the partial mandate - iqpf · • professional services contract (pp.1- 3) • data collection...

THE PARTIAL MANDATE

What is a partial mandate?

As the name suggests, a partial mandate is a mandate for clients who do not need complete integrated financial planning. How to proceed with a partial mandate For all your files you must complete the following sections:

• Professional services contract (pp.1- 3) • Data collection questionnaire (client profile) (pp.4-10) • Sections concerning the situations related to the mandate entrusted to you by your

clients (pp.11-35) For each of these situations, we have provided:

• A list of the main objectives related to the situation • A list of the main documents that may be useful • References to La Collection de l’IQPF, related to every objective, to help you

formulate your analyses and recommendations A partial mandate is a flexible tool that you can use in part or in whole, based on the needs and objectives of your client, and still provide integrated financial planning. Adapt it and customize it – it’s your personal work tool! We hope you will find it useful and that it will help you in the practice of integrated personal financial planning.

1

PROFESSIONAL SERVICES CONTRACT

City, date

Addressee

Address

Subject: Financial planning

Ref. no.: File no. ____________

Dear (Addressee),

Further to our recent meeting, we wish to offer you our services to complete an integrated personal

financial plan, establish an action plan and, if necessary, make recommendations concerning the

objectives we discussed.

We are authorized to act in the following areas: financial planning, individual insurance, group savings,

(specify disciplines). We also offer the following financial products and services: financial planning, life

and disability insurance contracts, mutual funds (specify).

For greater certainty, our services will consist of examining the following areas:

Personal and family situation

Financial situation

Tax situation

Children’s education funding situation

Retirement planning situation

Estate planning situation

Protection situation

For each of these situations, we will take the accounting and tax consequences into consideration when

formulating recommendations and analysing your current situation.

2

Consideration

For the services rendered, you agree to pay us the sum of $______________ for every hour worked in

relation to this contract, which we estimate at a total of approximately __________ hours.

The appropriate taxes (GST, QST), along with any fees and expenses incurred, will be added to this price.

You agree to make an immediate down‐payment of $__________, deductible from the total sum

invoiced, the balance of which will be due 30 days after invoicing. Interest in the amount of _____% per

annum will be charged on any balance unpaid after 30 days.

This contract may be rescinded at any time. In the event the contract is rescinded, you agree to pay for

any hours worked or expenses incurred up to the date of revocation.

Charges and conditions

As your financial planners, we agree to provide you with a written report that covers all of the items

listed above, accompanied if appropriate by charts outlining our analysis and recommendations.

In particular, we will keep you informed of our progress on your file, and the final report will be

submitted to you in approximately _________________________. We will then set up a meeting to

explain the contents and recommendations. If additional work is required, you will be informed and

additional fees may be charged.

You should understand that the report may need to be updated regularly. The fees for periodically

updating the report can be the subject of a later agreement.

You agree to answer all questions asked and to provide us with all documents necessary to carry out this

contract, whether they are in your possession or in the possession of third parties. To this end, you will

immediately sign letters authorizing us to obtain information directly from third parties. The information

obtained will remain confidential at all times and will not be used for any other purposes.

You understand that our responsibility is limited by our access to the documents provided and to their

content, and that the recommendations we offer are only valid insofar as the prevailing social, family,

economic and market conditions and laws remain unchanged.

Should the implementation of any of the recommendations made in the report require the services of

specialists, our coordination and integration fees will be charged over and above their fees.

3

Sincerely,

(Signature)

Name of financial planner (BLOCK LETTERS)

Name of financial institution or firm

I, (enter the first and last name of the client), the undersigned, accept the terms of this service contract

and agree to uphold all of the conditions.

Signed in , this day of (month, year)

(Signature)

Name of client (BLOCK LETTERS)

Note: If remuneration is to be based on commissions on financial products sold, this must be clearly

indicated. In such a case, it is recommended that an alternate type of remuneration, such as an

hourly rate, be provided, in case the contract is rescinded.

