Infographic: Do You Have Enough Life Insurance

November 27th, 2011 | Author: Mitch Reynolds

Infographic: Most People Don’t Have Enough Life Insurance

Enough Life Insurance = 10X Gross Income

The average person in Canada does not have enough life insurance. Research shows that for those people who actually have life insurance coverage (about 25% of Canadians have no life insurance what so ever) they only carry about $166,800 in coverage or 3.6 times annual income. Most financial planning experts suggest a minimum of 7 times and an average of 10 times annual income to provide adequate life insurance protection.

Please have a look at this inforgraphic an see some research into personal life insurance planning and the coverage you should have in place to properly protect your family.

Contact Life Guard Insurance to find out if you have enough life insurance

Feel free to use our online life insurance needs analysis tool to give yourself a rough extimate of whether or not you have enough ;life insurance. It will be far more accurate for your family and yourself if you conduct a financial needs analysis with a life insurance broker. At Life Guard Insurance we have a network of professional and experienced life insurance brokers across Canada who can help. Contact us, and make sure you have enough life insurance to protect your family.

The infographic was posted by +Mitch Reynolds. If you found it interesting or it made you think, please feel free to share your comments below. Liking us on Facebook, giving us a +1 on Google or Tweeting this infographic about having enough life insurance would be very much appreciated.

Infographic: Life Insurance Impaired Risk and Rated Policies

Posted in Financial Planning, Insurance Needs Analysis, Life Insurance

2 Responses to “Infographic: Do You Have Enough Life Insurance”

Vernon Groston:

March 2, 2012 at 10:16 pm

We reevaluated our life insurance needs about a year and a half ago, when I started working freelance from home?? Some days, I HATE that I pay the premiums at all (it feels less necessary than my car or home insurance), but other days, I see the immense values in those policies, even if (pray God) I never need them.

Reply
- Mitch Reynolds:
  
  March 3, 2012 at 9:00 am
  
  Hi Vernon,
  
  Thanks for your comment. I have a couple things to say in response.
  
  1) Yes, life insurance premiums can feel like a burden to pay for. Every month you’re paying something out and getting no real return for your money. Even unlike other bills, such as water and heat, you are consuming those things to make your life more comfortable. In the case of life insurance you must die to realize a benefit from all the invested premiums. So, in fact it is not even a product for you but protection for family who would see the benefit. A little hard to wrap your mind around the payments until you begin to think of the financial outcome for loved ones if you died and were not there to provide for them.
  
  2) There really are two kinds of life insurance – renting and owning. Renting (term life insurance) is a monthly bill that only pays a benefit if you died – much like what I said above. Owning (permanent life insurance) is more like an investment and you life insurance policy will have cash value, growth rates, dividends, etc. I don’t know too many people who feel badly about investing into their RRSPs. Permanent life insurance in much like that, with the added benefit of immediate life insurance protection today.
  
  Maybe you should take a look at permanent coverage instead of term?
  
  Cheers,
  Mitch Reynolds
  
  Reply