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IG Wealth Management Study: Few Canadians Appreciate the Important Role Life Insurance Can Play in Optimizing Their Estate
IG Wealth Management Study: Few Canadians Appreciate the Important Role Life Insurance Can Play i...
About this update from Igm Financial Inc.
[{"type":"text","content":"\n \n \n \n IG Wealth Management Study: Few Canadians Appreciate the Important Role Life Insurance Can Play in Optimizing Their Estate\n \n \n /* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n \n \n \n \n \n \n Canada NewsWire\n \n \n \n \n \n \n The vast majority of Canadians plan to transfer all or part of their estate to the next generation.\n \n \n \n \n However, only two-fifths are knowledgeable about the tax implications and costs their beneficiaries can assume upon their death.\n \n \n \n \n Less than two-thirds have a life insurance policy.\n \n \n \n \n \n \n WINNIPEG, MB\n \n \n ,\n \n \n Nov. 10, 2023\n \n \n /CNW/ - To mark Financial Literacy Month, IG Wealth Management (IG) released a study today on Canadians' understanding of how life insurance can help optimize generational wealth transfer.\n \n \n \n \n \n \n \n \n \n The results find that, while the overwhelming majority (87 per cent) of Canadians plan to transfer all or part of their estate to the next generation, few are aware of the important role life insurance can play to help alleviate associated costs, including taxes that must be paid.\n \n \n According to the study, conducted by Pollara Strategic Insights for IG:\n \n \n \n Less than two-thirds of Canadians have a life insurance policy.\n \n \n Only two-fifths (39 per cent) are knowledgeable about the tax implications and costs their beneficiaries can assume upon their death.\n \n \n Just 29 per cent are knowledgeable about the tax advantages some life insurance policies can offer.\n \n \n \n The study reveals that many Canadians are unaware of the potential tax burden their beneficiaries could face when inheriting assets such as investments, vehicles and properties.  Having a life insurance policy that is payable on death to one's beneficiaries can potentially offset these taxes and any other related costs to help ensure that the assets remain in the family. Importantly, most life insurance payouts are exempt from taxes.\n \n \n \"We're on the heels of the largest inter-generational wealth transfer in history, so it's important Canadians understand the ro...