4

DATA COLLECTION QUESTIONNAIRE CLIENT PROFILE

FOR YOUR PERSONAL FINANCIAL PLAN

CONFIDENTIAL

File no.:

Name of client:

Type of client:

Name of spouse:

Questionnaire completed on:

Updated on:

Planner:

5

PERSONAL INFORMATION

Residence and employment

Client Spouse

Mr. Ms. Mr. Ms.

Name: Name:

Address:

Since (date):

Date of birth: Date of birth:

SIN: SIN:

Home phone: Home phone:

Work phone: Work phone:

Cell phone: Cell phone:

Fax: Fax:

Email: Email:

employee self‐employed retired employee self‐employed retired

Name: Name:

Address: Address:

Since (date): Since (date):

Position: Position:

Job type: 1 2 3 4 Job type: 1 2 3 4

1. Permanent 2. Temporary 3. Independent 4. Not employed

6

Other information

Client Spouse

smoker non‐smoker never smoked smoker non‐smoker never smoked

State of health: 1 2 3 4 State of health: 1 2 3 4

1. Excellent 2. Good 3. Acceptable 4. Poor

Details:

7

PERSONAL INFORMATION (cont’d)

Civil status

Since

(yy) (mm) (dd)

single

married place of marriage:

civil union place of union:

de facto union

widow(er)

separated

divorced

Marriage contract

partnership of acquests separation of property community of property

other specify:

Cohabitation agreement

yes no n/a

Waiver of family patrimony

yes no n/a

Will yes no

notarial holograph witnessed date: _______________

Mandate in case of incapacity yes no

notarial holograph witnessed date: _______________

8

Children

Grandchildren

Name DOB Job Annual income

Civil

status

Last

name First name DOB

1‐

2‐

3‐

9

PERSONAL BALANCE SHEET AS AT __________________________

Client Spouse Total

$ $ $

ASSETS

Cash and near‐cash assets

Bank accounts

Non‐registered investments

TFSA

Other

Personal assets

Principal residence

Secondary residence

Automobiles

Other

Registered assets

RRSP, RRIF, LIRA

HBP

Registered pension plan (RPP)

RESP

TOTAL ASSETS

LIABILITIES

Personal loans

Credit cards

Line of credit

Car

Furniture

RRSP

Other

10

Mortgage loans

Principal residence

HBP

Secondary residence

Rental property

Other

TOTAL LIABILITIES

NET WORTH

Notes:

11

NAME: _______________________________________

Determination of cost of living

Year: ____________

Client Spouse Total

$ $ $

SOURCES OF INCOME

Employment income

Self‐employment or business income (net)

Rental income

Investment income

Support payments

Annuities and other pensions

Other income

TOTAL GROSS INCOME

TAXES AND CONTRIBUTIONS

QPP and CPP contributions

Employment insurance contributions

Pension plan contributions

RRSP contributions

Provincial income tax

Federal income tax

TOTAL TAXES AND CONTRIBUTIONS

12

AVAILABLE INCOME

LESS:

NON‐REGISTERED SAVINGS

CHANGE IN CASH AND DEBT1

COST OF LIVING

1 The change in debt corresponds to the change in the balance of personal loans.

13

PERSONAL AND FAMILY SITUATION

OBJECTIVES

Yes No Comments

Get married or enter civil union

Get divorced

Enter de facto union relationship

End de facto union relationship

Have children

Other

DOCUMENTS

Original Copy Comments

Marriage contract

Cohabitation agreement

Other

SERVICE CONTRACT

After our meeting, we will analyse the outlined objectives and develop an action plan. If necessary, we

will formulate recommendations related to the selected objectives. Only the objectives identified above

will be analysed.

Our responsibility is limited by the documentation and information provided. Our recommendations will

be based on certain assumptions and will have to be reviewed from time to time to reflect your changing

social and family situation, changes to tax and other laws, and the fluctuations of the economy and the

financial markets over time. The fee for the present contract will be $______.

