Your insurance needs may change as you approach retirement. Your insurance advisor at CDSPI Advisory Services Inc. can help you determine the appropriate levels of coverage for this new stage in your life for insurance plans including:
As retirement approaches, you may need to consider introducing a new type of life insurance into your portfolio — permanent life insurance. A permanent life insurance plan is designed to provide you with insurance protection throughout your entire life at an unchanging premium, and is especially appropriate for estate planning purposes. For example, the benefit payment can be used to help cover taxes due on assets at your death, so your heirs won’t be burdened by these costs. It can also help to create a legacy from scratch if there aren’t assets to hand down, and provide financial support for dependents requiring permanent care.
To make the transition easier for patients, many dentists who sell their practices agree to remain at their office for a certain period working reduced hours as an associate. In this situation — even though you’re no longer responsible for insuring the office — you’ll still have a need for office contents, commercial general liability and practice interruption protection. If you only require a low amount of office contents protection (up to $15,000) then you may want to consider the TripleGuard™ Insurance Associate Package. Your insurance advisor can help you determine if the coverage is right for your situation.
Long Term Disability (LTD) Insurance
The amount of LTD Insurance you’re eligible to purchase depends on your income level. Therefore, if you plan to reduce your working hours leading up to retirement and, as a result, your income will decline, consider adjusting your disability insurance to reflect your lower income.
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Office Overhead Expense (OOE) Insurance
OOE insurance is designed to help cover certain office-related expenses (such as rent and utilities) if you can’t work due to illness or injury. If you’ll be assuming less financial responsibility for practice expenses before retirement, you should consider reducing your OOE coverage accordingly.
If you plan to keep your licence after retiring you will need to keep your malpractice insurance in force.