Life Insurance

Life Insurance: It's Not For You!

(It's for the people you love!)

Death isn’t something that we normally like to think about, but when it comes to protecting your family from a mountain of debt, it’s a subject that you should discuss. If you were to pass away, is your family prepared – and financially capable – to manage all of your debt all on their own? Even if you already paid off your mortgage, and there are no other debts, would your family be able to replace your income? Would they be able to work while they grieve your loss?

These are the sorts of things that each of us needs to consider. Life is finite. We're all human. But we can leave this Earth knowing that our loved ones have been taken care of and that we are leaving them with our memory - not our burdens.

For business owners you may need life insurance to satisfy the terms of your shareholder agreement. After all - you got into business with your partner...not their spouse. Protect your business so it can continue if one of the partners passes.

At First Foundation we can guide you in the right direction to ensure that you protect your loved ones from financial hardship in the event of your death, disability, or critical illness.

Here's how we can help:

What Is Life Insurance, Anyway?

Essentially, there are two major types of life insurance: personal life insurance and mortgage life insurance. Each is different and have their pros and cons. Read more about them below.

Personal Life Insurance - This life insurance product provides a specific dollar amount to your beneficiary at time of death. Term life insurance, universal life insurance, and whole life insurance options are available. Critical illness insurance and disability insurance are important life insurance options to consider as well. Generally speaking, with a personal life insurance policy, you own the policy. In the event of a claim, the funds will be paid to your estate to do with as you have directed.

Mortgage Life Insurance: This life insurance product that pays out the balance of your mortgage at the time of death. Available through mortgage brokers lenders, banks, or life insurance companies - many options are available. Unlike personal life insurance, the beneficiary of the policy is the lender, so in the event of your passing, your mortgage would be paid out, even if that is not the most ideal use of your finances. Coverage may also decrease over the term of the mortgage.

The details of your life insurance policy will vary based on a few factors. Details, such as your state of health and your age, as well as how “risky” your lifestyle is, determine what your monthly life insurance premiums will be. In the case of mortgage life insurance, the amount of your mortgage will also determine your premium amounts.

Life Insurance is often available even to people with pre-existing health conditions like Diabetes!

Life insurance, whether it be personal life insurance or mortgage life insurance, can remove the “what ifs?”, and provide you with peace of mind if something were to ever happen to you. It’s about understanding the life insurance products available to you and, ultimately, protecting the people you love. Let First Foundation Insurance help you protect your loved ones.

If you’re interested in obtaining more information for either type of life insurance, please contact First Foundation today.

Last updated Jan 11, 2024
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