All About Estates

Tag: Life insurance

Total 9 Posts

Better Life Insurance Donations

Recently I received an inquiry from a life insurance advisor about a client who wished to establish a policy and donate it to two charities.  My colleague wanted to know if this was possible.  In my experience it is possible, but not the best way to do it. Donation Structures…

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INSURANCE TRACKING SHARES

If a taxpayer owns shares of a corporation and passes away, he or she is deemed to have disposed of their shareholding at fair market value (“FMV”) unless a tax-free rollover is applied (e.g., rollover to a surviving spouse). The disposition of shares may cause a tax liability. In the…

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A Presumptive Peril: The Law of Beneficiary Designations is Now in Flux

Calmusky v. Calmusky, 2020 ONSC 1506, is a 2020 decision of the Ontario Superior Court of Justice that is ruffling some feathers among banks, financial advisors and estate planning lawyers in Ontario. In this case, the court applied the principles surrounding the presumption of resulting trust, established by the Supreme Court…

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LIFE INSURANCE IN THE COVID-19 ERA

As someone who has been around the life insurance industry in a professional and personal capacity for several decades, I am always curious about what motivates people to buy or not buy life insurance. I understand that few people spend time thinking about the consequences of low-probability events and are…

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Life Insurance Joint Tenants[1]

I think it is fair to say that joint ownership of property[2] is one of the most commonly used strategies for property ownership in the context of developing an estate plan.  Like any form of partnership, there are many issues to consider in jointly owning property.  In the context of…

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Appeal Court: Fraudulent Concealment Stopped the Clock

I previously blogged about Roulston v McKenny et al, 2016 ONSC 2377, as a classic example of chutzpah. The deceased’s ex-wife had a claim against his estate if a life insurance policy lapsed. Even though the estate trustee knew that the policy had lapsed, she withheld this information from the…

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Life Insurance Gifts Restructured

Life insurance is an effective way to make a significant future donation, but the unfortunate reality is that charitable policies have a high lapse rate.  Thousands of policies have been donated since 1979 when the Canada Revenue Agency allowed premiums to be receipted.  Sadly too few pay out to fund…

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Did fraudulent concealment stop the clock?

In Roulston v McKenny et al, 2016 ONSC 2377, the deceased’s ex-wife had a claim against his estate if a life insurance policy lapsed. Even though the estate trustee knew that the policy had lapsed, she withheld this information from the ex-wife – and then argued the ex-wife’s claim was…

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Divisional Court agrees life insurance policy part of estate

The Divisional Court recently released its decision in Dagg v. Cameron Estate (the trial decision was previously discussed on this blog here). In brief, the appellant Anastasia Cameron married the deceased, Stephen Cameron, in 2003. They had two children. Stephen took out a life insurance policy in 2010 and named…

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