Manulife Disability Insurance Deadline
Hi Everyone,
In response to the many questions we have received about the myths/fallacies of the Manulife Disability Insurance Deadline (Sept30/22 at 3pm MST), as well as the cost breakdown, we have created two documents for everyone. Please find the Myth vs Fact directly below, as well as our Cost Analysis. If you need any further information or would like to proceed with acquiring a Manulife Proguard Policy prior to the deadline, contact us ASAP (via IG DM, email or text). Thanks and chat soon!
Cost Breakdown: Manulife vs Canada Life
Explanation:
Please find below an example of the cost difference between acquiring a Manulife policy before September 30th while in 2nd year Dentistry, vs. waiting until graduation to acquire a Canada Life policy. The comparison was done using a 25 year old female, non-smoker, who acquires a minimum Manulife policy of $500/month, paying premiums for 3 years while in school. The Canada Life example compares the same student who waited until graduation to acquire a disability policy with similar (near identical) features as the aforementioned Manulife policy.
When comparing the 2 options, after 4 year since graduation, the Manulife policy is cheaper, i.e. the breakeven point. The comparison takes into account:
i) Student discount, 15% with Manulife and 20% with Canada Life.
ii) The student paying premiums for 3 years before graduating (with Manulife).
iii) At graduation both policy coverages are $3,500 (new grad limit with both companies).
iv) Annually, both scenarios increase their coverage to $10,000 as of 5th year of associateship.
The comparison assumes coverage is not increased past $10,000 of monthly benefit.
Considerations:
i) If you are in 3rd or 4th year, you can assume that the breakeven would be earlier.
ii) If you are in your 1st year, you can assume that the breakeven would be later.
iii) If you choose to have more than $10,000 of coverage, you can assume a larger difference in cumulative premium paid.
iv) There are additional built-in features with Manulife that Canada Life does not include.
Thanks,
Joshua and Richard
Renn Financial Group
(403) 999-2341
@rennfinancialgroup