Keeping Up: Has Your Managing General Agent Gone Digital?

Now, more than ever, the digital age dictates the movements of many businesses around the world. Even those businesses that are not directly linked to technology are highly influenced by it. Technology has heavily infiltrated mass media and businesses now need to be very aware of the importance of technology in everyday life. But what if your company is a bit behind the times? Has your managing general agent gone digital?

Knowing the importance of using technology to its highest advantage is all part of staying on top of the competition. So how is this done, and how can you ensure that your managing general agent is embracing those tech changes in order to give you the ability to perform at your peak?

One of the most important aspects of ‘going digital’ means being high tech. If your managing general agent can’t promise you the most advanced technology that gives you speed and quality, they might as well not give you anything. For example, in order to keep pace with change, your managing general agent should have updated systems in-house, should be running updated software, and updating that software on a regular basis.

What about a website? In today’s market, not having a website is like not having your number in the phone book, so your managing general agent should definitely have one, and give you access to it! If your clients are looking for you online but can’t find you, that is not good for your overall rep.

What about social media? Facebook and twitter are not just for high school students and celebrities – any reputable business needs to have a strong presence on social media, and use all social media platforms to their best advantage. If your managing general agent is absent, you are absent. In contrast, if your managing general agent makes a concerted effort to have regular engagement on the company’s social media sites, you will reap the reward because the brand recognition will result in more credibility for you. That’s if you’re a branded advisor – some advisors join an MGA as an independent, use their own brand and in this case these independents typically would handle their own marketing so the MGA’s marketing would have less relevancy.

Technological data protection is yet another crucial aspect of ‘going digital.’ If your managing general agent can offer you solutions like the one we use “No Panic Computing” it will ensure that all network data is protected. MGA’s who work with companies like No Panic Computing take confidentiality and your interests seriously.

Things like online newsletters and videos are just another few key aspects that prove that your managing general agent has embraced technological change. If they can offer these things for you to leverage then you know that they are not only interested in their own success but yours as well.

Don’t get stuck with a managing general agent that has yet to move into the digital age. Make sure that your managing general agent has gone digital and has embraced those changes that will make all the difference to your business and your future.

To learn more about how a managing general agent needs to provide the most up-to-date digital offerings, please contact Gary Mandel at Independent Financial Concepts Group at 416-849-1653 or visit www.joinifcg.com.

Planning Ahead: Invest in Your Future with Segregated Funds

With so many different investment options out there, sometimes it can be difficult to wrap your head around the ones that are best to address your future financial goals. Sometimes investing itself can just feel like too much work, or involve too much risk, and so you avoid it altogether. If you want to invest in the future, an excellent solution is: segregated funds.

What are segregated funds? A segregated fund is an investment sold only by insurance companies that combines the growth potential of a mutual fund with the security of a life insurance policy. The life insurance company owns the segregated fund, but is required to keep it completely separate from all other assets - therefore protecting you. The value of segregated funds can fluctuate depending on changing market values, but, unlike other types of investments, segregated funds offer you guaranteed return on principal.

There are several benefits to investing in segregated funds. These include:

-       Segregated funds have maturity dates – This means that if you invest in a segregated fund and hold it until maturity (15 years for example), you are guaranteed to get money back – either the greater of the net investment or the current value (whichever is greater). Takes away the worry over risks, doesn’t it?
-       Segregated funds are guaranteed at death, the guarantee being either 75% or 100% of deposits or fair market value, whichever is higher, which means that even if you pass away, your beneficiary can benefit from your investments.
-       Segregated funds offer the ability to bypass probate and keep all of your financial affairs private. This saves your loved ones the added stress of having to deal with these issues upon your death that can often arise with other types of investments, as well as the added cost.
-       Segregated funds lower risk because you have the option of locking in market gains – and not just at the beginning of the fund. This can significantly increase the value of your segregated funds.
-       Segregated funds can be protected against creditors in the event that you suffer severe financial troubles in the future (however unlikely that may seem) because they are held as a contract with your insurance company.
-       Segregated funds are considered trusts in the eyes of the tax man, so a fund will allocate all taxable income and capital gains to investors. This means that you avoid having income taxed inside the fund at the highest marginal rate.

