We’re repricing in-force Sun and Clarica LTCI policies. Here’s how you can support Clients.
We’re repricing in-force Sun and Clarica Long Term Care Insurance (LTCI) policies beginning February 1, 2027 as policies reach the end of their five-year guarantee periods. The repricing cycle will continue through January 2032.
We’re repricing in-force Sun and Clarica Long Term Care Insurance (LTCI) policies beginning February 1, 2027 as policies reach the end of their five-year guarantee periods. The repricing cycle will continue through January 2032.
Delivering news of a premium increase can be uncomfortable, but Clients will look to you for guidance and support as they determine how to deal with the change.
Why are premiums increasing?
LTCI premiums can vary based on factors like how old the insured person was when their policy was issued and their birth sex. LTCI premiums are also adjustable and we regularly review our rates. When deciding if we need to change LTCI premiums, we look at various factors, including claims, interest rates, other investment returns, lapses, taxes and other expenses.
The two biggest factors affecting this premium increase are:
- fewer individuals recover from their dependence, which means they remain on claim longer, and
- individuals are living longer, resulting in more claims over time.
This combination creates sustained upward pressure on overall claims costs.
How we're supporting Clients through proactive outreach
- Clients will receive letters at least 10 weeks before their premiums increase, giving them advance notice to prepare. We’ll continue to do this as each policy approaches the end of its five-year guarantee period.
- Letters explain the rate increase rationale and policy impacts.
- Clients whose premiums aren’t increasing will also receive letters reminding them that premiums are adjustable and could change in the future.
- We won’t send letters to Clients whose limited pay policies are paid up, as their policies are no longer adjustable.
How we're supporting you
- If Clients are impacted, you'll receive affected Client names and premium increases in Activity Centre one month before Clients are notified.
- First advisor notification: September 28, 2026 – includes Clients affected in February and March 2027.
- Monthly lists will continue thereafter, along with copies of Client letters when they're sent.
- This cycle continues until January 2032.
Clients will look to you for guidance on understanding the change, their LTCI five-year premium guarantee, and why this reprice is necessary. We have resources to help you.
Calls-to-action:
- Visit the LTCI reprice landing page for comprehensive resources including:
- Sample Client letters
- Overview of rate changes
- FAQ and support materials
- Premium recovery tool showing how quickly Clients recoup insurance costs once they go on claim
- Plan change options to help Clients maintain coverage at lower premiums
- Prepare for September 28 to receive your first list of affected Clients and their premium increases, if you have impacted Clients.