Participating Insurance

Sun Life Par gives Clients the opportunity to participate in earnings from one of the strongest Par accounts in Canada. With choice, flexibility and guarantees, it helps preserve Clients’ growing wealth.

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This video is also available in French and Simplified Chinese.

Sun Par Protector II is a participating life insurance policy that offers three guranteed premium payment options, five dividend options and a variety of optional benefits.

Target client profiles: May be ideal for clients ages 45 - 60 looking for:

  • affordable permanent participating protection that provides guarantees coupled with opportunities for long-term, tax preferred cash value growth
  • estate protection
  • estate maximization
  • a financial foundation for their and grandchildren

Product overview

Guaranteed premium payment options and issue ages Single       
Life pay:  0 - 85   
10 pay:    0 - 85   
20 pay:    0 - 80   
Joint
18 - 85
18 - 85
18 - 80
Coverage options
  • Single Life
  • Joint first-to-die
    • Survivor benefit and Automatic survivor benefit are included
  • Joint last-to-die, premiums to first death (life pay only)
  • Joint last-to-die, premiums to second death
Premium bands $25,000 - $49,999 ages 0 - 17
$50,000 - $99,999
$100,000 - $249,999

$250,000 - $499,999
$500,000 - $999,999
$1,000,000 - $25,000,000*
* Special quotes available for cases over $25,000,000

Premium rates for amounts above $15,000,000 are subject to reinsurance and underwriting reviews

Underwriting classes Non Smoker Smoker Juvenile
Dividend options
  • Paid-up additional insurance
  • Enhanced insurance
  • Lifetime guarantee
  • Annual premium reduction
  • Dividends on deposit
  • Cash payment
Guaranteed cash values Typically begin at the end of year 5
Policy loans From $250, up to 100% of the total cash value less one year’s interest, less any existing indebtedness may be borrowed from your policy.

Non-forfeiture options

  • Automatic premium loan
  • Reduced paid-up life insurance
  • Policy fees and payment methods
    • $25.00 annually
    • $2.25 monthly pre-authorized cheque (PAC)
    Optional benefits
    Plus premium benefit
    • Available with Life pay and 20 pay only
    • Available with the following dividend options:
      • Paid-up additional insurance
      • Enhanced insurance
    Additional non-par benefits
    • Accidental death benefit
    • Guaranteed insurability benefit
    • Total disability waiver benefit
    • Owner waiver benefit (death, disability or death and disability)
    • Child term benefit
    • Business value protection benefit
    • Term insurance benefit (T10, T10 with renewal protection benefit, T15, T20 and T30)
    Special Features Living Benefit

    The following policy wording is provided solely for your convenience and reference. It is incomplete and reflects only some of the general provisions that may be found in some of our insurance policies. We periodically make changes to policy wording and therefore this incomplete sample may not duplicate the wording of any actual issued policy. It is not to be construed or interpreted in any manner as a contract or an offer to contract. The actual policy issued to any given client will govern that relationship.

    Sun Par Protector II may be a smart solution for parents or grandparents looking to provide their children or grandchildren with a strong financial foundation through guaranteed, lifetime protection.

    Speak to clients who have their own life and health insurance needs covered, their retirement savings plans well underway and additional funds available to protect their children, beyond their regular and future financial commitments. When you're considering what solution to recommend for children, consider the coverage need and ensure the solution fits the need and the budget.

    Being a participating whole life policy, Sun Par Protector II can earn policyholder dividends. Sun Par Protector II is expected to provide compound growth over time through paid-up additional insurance, stable returns and tax-preferred cash value growth.

    Here are some resources to help you start the Sun Par for Children conversation with Clients.

    Presentation

    Video

    Benefits

    The plus premium benefit allows the client to pay an additional premium to make the most of tax-preferred cash value growth.

    • Available with the following guaranteed premium payment options:
      • Life pay and
      • 20 pay
    • Available with the following dividend options:
      • Paid up additional insurance
      • Enhanced insurance
    • Any plus premium benefit payment the client makes is used to buy paid-up additional insurance. This amount is in addition to the paid-up additional insurance being purchased by dividends.