No matter your investment plans – whether you are planning for retirement or just want to try and make some financial gains for the future – it is important to understand the benefits of any type of investment. Segregated funds represent an important option for all types of individuals looking to invest, especially those hesitant about taking the risk.

For more information about the many benefits of segregated funds, please contact Gary Mandel at Independent Financial Concepts Group at 416-849-1653 or visit www.wecoveryou.ca

Distribute Assets Fairly with a Toronto Life Insurance Policy

It is comforting to know that if your family lost you that your loved ones would be protected. A Toronto life insurance policy can offer that comfort and also ensure that your family will not be fighting over the division of your assets, because you will have pre-designated your beneficiaries deciding “who gets what”.

As terrible as it is, distribution of assets after death is a problem that many people face, and often results in legal battles and years of resentment. A Toronto life insurance policy represents an important opportunity to fairly distribute your assets – thereby limiting the potential of family disputes arising once they have lost you.

Think about it this way. If you own your home, it often does not make much sense to leave it to several beneficiaries. If this happens, conflicts over keeping or selling the home, and any issues that surround these decisions can quickly ensue. Instead, leaving it to a single beneficiary often is a better choice. Doing this though can also lead to disputes since other family members may see it as an unfair distribution of your assets.

A good way to solve this problem is by purchasing a Toronto life insurance policy to be used as another asset to be distributed. By purchasing a Toronto life insurance policy that can be left to a loved one once you pass away, you can make sure that one family member does not receive a far greater dividend than any other. Leaving life insurance to one member and the large asset to another ensures that all members feel that you have divided your possessions equally – getting rid of the chance for resentment and bitter feelings.

If you have children or grandchildren that you know you would like to leave something to upon the event of your death, a Toronto life insurance policy is a great way to do this. By listing more than one beneficiary, or by dividing up the life insurance policy in your will, you can make sure that those family members you want to leave something to will get it.

Living with the secure knowledge that your assets will be divided fairly in the event of your death is important. Purchasing a Toronto life insurance policy now that will achieve this is a smart way to distribute those assets and save the added heartache once you are gone.

Here are some things to remember when you purchase your Toronto life insurance policy. If you are leaving an asset (house, business, etc.) to one family member, try to make sure that the value of the policy is relatively equal to that of the asset. Also, check it regularly, and if market values change, you might want to adjust the policy to reflect those market changes – that way both assets remain of equal value.

Don’t let an unequal distribution of your assets leave your family dealing with even more loss once you are gone. Take advantage of a Toronto life insurance policy and see your assets divided fairly.

For more information about a Toronto life insurance policy, please contact Gary Mandel at Independent Financial Concepts Group at 416-849-1653 or visit www.wecoveryou.ca

The Top 5 Pain Points That Insurance Advisors Face with Their Managing General Agents

It is no secret that getting up every day and going to work, for some people, can feel like a chore, no matter what your job is. This is especially common if you find yourself dealing with a company that often does not take your best interests into consideration or makes it difficult to do your job to the best of your ability.  

If you are an insurance advisor working with a managing general agency, you need to be able to count on the support of your managing general agent. But what if their support is lacking? In the incredibly fierce insurance industry, if you are not receiving the encouragement and assistance that you need, you can quickly fall behind.

Here are the top 5 pain points that insurance advisors face with their managing general agents.   

1.       It takes a long time for applications to get processed: If your managing general agency does not have a policy in place to ensure that everything is done to get applications processed in a reasonable amount of time, this can cause major problems as far as finalizing deals and keeping your clients happy. 

2.       Calls get returned far slower than you’d like – and need: If it takes your managing general agent a long time to get back to you when you have questions, or if they cannot provide you with the answers that you need, this can equal huge frustrations for you, or even worse, the loss of a client’s business. 

3.       Equal (or more) work doesn’t mean equal pay: If you find yourself being paid less than others who are not performing at the same level as you, this can be a huge source of demotivation.  You work hard to garner those clients, and you should be paid appropriately. Bonuses should reflect the level of work you put in, and should be transferrable for things like the use of various office spaces. Also, a good managing general agency should pay for production. If you produce more, you should get paid more – that is just common sense.

