Ask About These Services
- Life Insurance Strategies for the High Net-Worth and High Income Earner
- Lowest Cost Term Insurance Plans
- Strategies to most effectively cover your “growing” corporate and personal tax
- Universal Life as a means to creditor protect your assets
- Tax Sheltered Investment Opportunities
- Estate, Trust and Tax Planning Ideas
- Corporate Buy-Sell Agreements
- Corporate Group Insurance (Special Quotes Division) for Companies with more than 25 employees
Specific Products
Term Insurance
Ten year term insurance is one of the most common forms of term insurance purchased in a business situation. Term insurance is usually purchased to cover a bank loan or to provide for a partnership or shareholder buy out. In 1997 there was a significant reduction in the pricing of all term insurance products. This was due to the creation of "preferred underwriting". Preferred underwriting benefits clients that have a below average health and lifestyle risk.
Bayside Associates has been on the leading edge of our industry by changing how our clients buy their term insurance. We have had great success in helping our term insurance clients deal with companies which offer preferred rates. There are many different reasons why other agents overlook new products; with our help you may be able to restructure your existing coverage to a policy that has a guaranteed lower insurance cost.
Universal Life
Universal Life has been available since the early 80’s. In our opinion, a Universal Life policy can be the most cost effective lifetime coverage. However, the policy contracts are quite lengthy and contain formula guarantees, cost of mortality charges and contract clauses that can be confusing to the consumer. Because of this it is necessary for your broker to be fully informed about the wording and the reality of how the policy contracts work. The policy contract is very important because it outlines the guarantees the client has with the life insurance company.
Universal Life is a product that should not be sold by agents who are unfamiliar with the wide variety of products available in today’s marketplace. Also, it is necessary to determine the purpose of the Universal Life policy before choosing one as some life insurance companies have designed a specific policy for a particular use or purpose. Bayside Associates has the experience needed to maximize your policy values. We will bring you the most cost effective policy available for your situation because we work for you. We are on the leading edge of the life insurance industry and we have continually offered products that bring substantial value to our clients.
Kevin Galandy our President & CEO has helped design and tailor many of the product features that are available in some of the industry’s leading Universal Life contracts.
Segregated Funds
A segregated fund is very similar to a mutual fund in that one fund will offer many different stocks. Some segregated funds offer 100% guarantee of your principle investment, creditor proofing and no probate fees on death. As with the life insurance policies segregated funds can now be linked to mutual fund performance and/or stock market indices like the S&P 500.
This means you can have your retirement funds linked to some of the world’s most dynamic stock markets with a 100% guarantee. An additional feature to our Business Clients is that non-registered money can now be 100% creditor protected.
Critical Illness Insurance
Have you ever thought what would happen to you financially if you were to suffer from a Heart Attack, Stroke or Cancer?
Critical Illness Insurance is a relatively new concept to Canadians. This type of coverage will furnish a lump sum benefit 30 days after having a diagnosis of any 1 of 18 different conditions such as: Cancer, Heart Attack, Stroke, Surgery for Coronary Artery Disease, Paralysis, Blindness, Loss of Speech, Coma, Alzheimer's, Vital Organ Transplant, Failure of a Vital Organ, Renal Failure, Multiple Sclerosis, Deafness, Severe Burns, Occupation HIV, Parkinson’s and Dismemberment. We have found that because most of our clients are business owners regular disability insurance may not always be the best choice. It is our opinion that most business owners will be at work soon after a minor disability. The 18 listed conditions are generally the ones that may keep them away from their business.
If one of your business partners suffered from a Stroke wouldn’t a cheque for a significant lump sum be better than a small monthly benefit. Critical Illness is a very cost effective alternative to regular disability insurance.
Group Insurance
Recognizing the need to provide our clients with the best possible service in the group insurance field we have assembled a team of group insurance experts to assist us in every possible scenario. This comprehensive team consults from a technical and analytical expertise to thoroughly understand your needs. We can help you create a plan that meets your objectives and satisfies the needs of your employees. We will also propose appropriate administrative and funding options that make your plan easy to administer and most importantly cost effective. We will keep you on the leading edge of the most cost effective management strategies available in the market place and make you aware of all the options.
Whole Life Insurance
A Whole Life policy earns cash value by a combination of guaranteed cash value and non-guaranteed dividends paid into the policy.
Any dividend paid by the life insurance company will depend on future experience as to investment earnings, operating expense, claims paid and taxes. All of these factors will vary so that the dividend scales will change from time to time. If dividends are used to purchase one-year term insurance, the cost of that insurance is generally based on rates that are not guaranteed. In 1991 Canada Customs and Revenue Agency introduced “Investment Income Tax” on the reserves of life insurance companies. This combined with lower interest rates has impacted most life insurance company’s ability to meet original policy projections on dividend based plans. The main reason for this is that the company could not have known about these factors at the time of issue.
Most Whole Life policies are an either/or situation in that you can either have the cash value or you can have the insurance coverage, you cannot have both. If a loan is taken out on the cash value it is repaid to the life insurance company out of the death benefit. One of our main concerns with most Whole Life policies is that the specific mortality charges are not listed in the policy. However, we have found some policies issued after 1994 have insurance costs that are based on the 1958 mortality table, which increases the actual cost of the insurance when compared to policies that use the most recent mortality table.
In recent years we have had discussions with several life insurance companies about linking their dividend rates within a plan that has a guaranteed cost of insurance like Universal Life. Despite our attempts there is still not a “classic whole life” product that would meet our minimum standards of a policy that must have guaranteed listed expense charges (or formula), transparent investment return combined with a year by year listed guaranteed cost of insurance. As of today we have yet to recommend a whole life policy to any of our clients.
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