Will you be my beneficiary?
What is better than chocolates and flowers from your significant one? yes, financial security through life insurance. There is one question; who are the beneficiaries?
In an individual life insurance policy, the owner can choose anyone to assign as a beneficiary. This person/entity will receive the policy payout in case of the insured's death. The payout is tax free and paid directly to the beneficiary.
There are two main beneficiary types; primary and secondary/contingent. Primary beneficiary is the person that gets the money in case of the insured's death. While the secondary/contingent beneficiary will receive the money only in a situation where the insured and the primary beneficiary passed away.
Can the beneficiary live out of Canada? Yes. But the only suggestion is to provide as much as possible information on how to contact the beneficiary aboard.
If you have additional questions about beneficiaries for life insurance policy feel free to contact us!