    Issue ages:  Base life Additional life
    T10:   18 - 75 0 - 75
    T10 with RPB:   18 - 65  0 - 65
    T15: 18 - 70 0 - 70
    T20: 18 - 65  0 - 65
    T30:   18 - 55 0 - 55
    • Availability: Single life/Joint first-to-die/Joint last-to-die
    • Expires on the policy anniversary nearest the insured person's 85th birthday, or 85th birthday of the oldest insured person
    • Minimum benefit amount: $50,000
    • Maximum benefit amount - Base life: $15,000,000 minus the basic insurance amount per insured person
    • Maximum benefit amount - Additional life: $15,000,000 per insured person
    • All or part of the TIB death benefit is convertible to permanent life insurance without additional medical evidence, up to the policy anniversary nearest the insured person's 75th birthday
    • Available after issue, subject to underwriting requirements
    • Optional Renewal protection benefit (RBP)
      • Available with T10, allows the client to pay additional costs today in exchange for lower renewal costs, compared to T10 without RPB.
      • Cannot be cancelled or added after issue.

    Accidental death benefit (ADB)

    • Issue ages: 0 - 65
    • Availability: Single life/Joint first to die/Joint last to die
    • Minimum benefit amount: $10,000
    • Maximum benefit amount: Lesser of two times the insurance amount, including Term insurance benefits, and $1,000,000 ($250,000 for ages 0-17)
    • Expires at the policy anniversary nearest the insured person's 70th birthday
    • Premiums are level and are payable until expiry of the benefit.
    • Can be added after issue at the policy anniversary only

    Child term benefit (CTB)

    • Issue ages: 18 - 55
    • Availability: Single Life/Joint first to die/Joint last to die
    • Child eligibility: 0-18 based on age nearest birthday
    • Covers any child named on the application (born, adopted and stepchildren) and automatically covers children born or legally adopted after the date of application. Stepchildren may be added after issue through an application
    • Minimum benefit amount: $10,000
    • Maximum benefit amount: $30,000 total across all CTB coverages with Sun Life
    • Premiums are payable to the earlier of 20 years and the policy anniversary nearest the insured person's 70th birthday
    • Benefit expires at the policy anniversary nearest the base insured person's 70th birthday 
    • Between the child's 18th and 25th birthdays, the owner will have the right to buy additional life insurance on the life of the child for up to 10 times the amount of the benefit
    • Can be added after issue at policy anniversary only

    Total disability waiver benefit (TDB)

    • Issue ages:  0 - 55
    • Availability: Single Life/Joint first to die/Joint last to die
    • Expires at the policy anniversary nearest the insured person's 60th birthday
    • Benefit will waive up to $50,000 of annual premium/COI across all Sun Life policies
    • Premiums will be waived as long as the insured is disabled
    • Cannot be added after issue

    Owner waiver death benefit

    • Issue ages: 18 - 60
    • Availability: Single Life/Joint first to die/Joint last to die
    • The owner must be different than the insured person
    • Expires at the policy anniversary nearest the owner's 70th birthday
    • Benefit will waive up to $50,000 of annual premium/COI across all Sun Life policies
    • Premiums will be waived as long as premiums are charged for the insurance amount and optional benefits in the policy when the owner dies
    • Not available when the Business value protection benefit has been selected
    • Cannot be added after issue

    Owner waiver disability benefit

    • Issue ages: 18 - 55
    • Availability: Single life/Joint first to die/Joint last to die
    • The owner must be different than the insured person
    • Expires at the policy anniversary nearest the owner's 60th birthday
    • Benefit will waive up to $50,000 of annual premium/COI across all Sun Life policies
    • Premiums will be waived as long as the owner is disabled
    • Not available when the Business value protection benefit has been selected
    • Cannot be added after issue

    Owner waiver death and disability benefit

    • Issue ages: 18 - 55
    • Availability: Single life/Joint first to die/Joint last to die
    • This optional benefit combines the coverages provided by the Owner waiver death and Owner waiver disability benefits, at a discount when compared to their individual benefit premiums.

