How to know if custom insurance is right for you

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Four reasons why you may want to take a more tailored approach to insurance

How to know if custom insurance is right for you

There’s a shift underway in the financial market. In recent years, high net-worth individuals have been increasingly focused on wealth preservation. “They work so hard to acquire the wealth that they have; they also want to leave a strong legacy,” says Davina Boulineau, Associate Vice President of TD Insurance Private Client Advice. “More than ever before, protecting their hard-earned assets has become really important and top of mind for them.”

It’s also one of the inspirations for TD Insurance Private Client Advice, a new custom insurance service that Boulineau spearheaded, and TD Insurance (TDI) launched in July. The service—the first direct-to-consumer offering of its kind in Canada—allows affluent consumers to turn to TDI as a single-stop solution to protect what’s valuable to them, with personalized policies. TD Insurance Private Client Advice includes everything from homeowner and auto insurance to coverage for valuable articles, as well as risk-assessment services and more.

But is a customized insurance solution right for you? Here are four reasons to consider one.

Insurance “blind spots” are common

Two-thirds of high-net-worth Canadians remain underserved, according to TDI research. Purchasing insurance products from multiple mass market providers could mean gaps in coverage, leaving clients at risk. But experienced advisors can identify and find solutions for existing coverage gaps—ones that clients maynot even be aware of. “This is really important, because we really want to preserve their assets,” explains Boulineau. Whether it’s an uninsured vintage-wine collection or insufficient existing home-insurance coverage, insurance blind spots are common, yet avoidable with bespoke insurance.

More assets mean more risks

High-net-worth households face increased risks every day, especially when it comes to liability. “When you think about the lifestyle that this clientele has—owning multiple homes, multiple cars, employing domestic staff and more—it really exposes our clients to an above-average number of liability risks,” Boulineau says. By providing the possibility for comprehensive coverage, custom insurance can address these risks. And, boasting an in-house team of highly specialized appraisers, TDI can accurately assess the value of rare and expensive assets, which is another challenge facing wealthier demographics: “They know how to determine the value of your artwork,” adds Boulineau, noting that, in the event of a claim, TDI provides a dedicated claims specialist as well.

Custom insurance can save you money

Switching to custom insurance means you can take advantage of the savings that come from bundling multiple policies under one provider. “When you look at your portfolio, it’s best to have everything under the same roof because you want to benefit from the multi-policy discount, for example,” says Boulineau. She notes that with TD Insurance Private Client Advice, which does not follow the usual commission-based model, there is potential for additional savings. “We do not charge extra premiums to cover an insurance broker’s commission.”

It can also save you time

When it comes to protecting assets and addressing risks, there isn’t time to spare. With custom insurance, you can save time by dealing with one contact rather than several providers. “You want to speak to the same person for all of your insurance needs, and that’s something we’re noticing from our clients,” Boulineau explains. She points out that at TDI, advisors have underwriting authority, meaning a client’s files don’t need to be sent to multiple departments for new approvals, which can cause delays and stress. “We are able to make a decision right then and there, and that was a serious gap in the market, which we are solving at TD Insurance.”


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