Life insurance during retirement

You probably relied on life insurance when you were working. It was a way to make sure that your family would be able to maintain the lifestyle you worked hard to establish if you died too soon.

When you retire, it's still important to think about your family's needs and protecting those assets that you intend to pass along after your death. There are several types of insurance you can consider.

Health insurance

Health insurance typically reimburses you for health and dental expenses not covered by the provincial healthcare plan. Just as with life insurance, the younger you are when you apply for your health insurance policy, the lower your premiums are likely to be.

A good policy covers the costs of prescription medications, medical supplies, vision care and medical coverage if you are travelling. It will also cover extended hospital stays and special home care.

Critical illness insurance

Critical illness insurance can give you extra resources when a medical diagnosis takes you by surprise. It pays a tax-free cash lump sum if you are diagnosed with a condition covered by the policy. Typically, serious conditions such as cancers, heart attack, stroke or coronary bypass are covered.

You are free to use the cash any way you want: to pay for treatments, equipment and expenses or to spend it otherwise, such as for a family vacation.

Long-term care insurance

Long-term care (LTC) insurance can be there to help when you are unable to care for yourself. It provides money for stays in nursing homes and chronic care facilities, or for the services of an in-home caregiver. Longer life expectancies, lower investment returns and the rising costs of nursing care that could devour your retirement savings make LTC insurance worth considering.

Know your needs

Life insurance can be used to:

The cost of life insurance depends on your age, medical history and living habits. You can significantly lower the cost by starting a policy when you're young, by living a healthy lifestyle and by staying healthy. All insurance companies ask questions about your medical history, including whether or not you smoke, and it's common for them to require medical tests to verify your health.

Buying insurance is like buying anything: you want the best value for your money. Our insurance advisors make sure you aren't paying for something you don't need.