(Client’s signature) (Financial planner’s signature)

INSTITUT QUÉBÉCOIS DE PLANIFICATION FINANCIÈRE 14

POINTS OF ANALYSIS FOR THE FINANCIAL PLANNER BASED ON THE CLIENT’S OBJECTIVES

For all objectives, it is crucial to complete the Client Profile.

Objective: Get married

Steps Reference

Evaluate the effects of marriage or civil union Module 2, – Chapters 2.2 and 2.3

Analyse the various matrimonial regimes Module 2 – Chapter 2.5

Evaluate the potential effect of the partition of the family

patrimony and the matrimonial regime

Module 2 – Chapter 2.4

Evaluate the other rights arising from marriage or civil union Module 2 – Chapter 2.7

Objective: Get divorced

Steps Reference

Evaluate the effects of a divorce Module 2 – Chapter 2.9

Evaluate the potential effects of the partition of the family

patrimony and the matrimonial regime

Module 2 – Chapters 2.4.4 to 2.4.7

and 2.5

Evaluate the effects of other rights arising from marriage or

civil union


Objective: Enter a de facto union

Steps Reference

Analyse the repercussions of living in a de facto union Module 2 – Chapter 2.10

Analyse the clauses to include in the cohabitation agreement Module 2 – Chapter 2.10.4


Objective: End a de facto union

Steps Reference

Evaluate the effects of terminating the de facto union Module 2 – Chapter 2.10.2

Evaluate the effects of the provisions of the cohabitation

agreement

Module 2 – Chapter 2.10.4

Objective: Have children

Steps Reference

Evaluate the legal effects of becoming a parent Module 2 – Chapters 2.2, 2.7.3,

2.10.1 and 2.10.2

FINANCIAL SITUATION

OBJECTIVES

Yes No Comments

Evaluate net worth

Evaluate cost of living

Eliminate personal debts

Establish a savings strategy

Review the investment strategy

Buy a house

Other

DOCUMENTS


Bank statements

(savings, loans, credit cards)

Investment account statements

Tax account statements

Tax returns for the last three years

Notice of assessment

Purchase or long‐term lease contracts

Employment income

SERVICE CONTRACT



will be analysed.


17





OTHER QUESTIONS

Yes No Comments

Does the client expect any major cash inflows or outflows in the

next year?

Is the client interested in borrowing to invest?

Does the client have commitments from a previous marriage or

relationship?

Has the client opened a tax‐free savings account (TFSA)?

18



Objective: Evaluate the cost of living

Steps Reference

Determination of cost of living Module 4, Annexe 2, Section

16.1.6, 16.1.6A, Annexe 2

Draw up a budget Module 4, Section 16.1.6A,

Annexe 2 • Does the budget situation generate savings or a deficit?

• Is there an emergency fund?

• Is the amount of the emergency fund adequate?

• Are the cash holdings adequate?

• Is the line of credit used?

Objective: Eliminate personal debts

Steps Reference

Credit management Module 4 – Chapter 17 • Does the client have loans with interest that is not tax‐

deductible?

• What are the interest rates and maturities of the various

debts contracted by the client?

• Does the current level of loans compromise the client’s

short‐, medium‐ or long‐term financial viability?

• Is debt used effectively?

• Can the debts be repaid without penalty?

Objective: Review the investment strategy

Steps Reference

Target asset allocation based on answers obtained from

investor profile questionnaire

Module 6 – Chapter 1

Determine current asset allocation • What is the rate of return generated by the RRSP and non‐

registered portfolios?

• What is the rate of return generated by the income‐

producing assets?

• Is the investment portfolio diversified?

• Is the investment portfolio structured to minimize income

taxes?

• What is the fee structure of the portfolio?

• Is the “growth” portion of the portfolio protected against a

market crash?

Module 1 – Section 5.5.2

Module 6 – Chapters 2 and 4


RISK TOLERANCE QUESTIONNAIRE

Based on the work of university researcher and certified financial planner John Grable, Ph.D., and Ruth

H. Lytton, Ph.D., this survey was developed after many years of examining dozens of risk evaluation

methods and administering tests to over a thousand participants. The researchers combined the most

effective questions to create the thirteen below. The score is explained at the end of the survey.

