Insurance Planning Assn #1 - Group 2, Updated Long term care

docx

School

Lambton College *

*We aren’t endorsed by this school

Course

1194

Subject

Finance

Date

Feb 20, 2024

Type

docx

Pages

Uploaded by DeaconElectronGuineaPig43

FIN 1194 Insurance Planning FIN 1194 Insurance Planning Assignment 1 Group 2 Beyza Kaçar c0872017 Akshat Nohwal c0882183 Ramandeep Kaur c0882485 Nima Tshering Tama c0879697 Kevin Dobariya c0885829 Nayan Babubhai Patel c0886249 © 2023 LAMBTON COLLEGE IN TORONTO

FIN 1194 Insurance Planning Assignment #1 (Online) – Group #2 . ❑ 10 Andrew was diagnosed with inoperable cancer, which was very upsetting to him and wife Sara. The couple operated a small business that required both of them to contribute significantly to ensure its success. Because of Andrew’s illness, he could not spend much time working at their business. Sara was also unable to spend a lot of time with their business because she was trying to help Andrew with his needs. Andrew’s doctors told him that he was not expected to live longer than one year. Business revenues began to decline and the couple were faced with bankruptcy. Andrew died approximately 6 months later, after which Sara was able to resume working. After carefully assessing the above situation, discuss what you feel would have been the best possible insurance-related product or combination of products for your client(s). Be sure to consider your client(s)’ current and future needs. Considering the unfortunate situation of Andrew's inoperable cancer diagnosis and subsequent death, it is clear that the couple was facing financial difficulties due to the decline in business income. Having © 2023 LAMBTON COLLEGE IN TORONTO

FIN 1194 Insurance Planning appropriate insurance-related products to handle such situations could have supported Andrew and Sara financially during these difficult times. We examine the importance and benefits of insurances that needed below. Life Insurance: A life insurance policy is an arrangement between a person (the policyholder) and an insurance company. The insurance company guarantees to pay the specified beneficiaries a lump sum payment, also referred to as a death benefit, if the insured person dies. The policyholder typically pays a premium to the insurance company in exchange for this coverage, either once or regularly (monthly, quarterly, or annually). Numerous types of life insurance are available to suit a range of purposes. Term life insurance is one of these kinds; it provides coverage for a predetermined amount of time, like 10, 20, or 30 years. The beneficiaries get the death benefit if the insured passes away during this time. However, unless it is renewed or changed to permanent insurance, coverage usually ends if the term ends without a claim. If premiums are paid regularly, permanent life insurance will cover the insured for their life. This category comprises a range of alternatives, including variable life insurance, universal life insurance, and universal life insurance. Typically, these options have a cash value component that can be borrowed against or withdrawn subject to certain restrictions, and the cash value increases over time. The Death Benefit, a sum given to a specified beneficiary upon the insured's death, is the cornerstone of life insurance. The policy owner may choose to set this amount in advance or based on the policy's nominal value, and in challenging circumstances, financial assistance may be offered. Life insurance has several benefits, chief among them being financial protection. The death benefit assists in paying for funeral costs, unpaid bills, mortgage payments, and continuing living expenses in the event of the insured's passing. Insurance companies offer Riders, which are extra features that may be added to plans for a cost in order to personalize coverage further. Popular coverages include  Premium waiver, which forgoes future premium payments in the event of disability;  Accidental death benefits, which boost death benefits and  Accelerated death benefits grant access to a portion of the death benefit if the insured is diagnosed with a terminal illness. Offers rewards in the event of a fatal accident. These adjustable characteristics enhance The policy's adaptability, which enables policyholders to customize coverage to meet their unique requirements and situations. For Andrew: If Andrew had had a life insurance policy, Sara might have received a death benefit after his passing. The payment could have helped pay for emergency costs, including funeral and hospital expenses and outstanding business debt. For Sara: The life insurance premium could have served as an insurance policy for Sara's finances following Andrew's passing. This might have assisted her in paying for continuing living expenditures, business expenses, and even future investments in the company's recuperation. © 2023 LAMBTON COLLEGE IN TORONTO

