Mon to Fri - 10am to 5pm



Maximizing Your Coverage and Investments: A Guide to Universal Life Insurance.

13 April 2023


If you're a resident of Ontario, Canada and looking for a comprehensive life insurance policy that also allows you to build your wealth, Universal Life Insurance (UL) may be the perfect option for you. This type of policy offers both protection for your loved ones and investment opportunities to help you grow your wealth. In this blog post, we'll guide you through the ins and outs of Universal Life Insurance in Ontario and how you can maximize both your coverage and investments.

Universal Life Insurance is a type of permanent life insurance policy that provides both a death benefit and an investment component. Unlike term life insurance policies that only provide coverage for a specific period of time, UL policies provide coverage for your entire life as long as you pay your premiums. Additionally, UL policies allow you to invest your premiums in a tax-deferred account, which can help grow your wealth over time.

How Does Universal Life Insurance Work?

Universal Life Insurance policies have two components: the death benefit and the cash value. The death benefit is the amount of money that is paid out to your beneficiaries upon your passing. The cash value is the savings component of your policy that accumulates over time. Your premiums are split between the cost of insurance and the cash value. As your cash value grows, you can borrow against it, use it to pay your premiums, or withdraw it.

Maximizing Your Coverage

One of the benefits of UL policies is that they allow you to adjust your coverage to fit your needs. For example, if you have a young family and need a larger death benefit, you can increase your coverage. As you get older and your financial responsibilities decrease, you can decrease your coverage and reduce your premiums. It's important to regularly review your coverage and adjust it accordingly.

Another way to maximize your coverage is to consider adding riders to your policy. Riders are additional benefits that can be added to your policy for an additional cost. Common riders include accidental death and dismemberment, disability, and long-term care. Adding riders to your policy can provide extra protection for you and your loved ones.

Maximizing Your Investments

One of the key advantages of UL policies is the investment component. Your premiums are invested in a tax-deferred account that grows over time. To maximize your investments, it's important to understand the investment options available to you.

Most UL policies offer a variety of investment options, including stocks, bonds, and mutual funds. Some policies even offer the ability to invest in alternative assets, such as real estate or commodities. It's important to review the investment options and choose the ones that align with your investment goals and risk tolerance.

Another way to maximize your investments is to regularly review your portfolio and adjust it as needed. As your investment goals change, you may need to adjust your portfolio to ensure it remains aligned with your goals. Additionally, it's important to regularly review the fees associated with your policy and make sure they are reasonable.

Choosing the Right Policy

When choosing a UL policy, it's important to work with a licensed insurance agent who can guide you through the process. They can help you understand your coverage options, investment options, and any fees associated with your policy. Additionally, they can help you compare policies from different insurance companies and find the policy that best fits your needs and budget.

How InsLyf Brokerage will help?

InsLyf Brokerage is a licensed insurance brokerage firm that can help you navigate the world of Universal Life Insurance in Ontario. Our team of licensed insurance agents can help you find the right policy that fits your needs and budget. We work with multiple insurance companies to provide you with a variety of options and help you compare policies.

When you work with InsLyf Brokerage, you can expect:

  1. Personalized service
  2. Access to multiple insurance companies
  3. Expert guidance
  4. Ongoing support

InsLyf Brokerage can provide you with the expert guidance you need to find the right Universal Life Insurance policy in Ontario. Contact us today to learn more about our services and how we can help you protect your loved ones and build your wealth with Universal Life Insurance.