If you’re reading this article, chances are you’re looking for reliable information about Desjardins Life Insurance. This Canadian insurance provider has been in business for over 70 years, and it’s still going strong. In this article, we’ll dive deep into Desjardins Life Insurance policies, their pros and cons, and everything in between.
What is Desjardins Life Insurance?
Desjardins Life Insurance is part of the Desjardins Group, which is one of Canada’s biggest financial institutions. The company offers a wide range of insurance products, including term life insurance, permanent life insurance, and critical illness insurance.
Desjardins Group has over 7 million members and clients across Canada. The company prides itself on providing personalized service and innovative insurance solutions.
Term Life Insurance
Term life insurance is a type of life insurance that provides coverage for a specific period of time. If you pass away during the term of the policy, your beneficiaries will receive a lump sum payment. Desjardins offers term life insurance policies with terms ranging from 10 to 30 years.
One of the main advantages of term life insurance is that it’s usually more affordable than permanent life insurance. However, keep in mind that once the term of your policy expires, your coverage will end as well.
Pros of Desjardins Term Life Insurance
Desjardins’ term life insurance policies come with a few benefits that make them an attractive choice for many Canadians. These include:
Pros |
Cons |
|---|---|
Flexible terms ranging from 10 to 30 years |
Coverage ends when the term of the policy ends |
Option to convert to permanent life insurance without a medical exam |
Premiums may increase if you renew your policy |
Guaranteed renewable |
No cash value accumulation |
Flexible Terms Ranging from 10 to 30 Years
Desjardins’ term life insurance policies come with flexible terms that can fit your needs. Whether you need coverage for 10, 20, or 30 years, you can find a policy that suits your situation.
For example, if you have young children and want to make sure they’re financially protected until they’re grown up, you can choose a 20-year policy. On the other hand, if you’re approaching retirement age and want to make sure your spouse is covered in case something happens to you, you can choose a 10-year policy.
Option to Convert to Permanent Life Insurance Without a Medical Exam
If you decide that you want to have permanent life insurance instead of term life insurance, Desjardins makes it easy for you to convert your policy. You won’t need to provide any medical information or undergo a medical exam.
This is a great benefit, as it can save you time and money. Plus, it gives you the peace of mind of knowing that you’ll always have coverage, no matter what.
Guaranteed Renewable
Desjardins’ term life insurance policies are guaranteed renewable, which means that you can renew your policy at the end of each term without having to provide any medical information. This is a great option if you’re worried about your health changing over time and not being able to get coverage.
Cons of Desjardins Term Life Insurance
While Desjardins’ term life insurance policies come with many benefits, there are also some potential drawbacks to keep in mind. These include:
- Coverage ends when the term of the policy ends
- Premiums may increase if you renew your policy
- No cash value accumulation
Coverage Ends When the Term of the Policy Ends
One of the main disadvantages of term life insurance is that your coverage ends when the term of your policy ends. This means that if you pass away after the term of your policy is over, your beneficiaries won’t receive any payment.
To avoid this, you can choose to renew your policy once it expires. However, keep in mind that your premiums may increase if you do so.
Premiums May Increase if You Renew Your Policy
If you decide to renew your term life insurance policy once it expires, your premiums may increase. This is because your age and health may have changed, making you a higher risk to insure.
It’s important to keep this in mind when choosing a term life insurance policy. If you think you may want to renew your policy, make sure you choose a term that gives you enough time to evaluate your options and make the best decision for your situation.
No Cash Value Accumulation
Unlike permanent life insurance policies, term life insurance policies don’t accumulate cash value over time. This means that you won’t be able to borrow against your policy or use it as an investment vehicle.
However, keep in mind that term life insurance is designed to provide you with protection during a specific period of time. If you’re looking for an investment vehicle, there are better options available.
Permanent Life Insurance
Permanent life insurance is a type of life insurance that provides coverage for your entire life. As long as you pay your premiums, your beneficiaries will receive a death benefit when you pass away.
Desjardins offers two types of permanent life insurance policies: participating whole life insurance and universal life insurance.
Pros of Desjardins Permanent Life Insurance
Desjardins’ permanent life insurance policies come with a few benefits that make them an attractive choice for many Canadians. These include:
Pros |
Cons |
|---|---|
Guaranteed death benefit |
Higher premiums than term life insurance |
Accumulation of cash value over time |
No flexibility in premium payments |
Potential for dividends |
Policies can be complex and difficult to understand |
Guaranteed Death Benefit
One of the main advantages of permanent life insurance is that it provides a guaranteed death benefit. This means that your beneficiaries will receive a payment when you pass away, no matter how long you live.
For many people, this is a comforting thought. It provides peace of mind, knowing that your loved ones will be taken care of financially, no matter what.
Accumulation of Cash Value Over Time
Permanent life insurance policies accumulate cash value over time, which means that you can borrow against the policy or use it as an investment vehicle. This is a great advantage, as it provides you with more flexibility and options.
Keep in mind that borrowing against your policy could reduce your death benefit or cause your policy to lapse, so it’s important to carefully consider your options before taking this step.
Potential for Dividends
If you have a participating whole life insurance policy, you may be eligible to receive dividends from Desjardins. These dividends are not guaranteed, but they can provide you with additional income or help to pay your premiums.
Cons of Desjardins Permanent Life Insurance
While Desjardins’ permanent life insurance policies come with many benefits, there are also some potential drawbacks to keep in mind. These include:
- Higher premiums than term life insurance
- No flexibility in premium payments
- Policies can be complex and difficult to understand
Higher Premiums than Term Life Insurance
One of the main disadvantages of permanent life insurance is that it’s usually more expensive than term life insurance. This is because it provides coverage for your entire life, and it accumulates cash value over time.
