Insurance

Question 1

What is workers compensation?

Answer 1

Sick or injured because of employment

• 85% or after tax income
• max 6000/month
• tax free benefit

Question 2

What is CPP disability?

Answer 2

Severe and prolonged

• up until 65
• 700-1300/m + flat rate for kids
• taxable

Question 3

What are EI sickness benefits?

Answer 3

-55% of income
-two week waiting period
15 weeks of benefit
Taxable

Question 4

What is weekly indemnity or short term disability?

Answer 4

Group plab
-1-15 day waiting period
-15-104 week benefit 
66% of salary 
Depending on who pays premium it is taxable or tax free

Question 5

What is LTD? Group

Answer 5

Start when WI ends
Most have non evidence max
Payable until 65

Question 6

What are residual benefits?

Answer 6

For self employed or contractors

When you can return to work but have limited income

Question 7

What are partial benefits?

Answer 7

For wage earners

80% or less work

Question 8

What is Presumptive benefit?

Answer 8

Employer that lost sight or limb

Gets full benefit

Question 9

Needs analysis - income replacement

Answer 9

-find shortfall
-solve for PV
Then add lump sum obligations : debts, estate needs
Then subtract insurance already in place

Question 10

Are disability benefits convertible?

Answer 10

Rarely. They require proof of income