Below is an account of the individual life assurance options available to dentists working today:

Term Insurancestarts off lower in cost and increases as the insured gets older. The term length can vary dependent on the policy. As a rough guide, the longer the term, the higher the initial premium, but the shorter the term, the lower the primary premium. Most term life policies in Canada are replaceable and convertible, meaning the insured can replenish the coverage without a medical exam, albeit at a far higher premium. It also suggests that it's possible to convert the cover to an everlasting plan without a medical exam. Term rates can alter noticeably from corporation to corporation, and many firms offer preferred rates, which can lower the insured’s premium by as much as 30 % if they happen to be in excellent health and has wonderful family health history.

Permanent life Insurance can be divided into the following 3 types:

Term-to-100 Insurance provides level premiums and lifetime protection. Term 100 policies often do not build a money value. But some corporations offer reduced paid-up coverage if the insured wants to stop paying. Most Term 100 plans have risen in cost latterly, due to traditionally low interest rates, and many carriers in Canada no longer offer Term 100 coverage.

Universal Lifecoverage offers lifelong protection and flexible premiums. Plus, most Universal life policies include an increasing cost-of-insurance feature. For example, the cost of insurance starts off lower and increases as the insured becomes older. Plans also may include a level cost-of-insurance option, which supplies a fixed cost-of-insurance for the life of the policy. Similar to Term 100 coverage, most Universal Life (level cost-of-insurance) policies in Canada have increased in cost as a result of low interest rates.

Whole Lifepolicies can be broken down into Non-Participating and Participating policies. The previous offer lifetime protection, guaranteed premiums, and a guaranteed money value, but don't produce a dividend, while the latter offers fixed premiums, lifetime protection, and guaranteed cash-value and produces an annual dividend. This dividend allows the insured to participate in the profits of their life insurance carrier.

Lorne Marr is independent life insurance broker from Toronto. One of his specialities is incapacity insurance.