Your preview ends here

Eager to read complete document? Join bartleby learn and gain access to the full version

Access to all documents
Unlimited textbook solutions
24/7 expert homework help

FIN 1194 Insurance Planning In the present circumstance, the couple's modest firm was severely impacted financially by Andrew's diagnosis of incurable cancer and his consequent incapacity to work, which resulted in lower sales and the imminent risk of bankruptcy. A life insurance policy with the Expedited Death Benefit Rider would have been beneficial in this case, especially considering Andrew's terminal illness. Suppose an insured person is diagnosed with a terminal disease like Andrew was. In that case, they may be eligible to collect a portion of the death benefit while living, thanks to the Accelerated Death Benefit Rider. This advance payment could have given the couple much-needed financial support to pay medical bills, compensate for lost income from Andrew's incapacity to work, and keep their business afloat during this trying period. Moreover, in the event of Andrew's passing, monies may have been used to purchase Sara's interest in the company or help stabilize it if they had Business Continuation Coverage on their life insurance policies. This would have helped guarantee the business's ongoing operations and reduced some of Sara's financial strain. Having adequate life insurance coverage would have helped Andrew and Sara with their financial struggles and freed them up to concentrate on Andrew's care rather than worrying about money. Disability Insurance: For Andrew: When his sickness prevented him from working, disability insurance coverage may have replaced his lost income. This would have contributed to the couple's and the company's continued financial stability. For Sara: Disability insurance might have offered an extra source of income to sustain the family and the business if Sara could not work due to her husband's illness or for other reasons. Business Interruption Insurance: This kind of insurance helps businesses cover costs and lost revenue when regular business operations are disrupted. In this instance, business interruption insurance might have helped cover continuing business expenses if Andrew's illness resulted in a drop in sales. Insurance for Critical Illnesses: Andrew might have received a lump sum payment from critical illness insurance coverage if he had been diagnosed with a severe illness. This sum may have reduced the family's financial burden, paid for specialized medical care, or covered other medical expenses. Insurance for Long-Term Care: Long-term care insurance might have assisted in covering the costs of Andrew's medical and caregiving requirements, given his sickness and the ensuing care he needed, guaranteeing a higher standard of care without straining the family's finances. Long-term care insurance is a unique kind of insurance meant to pay for basic care if you are unable to take care of yourself and are unable to perform two or more activities of daily living, such as eating, dressing, using the restroom, bathing, and porting/transporting. The insurance provider will then pay the monthly benefit which may be based on the original subscription if the inflation option is not taken © 2023 LAMBTON COLLEGE IN TORONTO

FIN 1194 Insurance Planning or greater if it is if you qualify by being unable to perform any two or more activities of daily living. These benefits will be provided for the length of a predetermined period, as specified in your policy (e.g., two years), or until you get healthy again. Since the benefit is tax-free, no tax receipt is now needed, thus it does not affect any other benefits you may be eligible for. Generally, no receipts are needed; that is after a claim is approved, the insurance company pays the money without asking any questions. Few products are currently offered to Canadians as specialised long-term care plans, and only a small number of insurers offer LTC coverage as an option to convert other policies (including critical illness and disability insurance). We have compiled a list of Canadian insurers that currently or formerly provided LTC insurance. Company In the past As of May 2021 1. Blue Cross Yes No 2. Manulife Yes As a conversion option on critical illness insurance plans 3. My Dignity Yes Yes (My Dignity Product for home-based care) 4. RBC Insurance Yes As a conversion option on disability insurance and critical illness insurance plans 5. Sun Life Yes Yes For Andrew : Andrew's diagnosis is less than a year, indicating a rapid decline in his health and a greater need for specialised care. He was diagnosed with incurable cancer. His condition has caused him to have less income and financial burden, which makes specialised therapies and help with daily duties necessary. Financial security for medical expenses, home help, and possible stays in assisted living or nursing homes can be obtained with long-term care insurance. For Sara : Sara, Andrew's principal carer, may experience financial difficulties, due to her caregiving responsibilities. This might have an impact on their stability and revenue. If Sara's health worsens or she need assistance as she gets older, she might require long-term care. In order to help Sara take breaks and keep up her wellbeing, long-term care insurance can provide support services and respite care. Without relying on Andrew's coverage, this policy safeguards Sara's financial stability and guarantees that she can get the help and care she needs. Based on their distinct demands and financial situation, Sara and Andrew each have individual long- term care insurance policies. Whereas Sara's plan gets ready for future care needs, Andrew's plan offers specialised care and assistance services. With the assurance that they have the tools and assistance they need to address their changing care demands, this comprehensive coverage guarantees that they can face their health issues head-on. © 2023 LAMBTON COLLEGE IN TORONTO

