CanEquity Blog on Insurance

BMO Financial Group recently released a report advising Canadians on retirement and downsizing and if they should make their move.

With the first wave of Canada's 9 million baby boomers becoming eligible for retirement last year alone, many are having to make the decision on what to do in terms of their finances.

The report found 54 percent of respondents citing financial reasons as why they will relocate after they retire.

"Even if downsizing may be years away, it's important not only to think about all of the factors that can affect your decision, but to maintain an open dialogue with your loved ones," said Dr. Amy D'Aprix, BMO Life Transition Expert. "Being proactive will help you remain in control, rather than having to deal with an unexpected move when you're not prepared." Continue reading »

The Canadian life insurance company, RBC Life, has been affirmed with the financial strength rating of A for "Excellent" and issuer credit rating of "A" from A.M. Best Company.

The positive rating received by RBC Life is in part due to its satisfactory risk-adjusted capitalization, strong brand name recognition in the Canadian market and overall increased growth in new premiums.

RBC Life remains a significant contributor to Canadian life insurance coverage by providing not only traditional life coverage but also individual living benefits and group long term disability insurance as well. Continue reading »

The Manufacturers Life Insurance Company, the subsidiary of Manulife Financial Corporation, recently announced it plans to issue $500 million principal amount of 4.165 percent fixed/floating subordinated debentures by June 1.

The debentures will carry interest at a 4.165 percent fixed rate for five years and afterward a rate of 2.45 percent over the three month Canadian Dealer Offered Rate. The debentures are scheduled to mature on June 1, 2022.

"Our capital raising activity takes into account our expected refinancing requirements and recognizes that, while our capital position remains strong, there could be pressure on our common share price and bond spreads if our capital ratios decline," said Donald Guloien, president and CEO of Manulife. "We see this action as prudent when faced with uncertain market and economic conditions." Continue reading »

Equitable Life of Canada recently announced its earnings report for 2011, which was down from the record earnings recorded in 2010.

Amid a challenging economic climate for Canadian life insurance companies, Equitable Life posted earnings of $8.5 million last year, down from $32 million the year before. The decline was attributed to volatile financial markets, low interest rates and a drop in experience in a sector of the individual line of businesses.

"Equitable Life's ability to remain strong in the midst of difficult market conditions reflects the benefits of our commitment to mutuality," said Ronald Beettam, president and CEO of Equitable Life. "Our mutual status provides continuity and stability, and allows us to focus on meeting the long-term interests of our policyholders." Continue reading »

A recent report released by the Montreal Economic Institute suggests new ways that Canada can improve its already popular healthcare system.

The report, by Frederik Cyrus Roeder, a German health economist, suggests that Canada follow Germany's lead by allowing private and for-profit hospitals into the healthcare mix in order to ease the stress placed on the public system.

"Private-for-profit hospitals in Germany provide better quality care, as compared to public and private not-for-profit hospitals," the report states. "When it comes to getting treatment after an appointment with a specialist, private-for-profit hospitals in Germany have the shortest waiting times. They admit patients 16.4 percent faster than private not-for-profit hospitals and 3.1 percent (faster) than public hospitals." Continue reading »

Canadians are living longer and as a result are expecting to work later in life, and are having to put their life insurance needs in perspective.

According to CBC News, fewer than a third of respondents in the Sun Life Financial's annual Unretirement Index poll said they plan to be fully retired by age 66, and only three in 10 Canadians polled said they plan to fully retire at that age.

"These results are not surprising given the current economic volatility, increasing consumer debt loads, rising healthcare costs, longer life expectancy and lack of planning," said Kevin Dougherty, president of Sun Life Financial Canada. "We're also finding that some Canadians believe they'll have to work longer to be able to pay for basic living expenses."

In addition, nearly five in 10 respondents said they plan to work part-time or freelance as they transition into retirement. Continue reading »

Canada could soon experience a shortage of Oxycontin that would lead to a catastrophe for the nation's reserves as the drug has been removed from the Non-Insured Health Benefits list.

With Health Canada announcing that all "long-acting oxycodones" like OxyContin have been removed from the Non-Insured Health Benefits list, all legal sources of the drug will become unavailable to all Status Indians and recognized Inuit across the nation.

"In the absence of any regular treatment, a public-health catastrophe is imminent," said Benedikt Fischer of British Columbia's Simon Fraser University, in the draft of a statement prepared by the Nish-nawbe Aski, according to the Calgary Herald.. "There are thousands of addicted individuals with rapidly shrinking supplies – likely leading to massive increases in black-market prices, use of other drugs, needle use and sharing, and crime." Continue reading »

A recent report on the U.S. and Canadian life insurance industries reveals a greater number of providers are turning to mobile-based technology as a way to offer their services.

The Mobile on the Move: Reaching Insurance Stakeholders Wherever They Are report polled life insurance companies across North America and found nine in 10 are meeting producer demands with mobile technology offerings.

"Like we saw with social media, life insurers recognize that using mobile technology is not negotiable if the company wants to be competitive now and in the future," said Mary Art, LIMRA research director, technology in marketing and distribution research. "In fact, three of four companies surveyed said they were using mobile technology to keep pace with their competitors and nearly as many anticipate these investments will increase sales." Continue reading »

Canadian immigrants who want to take advantage of the nation's healthcare offerings have numerous options to choose from.

Citizens and permanent residents of Canada are eligible for health insurance. Those who have the proper amount of coverage will not have to pay directly for most healthcare services, which are instead paid through their taxes. All that is required is a health insurance card that is presented at the medical clinic or hospital.

Migrant workers can also benefit from the nation's healthcare offerings. It is the responsibility of the farm owner to enroll his or her migrant workers in the provincial health plan.

Canadian immigrants can be a source of inspiration for citizens and permanent residents alike. RBC Royal Bank recently announced plans to team up with Canadian Immigrant magazine to begin voting for the fourth annual Top 25 Canadian Immigrant awards. Continue reading »

Desjardins Financial Security recently announced the launch of a new offering that will bring a critical illness insurance product to employers looking to help alleviate the financial stress felt by their employees who are suffering from health issues.

Although modern medicine has made surviving various medical issues a realistic possibility, the financial cost that is incurred is still relevant, and if the individual isn't on a group insurance plan then he or she may be in serious financial trouble.

Desjardins Financial Security is offering two different plans for employers who want to further serve their employees' health insurance needs.

"The basic plan covers the four most common critical illnesses, and the enhanced plan covers 31 illnesses – the most comprehensive coverage available," Nathalie Laporte, vice president of group and business insurance product development at marketing at Desjardins Financial Security. Continue reading »