MTHEL131 Lecture Notes - Lecture 2: Life Insurance, Confederation Life, Manulife
13 Jun 2017
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First insurance company in canada: canada life 1847, hamilton. Second insurance company: mutual life insurance 1870, waterloo. Guarantees a large amount of cash paid immediately upon the death of the policy owner (no other product guarantees that) Not available for people who are in poor health. Life insurance proceeds pass directly to the. People complain that insurance is complicated to understand and hard to differentiate between policies. Premiums associated with life insurance policy reduce the amount of money used to spend or invest beneficiary. Life insurance proceeds are confidential -> no public record. Life insurance proceeds/pay outs are protected from creditors. Money is received tax free to the beneficiary. Life insurance policy loan: if policy owner dies before paying back loan, the amount owed + interest is taken away from beneficiary. Profile of life and health insurance industry in canada: offers a wide range of financial products. Health insurance is designed to reimburse out of pocket expenses.