Your preview ends here

Eager to read complete document? Join bartleby learn and gain access to the full version

Access to all documents
Unlimited textbook solutions
24/7 expert homework help

Related Documents

Agency theory.docx

Final-F22-exam.docx

Homework 2 - Group 13-3.xlsx

Financial Planning Assignment 1 (1).xlsx

Investments Summary #10 .docx

Insurance Planning Assigment 1 Group 2.docx

HW605-3-I-Chapter7 (2).pdf

HW605-4-I-Chapter 8 (2).pdf

HW605-2-I-Chapter3 (2).pdf

PS6.xlsx

Week 6 SA.docx

ACCTG180 W6 ASS1 Q 3.png

Related Questions

Match the words with the term. Question 7 options: 12345 insurance 12345 guarantees 12345 ability to repay loan 12345 status of industry 12345 integrity 1. capacity 2. collateral 3. coverage 4. character 5. conditions

Students Home M Federal Financial Aid Program X Students Home Ch. 7 Hmwk: Invoices, Trade &X A Ch. 7 Hmwk Invoices, Trade & X A webassign.net/web/Student/Assignment-Responses/last?dep3D27277752 Apps M Gmail DYouTube Maps ... ... EReading list 7. [-/1 Points] DETAILS BRECMBC9 7.I1.010. MY NOTES ASK YOUR TEACHER PRACTICE ANOTHER Calculate the net price factor (as a %) and net price (in $) by using the complement method. Round your answer to the nearest cent. List Price Trade Discount Rate Net Price Factor Net Price $3,499.00 35% $4 Need Help? Read It 8. [-/1 Points] DETAILS BRECMBC9 7.J1.014. MY NOTES ASK YOUR TEACHER PRACTICE ANOTHER Calculate the trade discount (in $) and trade discount rate (as a %). Round your answer to the nearest tenth of a percent. List Price Trade Discount Rate Trade Discount Net Price $4,500.00 $3,515.00 Need Help? 11:28 PM 71°F (岁 10/9/2021 P Type here to search

E 3 17 R H Herzing College | Canadian Care: X HAC202 Acc Il 07/23: Topic Four A: X + https://online.herzing.ca/mod/assign/view.php?id=333642 HERZING Question 7: Submission status Big Trust is a non-governmental organization that gives charity to orphans in Ontario. The members of the Trust make subscriptions to fund the organization. There are ten members who are required to make subscriptions of $140,500 each per annum. All subscriptions for the year 2020 were received. Three members contributed a total of $240,640 in excess for that year. They agreed that the excess subscriptions can be carried forward to the following year. Required: 1. What is the accounting name given to theses excess subscriptions? 2. Shall the excess subscriptions be recorded as assets or liabilities of Big Trust? Explain. 3. Provide the end of the year accounting treatment for the excess subscriptions as they would appear in: o The income statement • The statement of financial position Submission A ✩ No attempt…

doctors EXTRA CREDIT OPPORTUNITY X WP NWP Assessment Player Ul Ap x ← C education.wiley.com/was/ui/v2/assessment-player/index.html?launchid=f9637d14-156f-4cb7-b76a-c0fea4e5b627#/question/7 b bartleby w wiley ←EXTRA CREDIT OPPORTUNITY Question 8 of 20 Current Attempt in Progress 1. 2. 3. CPO 4. bofa workjam (ulta) workjam (ulta) 5. 1. No. Account Titles and Explanation 2. A Player school school b bartleby Journalize the following business transactions in general journal form. Identify each transaction by number. You may omit explanations of the transaction. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) connect Owner invested $66,500 in exchange for common stock of the corporation. Hired an employee to be paid $500 per week, starting tomorrow. Paid two years' rent in advance, $7,100. Paid the worker's weekly wage. Recorded service revenue…

