Rate changes for Dividends on Deposit, Withdrawable Premium Funds and other accounts
March 25, 2026
We’re decreasing certain rates credited to insurance policies. In-force Clients will see the new rates on their statements starting in April.
These rates are set by Sun Life and are changing in response to a decrease in longer-term investments and lower short-term interest rates in recent years.
Sun Life Illustrations will be updated with the new rates on April 26. In-force Illustrations will be updated with the new rates on April 12.
Here are the rate changes by account. Some accounts listed are for policies no longer sold.
Rates credited to Dividends on Deposit (DOD)
| DOD | Current rate | New rate |
|---|---|---|
| Sun Par – Canadian Business series (including 2010, 2017 & 2021) | 3.50% | 3.25% |
| Sun Par – RRSP policies | 4.25% | 4.00% |
| Sun Par – Bermuda Business with policy loan interest rate of 7% | 3.50% | 3.25% |
| Sun Par – Bermuda Business with variable policy loan interest rate | 3.25% | 3.00% |
| Clarica/Mutual/Prudential* | 4.00% | 3.50% |
| Met* | 3.75% | 1.50% |
*Subject to contractual minimums
Rates credited to Withdrawable Premium Funds (WPF) and other accounts
| Type of rate | Current rate | New rate |
|---|---|---|
| Par non-withdrawable premium fund | 4.00% | 3.50% |
| Non-par non-withdrawable premium fund | 3.25% | 2.50% |
| Par withdrawable premium fund | 4.00% | 1.75% |
| Non-par withdrawable premium fund | 4.00% | 1.75% |
| UL Fund (DIA) and UL withdrawable premium fund (certain products no longer sold) | 4.00% | 1.75% |
| Premium Deposit Fund/Overflow Fund on Flexiplus and Met UL Plus | 4.00% | 1.75% |
| Universal life portfolio rate (Clarica/Mutual) | 5.50% | 5.00% |
Call-to-action:
- Review the portfolios of Clients with these options to ensure they are aware of this decrease and that their selected options still meet their needs.
Contact:
- For new business inquiries contact salesdesk@sunlife.com
- For in-force inquiries contact the In-force team