Parents Plan

The Universal Life Insurance plan, also known as the Parent Plan, encompasses several vital benefits:

• Comprehensive Life Insurance Coverage:
• • Offers lifetime coverage, providing a lump sum to beneficiaries in the event of the policyholder’s demise.
  • Allows for the accrual of cash benefits.
• Tax-Exempt Savings Accumulation:
• • The Canadian government provides tax exemptions based on the accumulated amount within the policy.
  • A maximum limit exists on the policy amount, with taxes not considered on the accumulated sum.
• Collateral Functionality:
• • The accumulated amount in the insurance policy is a valuable asset.
  • Enables obtaining loans from Canadian banks using the policy as collateral.
  • Potential for tax-deductible benefits on interest, subject to policy conditions.
  • Loans can be utilized according to individual financial needs.