1. In general, how would your best friend describe you as a risk taker?

a) A real gambler

b) Willing to take risks after completing adequate research

c) Cautious d) A real risk avoider

2. You are on a TV game show and can choose one of the following. Which would you take?

a) $1,000 in cash b) 50% chance at winning $5,000 c) A 25% chance at winning $10,000 d) A 5% chance at winning $100,000

3. You have just finished saving for a “once‐in‐a‐lifetime” vacation. Three weeks before you plan to

leave, you lose your job. You would:

a) Cancel the vacation

b) Take a much more modest vacation

c) Go as scheduled, reasoning that you need the time to prepare for a job search

d) Extend your vacation, because this might be your last chance to go first‐class

4. If you unexpectedly received $20,000 to invest, what would you do??

a) Deposit it in a bank account, money market account, or an insured CD?

b) Invest it in safe high‐quality bonds or bond mutual funds

c) Invest it in stocks or stock mutual funds

5. In terms of experience, how comfortable are you investing in stocks or stock mutual funds?

a) Not at all comfortable

b) Somewhat comfortable

c) Very comfortable

21

6. When you think of the word “risk,” which of the following words comes to mind first?

a) Loss

b) Uncertainty

c) Opportunity

d) Thrill

7. Some experts are predicting prices of assets such as gold, jewels, collectibles, and real estate (hard

assets) to increase in value; bond prices may fall, however, experts tend to agree that government

bonds are relatively safe. Most of your investment assets are now in high interest government bonds.

What would you do?

a) Hold the bonds

b) Sell the bonds, put half the proceeds into money market accounts, and the other half into hard

assets

c) Sell the bonds and put the total proceeds into hard assets

d) Sell the bonds, put all the money into hard assets, and borrow additional money to buy more

8. Given the best and worst case returns of the four investment choices below, which would you prefer?

a) $200 gain best case; $0 gain/loss worst case b) $800 gain best case; $200 loss worst case c) $2,600 gain best case; $800 loss worst case d) $4,800 gain best case; $2,400 loss worst case

9. In addition to whatever you own, you have been given $1,000. You are now asked to choose

between:

a) A sure gain of $500

b) A 50% chance to gain $1,000 and a 50% chance to gain nothing

10. In addition to whatever you own, you have been given $2,000. You are now asked to choose between:

a) sure loss of $500

b) A 50% chance to lose $1,000 and a 50% chance to lose nothing

22

11. Suppose a relative left you an inheritance of $100,000, stipulating in the will that you invest ALL the money in ONE of the following choices. Which one would you select?

a) A savings account or money market mutual fund

b) A mutual fund that owns stocks and bonds

c) A portfolio of 15 common stocks

d) Commodities like gold, silver, and oil

12. If you had to invest $20,000, which of the following investment choices would you find most

appealing?

a) 60% in low‐risk investments 30% in medium‐risk investments 10% in high‐risk investments

b) 30% in low‐risk investments 40% in medium‐risk investments 30% in high‐risk investments

c) 10% in low‐risk investments 40% in medium‐risk investments 50% in high‐risk investments

13. Your trusted friend and neighbor, an experienced geologist, is putting together a group of investors to fund an exploratory gold mining venture. The venture could pay back 50 to 100 times the investment

if successful. If the mine is a bust, the entire investment is worthless. Your friend estimates the chance

of success is only 20%. If you had the money, how much would you invest?

a) Nothing b) One month’s salary

c) Three month’s salary

d) Six month’s salary

23

SCORING

1. a = 4; b = 3; c = 2; d = 1 6. a = 1; b = 2; c = 3; d = 4 10. a = 1; b = 3

2. a = 1; b = 2; c = 3; d = 4 7. a = 1; b = 2; c = 3; d = 4 11. a = 1; b = 2; c = 3; d = 4

