Another key difference between universal life coverage and term life insurance is that in addition to providing life insurance protection, there is also a savings component to your policy. Similarly to RRSPs, a universal life policy allows you to accumulate interest while tax is deferred*, enabling you to realize returns that may be significantly higher than those offered by traditional savings vehicles.

Life insurance solutions are designed for a variety of needs including helping you protect your financial resources, such as your present and future income, preserving your estate for your heirs, supplementing your retirement income and helping you meet other financial planning needs. The proceeds from a life insurance policy could mean that your family or business would not have to sell assets to pay outstanding expenses or taxes. What's more, the death benefit, or proceeds from a life insurance policy are paid tax-free to the named beneficiary of your policy.

We invite you to explore the possibilities and, together with your insurance advisor at DFG, build a financial security plan to help you reach your goals. Universal life insurance is a form of permanent insurance that covers you for your entire lifetime rather than a specified portion of your lifetime as with term life insurance policies. Another key difference between universal life coverage and term life insurance is that in addition to providing life insurance protection, there is also a savings component to your policy. Similarly to RRSPs, a universal life policy allows you to accumulate interest while tax is deferred*, enabling you to realize returns that may be significantly higher than those offered by traditional savings vehicles.

The returns you earn depend on the investment option you select. Returns of the Treasury Bill and Fixed Rate Interest Options are guaranteed. With other interest options, you accept the risk of price variations - both upward and downward. Within the limits of your policy, and as long as you cover the minimum cost of your insurance protection, you can decide how much or how little money would you would like to pay into the policy. As you accumulate funds within your universal life policy, you decide how your premium is invested and can withdraw cash from your policy (some withdrawal charges apply) or borrow against it.
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Universal Life 
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