Life insurance in Brampton, simplified with PolicyMe

The type of life insurance you need in Brampton depends on your unique circumstances. When you compare life insurance in Brampton, you’ll probably notice that there are two main kinds of insurance. You’ll notice that your life insurance options include term life insurance (which covers you for a fixed period of time) and permanent life insurance (which covers you for the rest of your life).

Many people opt for term life insurance because it tends to be more affordable than permanent life insurance. Term life insurance can cover you during high-risk times in your life (such as when your children are young). You’ll typically get insurance protection for a timeframe of 10-30 years.

While permanent life insurance, including universal and whole, offers lifelong coverage, many families don’t need their coverage to last the rest of their lives. As these kinds of insurance are typically more expensive, they tend to be best suited to people with higher incomes.

You may be wondering how life insurance gets paid out in Brampton, Ontario. Your chosen beneficiaries will need to contact your insurer and provide evidence of your passing, such as a death certificate.

After you pass away, your loved ones will get a lump-sum payout (death benefit). This payout will be tax-free. Your family can use this money to help cover any of their everyday expenses or any one-off costs.

Your family has full control over how that money is spent. Your insurer doesn’t get any decision on where the payout goes. Your family can use their payout to spend on any expenses they wish, from mortgage payments to school fees.

You cannot cash out a term life insurance policy before passing away in Brampton. Unlike whole life insurance or universal life insurance, you can’t cash out a term life insurance policy. That’s because a term life insurance policy doesn't have any cash value.

A term life insurance policy offers you protection during your chosen timeframe, after that, your coverage ends. Many of our customers take out term life insurance for a 20-30 year period. This gives them peace of mind that they are covered during high-risk periods, but for a lower rate than they could typically get with whole or universal life insurance.

If you go for a whole or universal life insurance policy and want to cash it out, you’ll typically need to pay tax on that income. The longer the policy has been in place, the more tax a customer will need to pay if they cash it out.

The age you should get life insurance in Brampton will depend on whenever your family needs it. There isn’t a catch-all piece of advice here.

But the older you are, the higher your monthly premiums will tend to be. Many of our thriftiest customers understand the value of taking out a policy as soon as they can to help save on their monthly rates.