However, keep in mind that you’re paying for the peace of mind that comes with having lifelong coverage and the potential to accumulate cash value.
No Flexibility in Premium Payments
Once you choose a permanent life insurance policy, you’ll need to pay the premiums on a regular basis in order to keep your coverage in force. Unlike term life insurance, there’s no flexibility in premium payments.
It’s important to make sure that you can afford the premiums before choosing a permanent life insurance policy.
Policies Can Be Complex and Difficult to Understand
Permanent life insurance policies can be complex and difficult to understand. There are many different options and features, and it can be overwhelming to try to make sense of them.
It’s important to work with a qualified insurance agent who can help you understand your options and choose the best policy for your situation.
Critical Illness Insurance
Critical illness insurance is a type of insurance that provides coverage in case you’re diagnosed with a serious illness, such as cancer, heart attack, or stroke. If you’re diagnosed with a covered condition, you’ll receive a lump sum payment that you can use to pay for medical expenses, living expenses, or anything else that you need.
Desjardins offers a critical illness insurance policy that provides coverage for 26 different conditions.
Pros of Desjardins Critical Illness Insurance
Desjardins’ critical illness insurance policies come with a few benefits that make them an attractive choice for many Canadians. These include:
Pros |
Cons |
|---|---|
Comprehensive coverage for 26 different conditions |
Coverage can be expensive |
Lump sum payment can be used for any purpose |
Some conditions may not be covered |
No medical exam required to apply |
Waiting period before benefits are paid out |
Comprehensive Coverage for 26 Different Conditions
Desjardins’ critical illness insurance policy provides coverage for 26 different conditions, including cancer, heart attack, and stroke. This is a comprehensive policy that provides you with peace of mind, knowing that you’ll be covered if you’re diagnosed with a serious illness.
Lump Sum Payment Can Be Used for Any Purpose
If you’re diagnosed with a covered condition, you’ll receive a lump sum payment that you can use for any purpose. You can use it to pay for medical expenses, living expenses, or anything else that you need.
This is a great advantage, as it provides you with the flexibility to use the money in the way that best suits your situation.
No Medical Exam Required to Apply
Desjardins’ critical illness insurance policy doesn’t require a medical exam in order to apply. This is a great advantage, as it makes the application process simpler and faster.
Cons of Desjardins Critical Illness Insurance
While Desjardins’ critical illness insurance policy comes with many benefits, there are also some potential drawbacks to keep in mind. These include:
- Coverage can be expensive
- Some conditions may not be covered
- Waiting period before benefits are paid out
Coverage Can Be Expensive
One of the main disadvantages of critical illness insurance is that it can be expensive. This is because it provides coverage for a wide range of serious illnesses, and the risk of having one of these illnesses is higher than the risk of dying.
It’s important to carefully consider your budget before choosing a critical illness insurance policy. Make sure that you can afford the premiums and that the coverage is worth the cost.
Some Conditions May Not Be Covered
Desjardins’ critical illness insurance policy provides coverage for 26 different conditions. However, there are some conditions that may not be covered. It’s important to read the policy carefully and make sure that the conditions you’re most concerned about are covered.
Waiting Period Before Benefits Are Paid Out
Desjardins’ critical illness insurance policy includes a waiting period before benefits are paid out. This waiting period can range from 15 to 90 days, depending on the policy you choose.
It’s important to keep this in mind when choosing a policy. Make sure that you have enough savings to cover your expenses during the waiting period.
FAQ
What is Desjardins Life Insurance?
Desjardins Life Insurance is a Canadian insurance provider that offers a wide range of life insurance products, including term life insurance, permanent life insurance, and critical illness insurance. The company is part of the Desjardins Group, which is one of Canada’s biggest financial institutions.
What types of life insurance does Desjardins offer?
Desjardins offers three main types of life insurance: term life insurance, permanent life insurance, and critical illness insurance. Term life insurance provides coverage for a specific period of time, while permanent life insurance provides coverage for your entire life. Critical illness insurance provides coverage if you’re diagnosed with a serious illness.
How do I apply for Desjardins Life Insurance?
You can apply for Desjardins Life Insurance online or by contacting a qualified insurance agent. The application process will involve providing some basic information about yourself, your health, and your lifestyle. Some policies may require a medical exam.
Several factors can affect your life insurance premiums, including your age, health, lifestyle, and the type and amount of coverage you choose. Generally, the younger and healthier you are, the lower your premiums will be.
Should I choose term life insurance or permanent life insurance?
The type of life insurance you should choose depends on your needs and goals. If you’re looking for affordable coverage for a specific period of time, term life insurance may be the better option. If you’re looking for lifelong coverage or an investment vehicle, permanent life insurance may be the better choice.
Is Desjardins Life Insurance a good choice?
Desjardins Life Insurance is a reputable company that has been in business for over 70 years. The company offers a wide range of life insurance products, and it prides itself on providing personalized service and innovative insurance solutions. Whether or not Desjardins Life Insurance is a good choice for you depends on your specific needs and goals.
Conclusion
Desjardins Life Insurance is a Canadian insurance provider that offers a wide range of life insurance products, including term life insurance, permanent life insurance, and critical illness insurance. The company is part of the Desjardins Group, which is one of Canada’s biggest financial institutions.
Whether you’re looking for affordable coverage for a specific period of time or lifelong coverage and an investment vehicle, Desjardins has a policy that can fit your needs. However, it’s important to carefully consider your options and make sure that you choose the policy that’s best for your situation.
If you’re interested in learning more about Desjardins Life Insurance or any other insurance product, it’s important to work with a qualified insurance agent who can provide you with personalized advice and guidance.