Answer question 8, is it a b c or d

nts & Tests - FINA222 E Sign In in Connect M MHE Reader X + https://player-ui.mheducation.com/#/epub/sn_7cac#epubcfi(%2F6%2F422%5Bdata-uuid-49fada7a8= 15. Determining the Cost of Insurance. Suppose you are 45 and have a $50,000 face E LC amount, 15-year, limited-payment, participating policy (dividends will be used to build up the cash value of the policy). Your annual premium is $1,000. The cash value of the policy is expected to be $12.000 in 15 years. Using time value of money and assuming you could invest your money elsewlhere for a 7 percent annual yield, calculate the net cost of insurance. 30 ond hove n $25 000 face

Hcs/380 week 4 terminology matching???

hnolog X O Assignments 21FA ACCT2010-8 X Question 7 - Chapter 3 Part 1 - Conn X C Solved: Eli owns an insurance of X O 8 e https://ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252Flms.mh 3 Part 1 Saved Consider the following situations for Shocker: 1. On November 28, 2021, Shocker receives a $2,400 payment from a customer for services to be rendered evenly over the next three months. Deferred Revenue is credited. 2. On December 1, 2021, the company pays a local radio station $2,280 for 30 radio ads that were to be aired, 10 per month, throughout December, January, and February. Prepaid Advertising is debited. 3. Employee salaries for the month of Decembér totaling $6,600 will be påid on January 7, 2022. 4. On August 31, 2021, Shocker borrows $56,000 from a local bank. A note is signed with principal and 6% interest to be paid on August 31, 2022. aces Required: Indicate by how much the assets, liabilities, and stockholders' equity in the…

Sheffield Corp. uses the percentage-of-receivables basis to record bad debt expense and concludes that 3% of accounts receivable will become uncollectible. Accounts receivable are $430,800 at the end of the year, and the allowance for doubtful accounts has a credit balance of $2,864. (a) Prepare the adjusting journal entry to record bad debt expense for the year. (b) If the allowance for doubtful accounts had a debit balance of $887 instead of a credit balance of $2,864, prepare the adjusting journal entry for bad debt expense.

E Chapter 5 Homework - FINANCIA X O NWP Assessment Player UI Appli X b Answered: The accountant of Lati x M Inbox - dhyani11141999@gmail. X b My Questions | bartleby + i assessment.education.wiley.com/was/ui/v2/assessment-player/index.html?launchld=1d52287e-dfd8-4d2a-80c9-4cbf51a01297#/question/5 E Chapter 5 Homework Question 6 of 6 > -/ 1 View Policies Current Attempt in Progress The comparative balance sheets of Constantine Cavamanlis Inc. at the beginning and the end of the year 2020 are as follows. CONSTANTINE CAVAMANLIS INC. BALANCE SHEETS Dec. 31, 2020 Jan. 1, 2020 Inc./Dec. Assets Cash $ 45,000 $ 13,000 $32,000 Inc. Accounts receivable 91,000 88,000 3,000 Inc. Equipment 39,000 22,000 17,000 Inc. Less: Accumulated Depreciation-Equipment 17,000 11,000 6,000 Inc. Total $158,000 $112,000 Liabilities and Stockholders' Equity, Accounts payable $ 20,000 $ 15,000 5,000 Inc. Common stock 100,000 80,000 20,000 Inc. Retained earnings 38,000 17,000 21,000 Inc. Total $158,000 $112,000 Net…