4.       Switching MGAs seems more hassle than it is worth: If you have tried to switch MGAs but find your managing general agent gets their back up right away, chances are you think of switching as a nightmare too. It shouldn’t be that way. Since your career is what is ultimately the most important, you should be working with a managing general agency that respects that independence. Instead of entering into a relationship with a managing general agent fearing what may come if you decide to switch, go with one that offers you a release letter at the very beginning so that you know that they can appreciate your decisions right from the start.

5.       Getting in touch with underwriters is next to impossible: When you want to close a case but your managing general agent refuses to let you speak to the underwriters or even contact them on your behalf, you are often left with no choice but to wait. Some managing general agents worry about damaging a relationship with underwriters by ‘bothering’ them, but in the end this is not the most important relationship – your relationship with the client is. So make sure that your MGA assures quick and easy access to underwriters.

If you find yourself dealing with one or more of these issues, and know that it is time for a change, please contact Gary Mandel at Independent Financial Concepts Group today by calling 416-849-1653 or visit www.joinifcg.com.

Canadian Retirement Planning - Tips to Improve the Way You Invest Money

Are you thinking about investing as part of your Canadian retirement planning strategy, but not really sure where to start? Even though the economy is turning around again after the collapse in 2008, and economists are predicting stabilization within the very near future, investing may still seem a bit scary. But if you are getting your Canadian retirement planning set, investing is definitely something that you need to consider.

What if you have never invested before or if your investing experience is very limited? Don’t worry: we’ve compiled some tips to improve the way that you invest money to help you along the road to effective Canadian retirement planning and smart investing.            

1.       Invest in segregated funds. If you are a little bit nervous about investing and feel as though you don’t want to risk money with no guarantee, segregated funds are usually safe bets. With segregated funds, no matter how much you invest, be it $1000 or $10000, a minimum of 75% of your initial investment is always guaranteed to be protected – no matter what happens in the market.  Takes away some of the worry, doesn’t it? 

2.       Life insurance as an investment. Most people don’t think about insurance as an investment tool – but they should. There are several benefits to using your insurance policy as an investment. For example, whole life insurance as an investment means investing without having to have that investment knowledge – since the funds are managed for you. Life insurance as an investment is often less risky than other forms of investing as there are guaranteed annual returns which increase over time. 

3.       Pay attention. Ok, so you invest a small amount each month, perhaps through insurance or another managed type of investment. You receive a monthly statement, which usually gets opened, the balances checked, and then gets tucked away with all of your other paperwork… Wait a second; this is your money, so why aren’t you paying more attention to it? Instead, this month, check out those changes. Take some interest in how your investments are performing. Being engaged will only make you a smarter investor, and give you a chance to better understand not only the market and improve your investments overall performance. 

4.       Diversify. There is much to be said for the old adage “don’t put all of your eggs in one basket”, so diversifying your investment portfolio is a smart choice. Even if each investment is a small one, you are far more securely protected when you spend widely. For example, consider investing in a tax free savings account, RRSP and life insurance. 

There are several different things that you should think about when investing. Remembering to consider all of your options is a smart way to approach your investments when preparing for the future. 

For more tips about investing or to find out more about how to use life insurance as an investment, please contact Independent Financial Concepts Group by calling 416-849-1653 or visit www.wecoveryou.ca.

Ernst and Young: Internet Transformative Influence on Insurance Industry. How Your Managing General Agent Can Combat This

The “2012 Global Insurance Outlook” report released recently from Ernst and Young revealed that the Canadian insurance industry is getting increasingly competitive. If you are an insurance advisor this probably does not come as a surprise. This competition stems from various different factors, one of the most important being the internet. With the growth of the web over the last decade, many different insurance companies have taken advantage of the opportunities that exist as far as selling insurance online. Ernst and Young predict that this will become even more common place as those companies still holding on to traditional means of selling adopt the strategies that allow them to sell online.  