    Guaranteed insurability benefit (GIB)

    • GIB allows policy owners to purchase additional life insurance on insured persons at their attained age without providing evidence of insurability.
    • Issue ages: 0 - 45
    • Availability: Single life only
    • Minimum option amount:  $20,000
    • Maximum option amount:  Lesser of insurance amount (including Term insurance benefit and Enhanced insurance amount) and $300,000 across all Sun Life policies
    • Elections are available every 3 years and within 31 days of a special event (marriage, birth/legal adoption of a child)
    • A maximum of 8 elections up to a maximum face amount of $2,400,000 are available
    • Expires at the earlier of the policy anniversary nearest the insured person's 55 birthday or once the maximum amount of elections have been made
    • Not available if the Business value protection benefit has been selected
    • Not available after issue or for substandard risks

    Business value protection benefit (BVPB)

    • Allows business owners to purchase additional insurance as their business grows without providing medical evidence
    • Issue ages: 18 - 65
    • Availability: Single Life only
    • Minimum option amount: $250,000
    • Maximum option amount: $2,500,000 across all Sun Life policies
    • Cumulative maximum equal to the lesser of $10,000,000 or 4 times the option amount
    • Options can be exercised annually within 31 days of the policy anniversary for the first 10 years
    • Expires at the earlier of the 10th policy anniversary or once the maximum amount of elections have been made
    • Not available if the Owner waiver or Guaranteed insurability benefits have been selected
    • Not available after issue or for substandard risks

    Dividends

    With Sun Par Accumulator II and Protector II, policyholders have the opportunity to earn dividends on the base insurance portion of their plan. Policyholder dividends are paid annually, on the policy anniversary date, and are not guaranteed. For more information please refer to the Advisor guide or policy.

    Paid-up additional insurance (PUA)

    Any dividends credited to the policy are used to purchase paid-up additional insurance which is added to the base insurance amount, creating another layer of permanent protection. This layer, as well as the base insurance amount is the basis for earning dividends, resulting in a compounding effect of dividend earning potential. The paid-up additional insurance has a cash value accumulating over time on a tax-preferred basis.

    Enhanced insurance

    The enhanced insurance dividend option enables clients to establish a permanent life insurance policy in a cost-effective manner. On each policy anniversary any policy owner dividend credited is used to purchase a combination, determined by Sun Life, of yearly term insurance and paid-up additional insurance. This combined amount of insurance is equal to the enhanced insurance amount set out in the client's policy. Any paid-up additional insurance purchased is added to the existing paid-up additional insurance, creating another layer of permanent insurance. In addition to the base insurance amount, each layer is the basis for earning dividends, resulting in a compounding effect for dividend earning potential.

    The maximum enhanced insurance amount depends on the insured person's issue age, smoking status, coverage type, and premium payment period. The minimum enhanced amount is $1,000.

    Annual premium reduction

    This dividend option can provide clients with a cost-effective way to pay their premiums. We use any policy owner dividends credited to the policy to reduce the premium for the next policy year. If in the future the policy owner dividends exceed the annual premium, then the excess is held in the withdrawable premium fund. This dividend option is only available if the client is paying premiums on an annual basis.

    Dividends on deposit (DOD)

    With this dividend option, any policy owner dividends credited to the policy are automatically deposited into an account similar to a savings account with Sun Life. The policy owner dividends in this account earn interest daily at a rate we determine. The interest is compounded annually and clients have access to these dividends at any time. Any interest earned is taxable.

    Cash payment

    This option gives the client the opportunity to receive their annual dividends in cash. All or a portion of the cash dividends may be taxable as income.

    Administrative information

    With the Plus premium benefit, Clients can increase the amount of paid-up additional insurance in their policies and make the most of the tax preferred cash value growth available with participating life insurance.

    Clients can make changes to the Plus premium benefit within our administrative guidelines. In some cases, limited underwriting questions will be required.

    For policies issued before 2017, some changes are not permitted as they’ll cause the policy to lose its grandfathered status.