3. a = 1; b = 2; c = 3; d = 4 8. a = 1; b = 2; c = 3; d = 4 12. a = 1; b = 2; c = 3

4. a = 1; b = 2; c = 3 9. a = 1; b = 3 13. a = 1; b = 2; c = 3; d = 4

5. a = 1; b = 2; c = 3

According to John Grable: “Average and mean scores were relatively constant over time, ranging from 25

to 27 after addition.” Even though it is not an official scoring system, it appears that the following scores

are reliable with regard to risk tolerance:

18 or less = Low

19 to 22 = Below average

23 to 28 = Average or moderate

29 to 32 = Above average

33 and over = High

Source: J.E. Grable and R. H. Lyton, “Financial Risk Tolerance Revisited: The Development of a Risk

Assessment Instrument,” (1999) 8 Financial Services Review 163. Reproduced with permission.

24

For the purposes of applying John Grable’s risk tolerance measure, the following chart was developed by

the IQPF to convert the score to a target asset allocation.

Score Fixed income Growth shares

10 or under 100% 0%

11 to 15 80% 20%

16 to 18 70% 30%

19 to 22 60% 40%

23 to 28 50% 50%

29 to 32 40% 60%

33 and over 30% 70%

This conversion grid is not to establish the allocation in an investment portfolio for a specific investment

objective. Rather, it establishes the asset allocation that will determine the return to use in the

framework defined by the IQPF long‐term projection assumptions with the objective of evaluating a

client’s financial needs. Of course, a conversion grid cannot replace thorough knowledge of the client.

25

TAX SITUATION

OBJECTIVES

Yes No Comments

Reduce income taxes

Optimize after‐tax investment income

Use income splitting strategies

Evaluate compensation method

Evaluate business structure

Other

DOCUMENTS


Tax returns for last three years

Business tax returns for last three years

Notice of assessment for client and business

Company’s financial statements

Investment statements

SERVICE CONTRACT



will be analysed.






26

OTHER QUESTIONS

Does the client have capital or non‐capital losses from prior years?

Has the client declared any taxable capital gains in the last three years?

Year:

Amount:

Has the client sold any assets since the beginning of the year? yes no

If so, the following table should be completed.

Description Year of

acquisition Quantity

Net proceeds

of disposition

Adjusted cost base

Undepreciated capital cost

Gain or loss

Recapture of depreciation

1)

2)

3)

Has the $750,000 capital gains deduction for the sale of qualifying small business shares been used? If so,

was the deduction used for qualifying farm property?

yes no What amount?

What kind of remuneration does the client receive (salary, dividends, options, premiums, retirement

benefits, etc.)?

27



Objective: Reduce income taxes

Steps Reference

Check list of main tax strategies by category Module 5 – Annexe 1

Objective: Optimize after‐tax investment income

Steps Reference

Determine taxation of each type of investment Module 5 – Chapter 4


Check features of each product (e.g., ACB, UCC, carrying

charges, etc.)


Module 6 – Chapters 4, 4A, 4B and

4C

Choose products based on tax features (registered plan,

corporation, personal account, etc.)


Module 6 – Chapters 4, 4A, 4B and

4C

Objective: Use income splitting strategies

Steps Reference

Examine the taxation of family members and the business

structure (corporation, trust)

Module 5 – Chapters 9, 10 and 11

Estimate tax and financial savings of setting up an income

splitting strategy (pension income splitting, dividends to adult

children directly or through a trust)

Module 5 – Chapters 9, 10 and 11

28

Objective: Evaluate compensation methods

Steps Reference

Depending on the client’s professional status (employee,

entrepreneur, partner or shareholder), evaluate current and

future methods of compensation

Module 5 – Chapters 16, 24.2 and

26

Objective: Evaluate business structure

Steps Reference

Determine current business structure Module 5 – Chapters 16 and 21

Evaluate possible changes (incorporation, creation of a holding

company or trust)



CHILDREN’S EDUCATION FUNDING SITUATION

OBJECTIVES

Yes No Comments

Help children or grandchildren pursue higher education

Other

DOCUMENTS


RESP contract

RESP investment statements

Other

QUESTIONS

1st child 2nd child 3rd child

Name

Date of birth

Projected annual cost

Number of years of education

Accumulated RESP amount

30

SERVICE CONTRACT



will be analysed.








