Emily Allan

You may have heard about the new capital gains tax rules that came into effect this month in Canada. If you’re unclear on what they mean for you or your family, you’re not alone! A recent survey conducted by the smart folks at Willful found most Canadians don’t know how or when capital gains tax is paid when someone passes away.

This is a good time to get clear on what capital gains tax is, what the new rules mean, and what you can do to plan for a solution (spoiler alert: ours involves life insurance!)

Capital gains tax is imposed on the sale or inheritance of a “capital asset” (something you own as an investment, like real estate, stocks, or high-value collectibles), applying to the difference between its current value and its original purchase value. This tax is nothing new – it’s been around in Canada for over 40 years. But the new rules mean you may have an increase in the tax owed when you sell a capital asset, or in the tax owed by your estate when you pass away.

While you may not have big capital assets to worry about while you’re alive, have you thought about this second piece for what you leave behind?

We’re here to help! Life insurance offers a proactive piece of your holistic financial picture and can help mitigate the cost of the new capital gains tax rules on you, your family, or your business. Talk to us about how we can plan together to ensure you’re as prepared and protected as possible.

Once you have an offer we’re all happy with, you can accept by signing on the dotted line. Congratulations! You now have life insurance. The insurance company will send you your policy and you’ve officially got yourself a contract.

We don’t just leave you here. We’ll stay in touch, checking in with you at least once a year to review your policy and send you an annual statement. We also want to make sure your life insurance continues to meet your needs over time; so please let us know of any big changes in your life – health, wealth, or otherwise (like if you move, have a kid, get married or divorced). We also always monitor what products are available on the market, so we may reach out if we find something that could better suit your needs.

Learn more about each step of the process by watching the full series here:

Once the insurance company has reviewed everything, they’ll make you an offer of insurance.

They could say you’re a “standard risk” (which means average in their eyes) or they might give you a “risk rating.” That means there’s something about your health or lifestyle they’re concerned about (might be the pickleball), and they want you to pay them more to insure that additional risk.

If their offer lines up with what we estimated, our original recommendation should be accurate. If not, we’ll re-work the numbers, or explore offers with a different insurance company. They don’t all assess things the same way.

Learn more about each step of the process by watching the full series here:

Once we’ve submitted your application, the insurance company we’re applying with might ask for further info or verification. They might call you to ask you some more questions (usually about your health and lifestyle) or to verify your details.

If you do any “high risk” activities (like skydiving or backcountry skiing), there could be additional forms for you to fill out and sign. They could also ask for your driving record, a report from your doctor, or a blood and urine sample.

They’ll gather all the information they need from a number of sources to make you an offer.

Learn more about each step of the process by watching the full series here:

The first step in getting you insured is to get to know you – what your specific life circumstances and goals are, and how life insurance can help. Then we’ll do an application, which is totally cost and commitment-free.

We’ll recommend the life insurance company that has the best option for you. We use industry rules of thumb to figure out how much you need, and how much it’ll cost. Our team will take your details for your application.

The insurance company needs to know all about you – where you work, how much you make, your family medical history, if you smoke…what you smoke. They’ve got a lot of questions, so prepare to share! It’s important to be totally transparent at this stage, otherwise you risk jeopardizing a potential claim.

You’ll answer these questions with one of us, either over the phone or in person, which takes about 20-30 minutes. To complete your application, you’ll sign off on a bunch of documents – at this stage, your signature only means you’re asking them to consider you.

Learn more about each step of the process by watching the full series here:

Introducing our new What to Expect series!

The process of applying for life insurance can feel complicated, but it doesn’t have to be. Our five-part series of short videos walks you through the process step by step, from application to approval, so you’ll always know what’s coming next.

Here’s a quick overview of what you can expect. And remember: we’re with you every step!

Learn more about each step of the process by watching the full series here:

Wishing you and yours a warm & happy holidays! We’re feeling very grateful for our Allan Financial community as we end out this year – thank you all for being a part of it!

Our team will be taking a well-deserved break from Dec. 23rd-Jan 1st. See you in the new year!

Thanks to our community, more than 3,000 women in over 35 countries have been empowered to grow their businesses, care for their families and invest in their communities.

In 2014, we partnered with Kiva with the goal of lending $250,000. Over the last 7 years and with the help of our community, together we’ve lent over $1 Million to women around the world. 

Microfinance loans not only have the power to transform the lives of the women that receive them, but they also have ripple effects into their communities and beyond.  Studies show that when you lend money to women, those dollars are reinvested into their communities at much higher rates.

That money is having a direct impact on the lives of women like Lindiwe, a 22-year-old business owner in Zimbabwe. 

photo courtesy of KIVA 

She operates 3 businesses in her village — a poultry business, a small shop and Lee Juice — all under an umbrella company she named Lee Investments. Her business savvy and work ethic is clear in everything from her creativity to her bookkeeping to her pricing.

For Lee Juice, she thought about the thirsty workers at the mine near her village and asked herself how she could have a competitive advantage for something they needed. So she started making her own juice and soda from scratch, and priced it at half the price they would pay for a national or international brand.

Her plan worked. With the business training and guidance provided by Kiva’s Field Partner Camfed, and a $500 loan from Kiva, her business grew quickly.

“The loan boosted this business up. I used to make only 20 liters a week, now I’ve expanded to 200 liters a week.”

With her business success, Lindiwe has seen a change in how she feels about herself, and her standing in her community.

“I am independent…and if I am independent I can do anything that I want at any time,” she says. “If I want to help someone who is in need I can just take my money and help.”

Lindiwe is currently training one woman from her community to work with her, and has started saving $10 each month from her profits for her future. With the rest of her profits, she wants to expand her production and also add a large run to her poultry house.

Lindiwe is just one of thousands of women that you’ve helped empower with a microfinance loan. Thank you to everyone who lent and joined together to have this collective impact. 

It’s bigger than we could have ever imagined!

To learn more about Lindiwe’s story as originally told by Kiva, click here.