According to the latest data from the Toronto and District Funeral Directors Inc., the average cost of a funeral is $4,500 and many Canadians are using life insurance to help offset these costs.
Canada Purple Shield plans, which are underwritten by Assurant Life of Canada, have been in this market for over 50 years, so how does it stack up with some of its competitors? Let’s take a look:
How the Product is Sold?
Purple Shield – Through Its in house sales force only
Assumption Life – Through Its Independent Broker Network
Canada Protection Plan – Direct through its call centre, or through its independent broker network.
Industrial Alliance – Through its independent broker network
*Purple Shield plans are underwritten by Assurant Life and Canada Protection is Underwritten by Foresters Life of Canada
Does the Policy Have An Escalating Benefit?
Purple Shield – Yes
Assumption Life – They have an escalating benefit plan called Golden Protection Plus and a level death benefit plan.
Canada Protection Plan – No
Industrial Alliance – Their universal life plans can have an escalating benefit. Their simplified Issue plans have a level death benefit.
Can the Money Be Used to Cover Other Expenses other than Funeral Expenses?
Purple Shield – Extra money can be put into the plan to cover outside costs, but there are limits on how much money a person can shelter in a single plan.
Assumption Life – Yes, money can be used to cover any type of cost, not just funeral costs.
Canada Protection Plan – Yes, the money can be used to cover any type of cost, not just funeral costs.
Industrial Alliance – Yes, the money can be used to cover any type of cos,t not just funeral costs.
Do I have to Complete Medical Tests?
Purple Shield – No, there are health questions, but no medical tests.
Assumption Life – No, there are health questions, but no medical tests.
Canada Protection Plan – No, there are health questions, but no medical tests.
Industrial Alliance – They have traditional life insurance policies, which have medical tests and health questions, and simplified issue policies, which have no medical tests, but have some health questions.
Does the Coverage Start from Day One?
Purple Shield – They have coverage, which starts from day one, and other plans, which are paid out on a deferred basis.
Assumption Life -They have coverage, which starts from day one, and others plans, which are paid out on a deferred basis.
Canada Protection Plan – They have coverage, which starts from day one, and other plans, which are paid out on a deferred basis.
Industrial Alliance – They have coverage, which starts from day one and others plans, which are paid out on a deferred basis.
For more details check our quote page on funeral insurance in Canada or contact us at 1.866.899.4849.
How does this plan syack up against the new La Capitale plan?
It really depends on the type on which questions you can answer “no” and qualify for under each plan. You may also want to check out Assumption Life, Industrial Alliance and Canada Protection Plan simplified issue plans.