Insurance is an often overlooked but important part of a complete Financial Plan. There are two main purposes for including insurance in your Financial & Estate Plans - wealth creation & wealth preservation.

Wealth Creation

Life insurance products can be used to provide financial piece of mind in the event of a severe disability, major illness or early death. There are insurance products available that will pay off a mortgage, provide continuous income for you or your loved ones or ensure the continuation of support payments, in the event of death or disability.

Wealth Preservation

Insurance can be used to preserve the money you have worked so hard to create over a lifetime, both for you and your loved ones. Annuities, in particular, are often overlooked as a source of stable retirement income. Annuities can provide piece of mind that you won't outlive your money.

Protecting the legacy you’ve created for future generations is another important reason to look at insurance. Life insurance can be used to protect your loved ones from having to liquidate assets to pay the estate taxes on your assets such as the family cottage, art or the family business. It can be used to leave a gift to a favourite charity. Proceeds from life insurance are tax-exempt and therefore can be used to reduce the overall tax bill in the year of your death so your beneficiaries can keep more of estate for themselves.

Segregated Funds - A Hybrid

Insurance companies are always trying to create new products to meet the needs of investors.  To meet the demand for a product that both creates and preserves wealth, insurance companies now offer Segregated Funds (Seg. Funds).  These are essentially mutual funds with wealth preservation components such as a guarantee of principal, creditor protection or a death benefit.  They have proven to be a good fit for many investors.

We Can Help

The variety and complexity of insurance products may seem daunting but that’s why we are here to help. ScotiaMcLeod offers a full array of insurance products to meet your financial goals. We can help you assess your insurance needs and shop the market to get you the best combination of features and price for your individual situation. Contact your ScotiaMcLeod Wealth Advisor for a review of insurance needs.

More on Life Insurance

More on Segregated Funds

More on Estate Planning

More on Annuities

TM Trademark used under authorization and control of The Bank of Nova Scotia. All insurance products are sold through ScotiaMcLeod Financial Services (Ontario) Inc. ScotiaMcLeod Financial Services (Ontario) Inc. is an insurance subsidiary of Scotia Capital Inc., a member of the Scotiabank Group. When discussing Life Insurance Products, ScotiaMcLeod Wealth Advisors are acting as Life Underwriters representing ScotiaMcLeod Financial Services (Ontario) Inc.

The information contained on this website is for use by persons resident in Canada only.