Business Blog

By Leah Walker — Baby, it’s cold outside. The time of year when if your caulking is inadequate, you either look into replacing those windows and blowing insulation into the attic, or you wear wool work socks and a hoodie to bed at night.

Just as you’ll want to protect your home from an unwanted chill, it’s important to make sure you have the proper financial insulation for your family as well. Insurance providers have coverage for everything you can think of, but there are essentials that should be reviewed from time to time.

I asked Sue Neal, Toronto regional director with Investors Group, for a list of the basics. She says in addition to life insurance, we should look into having insurance to cover our mortgage in the event a family income is gone or is reduced significantly; we should look into having a plan in place for replacing income in case of disability, and critical illness protection would cover a situation where there was an illness requiring alternative treatment in another country.

Reviewing your will is a good plan as well, and it’s probably best not to go cheap. Neal says while there are plenty of will kits out there, in her experience, every client who has had one has then taken it to a lawyer in case they missed something, so why not start there? She says that way, the document will automatically include Power of Attorney. “With today’s second and third marriages … and all the dynamics of satellite families, my opinion is that it makes sense to pay a minimal cost and have a lawyer word things properly for not much more than what it would cost for a will kit. Then you could have it specifically worded for your unique situation.”

The start of a new year seems like a good time to make sure you are well-covered, and warding off financial troubles will make sure your loved ones aren’t left out in the cold.