Estate Planning Essentials for Dentists

A critical part of any financial plan is a robust estate plan.

One of the ways to reduce taxes and fees when your wealth passes to your beneficiaries is make sure you have permanent life Insurance—either Whole Life or Universal Life. Permanent insurance combines life-long life insurance coverage with a tax-sheltered savings component for growth. This means that upon your death, your beneficiaries receive a lump sum that includes an insurance portion and an investment portion—tax-free.
 
Whole Life

  • Provides a combination of guaranteed life insurance protection and guaranteed cash value growth.
  • Pays annual dividends on the policy anniversary, which can be used to buy additional coverage or reduce your annual premium.
  • Dividends can also be used to earn interest or be taken in cash.

 
Universal Life

  • You choose from a broad range of investment account options.
  • You choose a guaranteed death benefit that will be paid to your beneficiaries. The payments you make above the cost of insurance can grow in a tax-advantaged savings account, or be used to increase the amount of your death benefit payout.

 
Avoid Inheritance Payout Delays

Since life insurance policies directly name your desired beneficiaries, the proceeds bypass your estate and beneficiaries receive their inheritance without extended delays.
 
Shelter Your Corporate Investments

Buying a permanent life insurance policy as a corporate asset can help you pass more of your estate on to your heirs.
 
Protect Your Practice

If you or one of your partners dies, permanent insurance can be used as part of a buy-sell agreement to help avoid conflict between partners and heirs. If you’re a sole practitioner, proceeds from your insurance can be used to keep daily operations going until a buyer can be found or a family member or associate can take over the business.
 
Let Us Help

Permanent life insurance plans have many different features and benefits to meet specific needs. Our advisors can help you navigate the permanent insurance landscape, drawing on a broad range of policies from leading Canadian insurance companies to find the best-in-class products that are right for you.

To learn how Whole Life or Universal Life Insurance can fit into a comprehensive financial and estate plan, please contact an Investment Planning Advisor* from CDSPI Advisory Services Inc. at 1.800.561.9401 or investment@cdspi.com.
 
* Insurance advisory and financial planning services are provided by licensed advisors at CDSPI Advisory Services Inc. Restrictions to advisory services may apply in certain jurisdictions.