Objective: Help children or grandchildren pursue higher education

Steps Reference

Registered education savings plan (RESP) Module 4 – Chapter 18

Canada Education Savings Grant (CESG) Module 4 – Chapter 18A.4

Quebec Education Savings Incentive (QESI) Module 4 – Chapter 18A.5

Calculate required annual savings Module 1 – Section 5.5.4

31

RETIREMENT PLANNING SITUATION

OBJECTIVES

Yes No Comments

Retire at age . Maintain a cost of living of $ , an annual

income of $ , in today’s dollars.

Evaluate RRSP, RRIF and annuity payout options.

Choose between a defined benefit pension plan or transfer to a LIRA.

Business: set up an individual pension plan.

Other

DOCUMENTS


Annual pension plan statement of contributions

RPP option statement

QPP statement of participation

Investment statements (RRSP, TFSA, non‐registered, etc.)

Federal income tax notice of assessment

Tax returns (client and spouse)

32

SERVICE CONTRACT



will be analysed.






QUESTIONS

Client Spouse

Yes No Yes No

Does the client participate to a pension plan, registered pension plan,

group RRSP, DPSP, supplemental pension plan, stock option plan, etc.?

Does the client always contribute the annual maximum to an RRSP or

spousal RRSP?

If not, how much does the client contribute each year?

____________________________________________

When does the client make the RRSP or spousal RRSP contributions?

End of the year

Beginning of the year

Systematic savings program

33


For all objectives, it is crucial to:

1. Complete the Client Profile 2. Determine the Investor Profile 3. Use economic and demographic assumptions based on the IQPF Projection Assumption Standards

Objective: Determine savings required or feasibility of retirement objective

Steps Reference

Determine or confirm cost of living Module 7 – Section 3.2.3

Identify sources of income • QPP

• OAS, GIS, EI

• Defined contribution pension plan

• Defined benefit pension plan

• RRSP or RRIF

• LIRA or Locked‐in RRSP or LIF

Module 7 – Section 4.2






Determine savings required Module 1 – Annexe of Annexe 1

Objective: Evaluate RRSP, RRIF and annuity payout options

Steps Reference

Determine or confirm cost of living Module 7 – Section 3.2.3

Evaluate various payout options Module 7 – Section 6.6

Objective: Choose between a defined benefit pension plan and transfer to a LIRA

Steps Reference

Calculate or confirm the transfer value Module 4 – Chapter 12


Determine level of risk tolerance Investor Profile

Analyse options Module 7 – Section 5.10.2

34

Objective: Set up an individual pension plan (IPP)

Steps Reference

Assess advantages and disadvantages of an IPP Module 7 – Section 5.14

Evaluate set‐up criteria Module 7 – Section 5.14

35

ESTATE PLANNING SITUATION

OBJECTIVES

Yes No Comments

Draw up or review the will

Minimize taxes payable on death

Determine life insurance needs

• Maintain current standard of living for heirs

• Provide additional legacies to heirs

• Arrange other legacies, such as to a foundation

Business: safeguard business continuation after death

Other ________________________________

DOCUMENTS


Will

Marriage contract

Individual life insurance contracts

Group insurance brochure

Tax returns for last three years

Business tax returns for last three years

Financial statements of the business

Shareholders agreement

Other ________________________________

36

SERVICE CONTRACT



will be analysed.






QUESTIONS

Client Spouse

Yes No N/A Yes No N/A

Does the client have a will?

Does the client have a marriage (or civil union) contract with a

“joint and last survivor” clause?

Does the client’s will still reflect their last wishes?

Does the client want to leave a bequest to a charitable

organization?

Has the client made funeral arrangements?

At how much are the death‐related expenses estimated?

How long will the client need to provide income for the heirs?

