Is your employer-provided life insurance coverage enough?

Many employers will provide you with group term life insurance as part of your benefit package. In some cases, you can also add to this coverage for a low rate at your own expense. While this is a great benefit, especially if you don’t own other coverage, it’s always important to remember how your employer coverage may not meet all of your needs.

Here’s a quick review of some of the differences between your employer-provided life insurance coverage and the CPA Select* Term Life insurance member benefits, that you and your spouse can take advantage of:

• Your coverage needs
  Your employer-provided coverage typically offers you 2 to 3 times your annual salary – often with the option to add optional supplemental coverage. However, for many people, this still may not be enough. Some experts recommend getting life insurance coverage of 8-10 times your salary. However, it's important to think about your own circumstances and understand just how much annual Income your dependents rely on from you – and how many years they will need It, should something happen to you.
  
  With CPA Select Term Life Insurance, you and your spouse can choose coverage amounts from $50,000 to $2 million (in $25,000 increments) to help safeguard your family's financial future – with both of you enjoying CPA Select’s members-only exclusive rates.

• Portability
  Unfortunately, your employer-provided coverage is just that, so you’ll lose coverage when you change jobs, move to contract work or are laid off. This lack of portability can be a problem if you aren’t going directly to another job with similar coverage. Most people won’t want gaps in their life insurance coveragebecause you never know when you might need it.
  
  Additionally, when purchasing extra coverage at your next workplace – you may need to be underwritten again for this additional amount – with any changes in your health that typically happen as we age, potentially affecting your cost or your ability to get this coverage.    
  
  CPA Select Term Life Insurance is portable. Your coverage moves with you from job to job, and anywhere you live in the world as long as you remain a member. You’re able to apply for coverage up to age 64 and keep this coverage to age 85, well after retirement.
  
  
• Cost
  Even if you can get all the life insurance you need for both yourself and your spouse through your employers, it’s a good idea to shop around to see if your employer’s insurance really offers the best value for the money and additional benefits you may want and need.
  
  Reviewed annually, CPA Select Term Life coverage offers some of the most competitive rates in the marketplace, with additional volume savings on coverage amounts of $250,000 or more. Plus, you and your spouse are automatically assessed for preferred rates when you apply for $250,000 or more – with the potential to save up to 27% more if you are in exceptionally good health. Coverage also Includes a waiver of premium and a living benefit with an opportunity to purchase a future Insurability option that allows you to add coverage at a later time with no additional medical requirements.
  
  
• Supplementing your coverage
  While it makes sense to take advantage of any free or inexpensive life insurance offered by your employer, you might not want to rely on it entirely and consider purchasing additional life insurance that isn’t tied to your employment.
  
  Taking advantage of the competitive rates, exclusive benefits and portability of CPA Select Term Life Insurance is a great way to supplement your employer-provided coverage. Your CPA Select coverage can help you optimize your financial protection portfolio, ensuring your loved ones are well taken care of should something happen to you.

Take a moment now to learn more about CPA Select Term Life Insurance. 

This article was brought to you by Manulife. As a CPA Ontario member you have exclusive access to the affordable CPA Select Insurance Plans sponsored by the Chartered Professional Accountants of Ontario and underwritten by The Manufacturers Life Insurance Company of Canada (Manulife).

* CPA Select* and CPA Select*Plans are official marks of the Chartered Professional Accountants of Ontario.