But what does this mean for you? If you are an insurance agent that works with a managing general agent, you know that time is money, and so any time lost because of slow turnaround times can be a big deal, especially in the face of this competition coupled with the growing strength of e-commerce insurance.

You work with a managing general agent for a reason – for independence and to have the ability to offer a wide range of products. It can be extremely frustrating when your managing general agent is slow getting back to you or don’t seem to have the answers you need at all. You should expect your managing general agent to be able to provide you with the information that you need to respond to your clients quickly to provide the fastest most efficient service possible.

Rather than dealing with the hassle that can be a consequence of clients having to wait too long for the information that want or need, your managing general agency should be able to guarantee that they will help you find out exactly what you need to know, and within a reasonable amount of time. Instead of expecting a client to have to wait days for an answer, you should be able to rely on your managing general agent to get back to you within a few hours.

What if your managing general agent takes their time getting your applications processed? The longer those applications sit on your desk, the likelier clients are to search for insurance elsewhere.  Your managing general agency should also have a policy in place that makes it easy for you to provide a response to your clients within a reasonable amount of time.

As Ernst and Young points out, individuals’ preferences for buying insurance are changing, which, the report states, is “a profound transformation driven in large part by the internet.”  If you work with a managing general agent who takes too long to respond to your inquiries or process your applications, your customers are likely not going to wait. It only takes a few minutes to go online and get a quote for insurance. Your edge is knowledge and service so it is important to work with a managing general agent who appreciates the importance of time.

For more information about joining a managing general agency that recognizes that time is money, please contact Gary Mandel at Independent Financial Concepts Group today by calling 416-849-1653 or visit www.joinifcg.com.

The Importance of Critical Illness Insurance Increases as Survival Rates Continue to Go Up – Are You Protected?

In the past few decades the survival rates of critical illnesses have substantially increased, meaning that more and more people who suffer from a critical illness will eventually recover. However, this also means that a substantial portion of those survivors are left dealing with recovery. Because of this recovery, many survivors feel a significant amount of financial strain, often as a result of extended periods off work or even the inability to earn an income. 

Let’s take heart attack as an example. There are over 16,000 deaths each year in Canada from heart attacks. However, there are an estimated 70,000 heart attacks in the same time period. That means that a major number of those heart attack victims survive and recover. But how does that heart attack impact the victim?  Most require a hospital stay, often a substantial period, and more require a lengthy period of time off work. Many need weekly medical assistance in home. These costs all add up even in Canada when you would think that all health care expenses would be covered by the government.

This is where critical illness insurance comes into play. If you have critical illness insurance, you are financially covered. If you suffer a critical illness and you have critical illness insurance (and upon satisfying the terms of your policy) you will be entitled to receive a lump-sum payment. The lump-sum payment is yours to spend however you need it, without having to submit receipts or seek approval. This financial coverage can be used for any number of things, including mortgage payments or medical treatment not covered by governmental health care.

What if your illness or injury leaves you physically disabled? Since the loss of a limb is covered by critical illness insurance, some of the anxiety that accompanies such an injury is lifted. This coverage can be used to cover the costs of having someone in on a regular basis to manage household tasks such as cooking or cleaning. It can also be used to make adjustments to your home or personal vehicle to make them wheelchair accessible.

What kinds of illnesses does critical illness insurance cover? Things like heart attack, stroke or cancer are the leading illnesses covered by critical illness insurance each year, but there are several others that this protection encompasses as well. Things like cancer, multiple sclerosis, Parkinson's disease, and Alzheimer's disease are all covered. Kidney failure, heart bypass surgery, blindness, deafness, severe burns or stoke are also covered. Many of these illnesses can have long-term impacts that affect your financial future, so protecting yourself in case they occur is essential.

Just because you have life insurance, doesn’t mean that you are fully covered. If you suffer from a critical illness such as those listed above, your chances of survival are high but your life insurance is not going to cover those expenses that come with it. Critical illness insurance ensures that you are protected when you are still living.

For more information about critical illness insurance and how it can protect you and your loved ones, please contact Independent Financial Concepts Group by calling 416-849-1653 or visit www.wecoveryou.ca.