Does the client have life insurance?

Are the client’s loans life‐insured with the lending institution?

Business

Does a corporation have insurance on the client’s life?

Has the client signed a shareholders agreement?

37


For all objectives, it is crucial to:

• Complete the Client Profile

• Establish the Estate Balance Sheet and calculate taxes payable on death

• Establish a Statement of Cash Position the Estate and calculate taxes payable on death

• Use economic and demographic assumptions based on the IQPF Projection Assumption Standards

Objective: Draw up or revise the will

Steps Reference

Identify the legatees or legal heirs Module 2 – Chapter 4.2

Is the will structured to reduce income taxes on death and in

the years following death?


Assess the advisability of setting up a testamentary trust Module 2 – Chapter 4.6

Are the life insurance beneficiary designations consistent with

the conditions of the will?


Objective: Determine life insurance needs

Steps Reference

Assess the need to maintain the heirs’ cost of living Module 3 – Section 2.2.1

Consider the objectives of: • Maintaining capital after death

• Other legacies

Module 3 – Section 2.2.2.1

Determine life insurance needs Module 3 – Section 2.2

Determine whether current life insurance coverage suits the

client’s situation

Module 3 – Section 2.6 and

Chapter 6

38

Objective: Minimize income taxes payable on death

Steps Reference

Consider the types of income Module 5 – Chapter 14.2

Consider the types of assets and tax repercussions of their

disposition



Other factors to consider: • Death benefit

• Medical expenses

• Charitable donations

• Unused capital gains exemption

• Deferred capital losses

• Rights or things

• Separate returns

• RRSP

• Partition of the deceased’s assets










Objective: Safeguard business continuation after death

Steps Reference

Analyse shareholders agreement and current will Module 2 – Chapters 3.7 and 3.8

Assess need for life insurance to buy out shares Module 2 – Chapter 3.8



39

PROTECTION SITUATION

OBJECTIVES

Yes No Comments

Draw up or review the mandate in case of incapacity

Draw up or review the general power of attorney

Review personal disability protection

Review business‐related disability protection

Review other personal illness or accident protection

Review other business‐related illness or accident

protection

Other

DOCUMENTS


Mandate in case of incapacity

General power of attorney

Group insurance brochure

Disability insurance contract

Other illness or accident insurance contracts

SERVICE CONTRACT



will be analysed.





40


QUESTIONS

Client Conjoint

Yes No N/A Yes No N/A

Does the client have a mandate in case of incapacity?

If not, whom does the client want to name as mandatary?

Does the client have a general power of attorney?

If not, whom does the client want to name as mandatary?

Does the client have a shareholder agreement?

Does the client have disability insurance?

Does the client have other illness or accident insurance

(including critical illness and long‐term care)?

Are the client’s loans insured against disability or critical illness

through the lending institution?

What are the deductibles on the house and car insurance?

41



Objective: Draw up or review the mandate in case of incapacity

Steps Reference

Examine the type and possible forms of the document Module 2 – Chapter 2.13.1

Determine who will be the mandatary or mandataries Module 2 – Chapter 2.13.3

Examine the various issues to include in the document Module 2 – Chapter 2.13.1

Determine the type of administration required Module 2 – Chapter 2.13.2

Examine the implementation procedures Module 2 – Chapter 2.13.4

Objective: Draw up or review the power of attorney

Steps Reference

Examiner the type and possible forms of the document Module 2 – Chapter 2.14

Determine who will be the mandatary or mandataries Module 2 – Chapter 2.13.3

Examine the limits and scope of the document compared to the

mandate in case of incapacity


Determine the type of administration required Module 2 – Chapter 2.13.2

Objective: Review disability protection (personal and business)

Steps Reference

Determine disability insurance needs Module 3 – Chapter 2.1

Objective: Review illness and accident protections (personal and business)

Steps Reference

Evaluate health insurance needs Module 3 – Chapter 2.3

the partial mandate - iqpf · • professional services contract (pp.1- 3) • data collection...

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