down. It’s okay to skip RRSP contributions during these years too, says Malcolm Hamilton, an actuary with Mercer, a human resources and consulting group—as long as you don’t make the mistake of overspending and digging yourself deep into debt.

Once you’re in your mid-30s, it’s time to start attacking those RRSPs. To reach the $500,000 goal (in today’s dollar), you and your spouse would have to start putting $10,500 a year into your RRSPs at age 35. These calculations are based on a 5% annual return and yearly contributions that rise 2% annually to keep pace with inflation. Don’t fret if this timetable sounds ambitious. Even if you can’t come up with $10,500 every year in your 30s, you’ll probably be able to catch up in your 50s with larger contributions. By then, your mortgage should be paid off and the kids finished university. That’s when you need to get really serious about putting money into RRSPs if you want to make that $500,000 target.


25 $0

35 $0

45 $121,500

55 $283,500

65 $500,000


March 2, 2015 at 11:34 am Leave a comment

What should I use an RRSP or a TFSA? Earn 5% Guaranty every year TAX FREE !


Lets you stash extra cash for just about anything — rainy-day savings, a new house or retirement — without paying any tax on the growth within the account or on withdrawals.


Start with a TFSA, when your income goes up add an RRSP...



Confused by another set of letters? Don’t be. TFSAs, or Tax-Free Savings Accounts, are simply one more way to shelter your money from the taxman. The difference is that with RRSPs, you get a tax break when you contribute. When the money’s withdrawn, you’re taxed. For TFSAs, the process reverses. There’s no tax break up front, but the government can’t get its paws on your money when the funds are withdrawn.

So which is better? It all depends on how much money you make. Canadians earning less than $36,000 should use TFSAs, says Gordon Pape, author of The Ultimate TFSA Guide. The reason is that people with lower incomes can make more in retirement than they do when they are working, due to the government benefits you get at age 65. You always want to pay income taxes when your income is lower, so if you make less than $36,000 it’s better if the money is taxed before you put it in your retirement savings, as is the case with a TFSA. Plus, when you retire, the money you take from TFSAs isn’t considered income, so it won’t result in clawbacks to Old Age Security and the Guaranteed Income Supplement.

The same isn’t true for RRSPs.

If you’re just starting your career and earning in the $30,000 range, you could start with TFSAs and when your income goes up, you could switch to RRSPs. Not only will you get larger tax breaks, but you’ll have built up lots of extra RRSP contribution room from the years you were using a TFSA instead.


Need Help?


Earn 5% Guaranty every year TAX FREE !

visit http://www.ottawabroker.com or

cal Toll Freel 1-800-503-6140 ex 223


February 2, 2015 at 10:16 pm Leave a comment

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