Common pitfalls that leave Canadian families underinsured or overpaying—and how to avoid them with the right professional guidance.
1. Thinking Employee Benefits are Enough
Many people assume their group life insurance through work is sufficient. However, if you leave your job, that coverage typically ends when you need it most. Having a personal, portable policy ensures your family is protected regardless of where you work.
2. Waiting Too Long to Buy
Insurance premiums are based on age and health. Every year you wait, you risk developing a medical condition that could make you uninsurable or significantly more expensive to cover. Locked-in coverage now is a gift to your future self.
3. Choosing the Wrong Term
Buying a 10-year term when you have a 30-year mortgage and young children can lead to a massive premium spike just when your expenses are at their peak. Align your term with your specific financial liabilities.
4. Underestimating Your Need
Life insurance isn't just about burial costs—it's about income replacement, debt payoff, and funding your children's future education goals.
"Life insurance is the only financial product that delivers exactly when the worst-case scenario occurs. Getting it right is non-negotiable."— Rahul Jain