ent II - Chapter 5 Saved Help Save & E 13 1.46853 0.68095 14 1.51259 0.66112 15 1.55797 0.64186 16 1.60471 0.62317 15.6178 10.63496 16.0863 10.95400 17.0863 11.29607 18.5989 11.93794 17.5989 11.63496 19.1569 12.29607 20.1569 12.56110 20.7616 12.93794 Monica wants to sell her share of an investment to Barney for $140,000 in 4 years. If money is wOrth 6% compounded semiannually, what would Monica accept today? Multiple Choice 110,517 $ 109.263 ( Prev 7 of 15 Next>

E Chapter 5 Homework - FINANCIA X O NWP Assessment Player UI Appli X b Answered: The accountant of Lati x M Inbox - dhyani11141999@gmail. X b My Questions | bartleby + i assessment.education.wiley.com/was/ui/v2/assessment-player/index.html?launchld3D1d52287e-dfd8-4d2a-80c9-4cbf51a01297#/question/0 E Chapter 5 Homework Question 1 of 6 > -/ 1 View Policies Current Attempt in Progress Koch Corporation's adjusted trial balance contained the following asset accounts at December 31, 2020: Cash $7,000, Land $40,000, Patents $12,500, Accounts Receivable $90,000, Prepaid Insurance $5,200, Inventory $30,000, Allowance for Doubtful Accounts $4,000, and Equity Investments (to be sold in the next quarter) $11,000. Prepare the current assets section of the balance sheet. (List Current Assets in order of liquidity.) КОСН СORPORATION Balance Sheet (Partial) 2$ 2$ 1:37 PM O Type here to search 9/24/2020 2 ..

Match the words with the term. Question 13 options: 12345 mortgage 12345 trade receivables 12345 equipment 12345 working capital 12345 inventory 1. factoring 2. warehouse financing 3. line of credit 4. term loan 5. building

S. Area Rating 4 use Table 19-4 and total (in $) ? to Calculate the building, Contents, property insurance premiums for the policy Structual Class Buiding Value Building Premium Contents Value Contents Total $86,000 127,000 Premium Premium

← → C doctors Chapter 2 Homework: Riley Slo x WP NWP Assessment Player Ul Ap x A Player education.wiley.com/was/ui/v2/assessment-player/index.html?launchid=4131ffcd-b4b1-4c03-9899-2873266f84cf#/question/9 BAR b bartleby w wiley connect MYOCC I CPO →bofa workjam (ulta) workjam ← Chapter 2 Homework Question 10 of 10 Current assets Total assets Current liabilities Long-term liabilities Selected information from the financial statements of Sheridan's Coffee Brewers for the year ended December 31, 2014, appears below: Sales revenue (ulta) school school b bartleby Dividends Net income $165,600 506,000 69,000 82,800 800,400 55,200 123,280 1. The current ratio for 2014 is 2. The debt to assets ratio for 2014 is 3. The working capital for 2014 is Calculate the amounts indicated below relating to the year ended December 31, 2014. The number of shares outstanding at the end of the year was 36,800. Show computations. (Round "Current ratio" and "Earnings per share" to 2 decimal places, e.g.…

Make a Crossword 8 Chapters 1, 2, 14 Terminology Review Print Share Edit Answers E 21e³d ger 4g a Fa p S S e b i ¹t account S Across afd em ✓4. Set of accounting standards that have authoritative support 8. Land lease, building mortgage ✓9. Examples: Salaries, cost of goods, shipping costs, utilities .. ✔10. The basic form of an account ✓11. Ability to pay obligations expected to become due 1 .. 7 S r ⁹expenses d ¹ividends 1 t ¹iquidity 61 n V e n 0 r y B Down 1. Increase in assets or decrease in liabilities 3. The left side of an account ✓5. Examples: Cash, property, plant, and equipment ✔6. Goods available for future sales or use in service for customers ✓7. The right side of an account

M Federal Financial Aid P x Students Home Ch. 7 Quiz: Invoices, Tr X A Ch. 7 Quiz: Invoices, Tr X W Ch. 7 Hmwk Invoices, X Students Home i webassign.net/web/Student/Assignment-Responses/last?dep=27277752 Apps M Gmail YouTube A Maps No. R-7539 Panorama Products INVOICE DATE June 16, 20XX 486 5th Avenue CUSTOMER'S ORDER NO. 14155 Eureka, CA 95501 FOl dIHS SAME J.M. Hardware Supply 2051 West Adams Blvd. Lansing, MI 48901 SALESMAN SHIPPED VIA Marshall Trucking TERMS Net 30 Days Effingham, IL H. Gilbert QTY. ORDERED QTY. SHIPPED DESCRIPTION LINO 17 cases Masking Tape 1/2" Standard $21.70 11cases Masking Tape 1 1/2" Standard 2" Reflective Tape saxoq 97 37case 37case Sandpaper Assorted INVOICE SUBTOTAL SHIPPING CHARGES Insurance 66 INVOICE TOTAL Type here to search M ins prt sc 144 9.

Prepare jour

5 X100 ry https://ng.cengage.com/static/nb/ui/evo/index.html?deploymentld-5829202317504197666520360810&eISBN=97... A S CENGAGE | MINDTAP I Chapter 4 Assignment Maria is a divorce attorney who practices law in San Francisco. She wants to join the American Divorce Lawyers Association (ADLA), a professional organization for divorce attorneys. The membership dues for the ADLA are $500 per year and must be paid at the beginning of each year. For instance, membership dues for the first year are paid today, and dues for the second year are payable one year from today. However, the ADLA also has an option for members to buy a lifetime membership today for $4,500 and never have to pay annual membership dues. Obviously, the lifetime membership isn't a good deal if you only remain a member for a couple of years, but if you remain a member for 40 years, it it's a great deal. Suppose that the appropriate annual interest rate is 8.5%. O 13 years O 15 years What is the minimum number of years that…

mp?attempt=1764992&cmid%3875183&page=D12 الم صيرة بلحه u io a https://alternativet 4 SQUCOFFEE - Goog. B BCOM2911-Busines.. O Sultan Caboos Univ. O Trading Platfom ACADEMIC) E-LEARNING SERVICES SQU LIBRARIES SQU PORTAL ATTENDANCE lanagerial Accounting - Spring21 e / My courses / ACCT2121 yasserg Spring21/ Midterm Exam One / Midterm Exam One stion The adjustment of overapplied manufacturing overhead cost results in all the following, EXCEPT: O a. decrease in net operating income. ed O b. increase in net operating income. out of Oc. decrease in cost of goods sold O d. none of the given answers stion XYZ Company had the following information for the year: red Direct materials used OMR 110,000 dout of Direct labor incurred (5,000 hours) OMR 150,000 Actual manufacturing overhead incurred OMR 166,000 on The Company used a predetermined overhead rate of OMR 30 per direct labor hour for the year. Assume the only inventc an ending Work in Process Inventory balance of OMR 17,000. What was cost…

SEE MORE QUESTIONS

Recommended textbooks for you

Essentials Of Investments

Finance

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Mcgraw-hill Education,

FUNDAMENTALS OF CORPORATE FINANCE

Finance

ISBN:9781260013962

Author:BREALEY

Publisher:RENT MCG

Financial Management: Theory & Practice

Finance

ISBN:9781337909730

Author:Brigham

Publisher:Cengage

Foundations Of Finance

Finance

ISBN:9780134897264

Author:KEOWN, Arthur J., Martin, John D., PETTY, J. William

Publisher:Pearson,

Fundamentals of Financial Management (MindTap Cou...

Finance

ISBN:9781337395250

Author:Eugene F. Brigham, Joel F. Houston

Publisher:Cengage Learning

Corporate Finance (The Mcgraw-hill/Irwin Series i...

Finance

ISBN:9780077861759

Author:Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor

Publisher:McGraw-Hill Education

SEE MORE TEXTBOOKS