    The time frame of 5 years mentioned in the chart below is referencing a rule that is administrative only. Consult the contract for further details.

    Note: Any plus premium increases are subject to our retention and capacity limits and may be subject to underwriting to obtain additional capacity

    Plus premium change Policies issued before January 1, 2017
    (G2 tax rules)
    Policies issued after 
    January 1, 2017
    (G3 tax rules)
    Allowed? Additional underwriting? Allowed? Additional underwriting?
    Add at issue n/a n/a Yes No
    Add within 5 years of issue date n/a n/a Yes No
    Increase within 5 years of issue date n/a n/a Yes No
    Decrease then increase up to maximum within 5 years of issue date n/a n/a Yes No
    After 5th policy anniversary - Decrease then increase back to original amount within 5 years of decrease Yes No Yes No
    After 5th policy anniversary - stop payments and restart within 5 years at same or lower premium level Yes No Yes No
    Add more than 5 years after issue No n/a Yes Limited questions
    Increase more than 5 years after issue No n/a Yes Limited questions
    After 5th policy anniversary - Decrease then increase back to original amount more than 5 years after decrease No n/a Yes Limited questions
    Decrease then increase up to maximum more than 5 years after issue No n/a Yes Limited questions
    After 5th policy anniversary - Stop payments and restart more than 5 years after stopping No n/a Yes Limited questions
    Add Plus premium at conversion less than 5 years from original term policy issue date

    n/a n/a Yes No
    Add Plus premium after a conversion less than 5 years from original term policy issue date n/a n/a Yes No
    Add Plus premium at conversion more than 5 years from original term policy issue date n/a n/a Yes Limited questions required if Net Amount at Risk (NAAR) of new plan plus any remaining term coverage (if applicable) exceeds original Term face amount.
    Add Plus premium after a conversion more than 5 years from original term policy issue date No n/a Yes Limited questions

    Adding, restarting or increasing the Plus Premium benefit and limited underwriting is required:

    Complete form E110 - Application for policy change, reinstatement and/or reconsideration of rating.

    Adding, restarting, increasing or decreasing the Plus premium benefit and no additional limited underwriting is required:

    You or the Client can call or email us with the details of the request and we will make the change.

    Limited underwriting questions

    The following questions are found in the additional evidence required section of application E110 (Application for policy change, reinstatement and/or reconsideration of rating)

    Has the proposed insured ever been treated for or had any symptoms or indication of:

      1. heart attack or any other heart disease or disorder, stroke/TIA, cancer or any other growth(s) or malignancy, diabetes or kidney, lung or liver disease or disorder?
      2. AIDS, HIV infection or any other disease or disorder of the immune system?
    1. Is the proposed insured aware of any symptoms for which they have not yet consulted a physician or received treatment?
    2. Has the proposed insured ever had any medical conditions, not already mentioned, for which they have been or are being investigated, under observation or treated for, or for which they are currently awaiting investigation or test results? (Do not tell us about genetic testing or genetic test results.)
    3. Have the proposed insured ever had any application(s) for life, disability, critical illness or long term care insurance declined, rated, postponed, cancelled or modified in any way?

    When completing the application, if your client answers 'yes' to any of the above questions, you will need to provide additional information where possible. Underwriting will assess these details when determining insurability for the requested dividend option. Sun Life may request additional evidence.

    Additional information on the Plus premium benefit administrative guidelines:

    • In some cases, we’ll need to know the Client’s future intentions for their policy regarding adding or increasing the Plus premium benefit. This will help us secure reinsurance capacity for the policy if we need it.
    • If we’ve previously declined the Client or facultative reinsurance covers 100% of the policy, we will not allow the Plus premium benefit.
    • If we’ve reached our maximum retention limit capacity, we will require limited underwriting and will approach reinsurers for additional capacity.
    • If the Client has significant insurance with us or the Par policy’s insurance amount, including any Term riders, is higher than the amounts in the below table, we will review each case to determine if any additional underwriting is required or whether we have enough capacity to allow the change with no underwriting.
    Ages Total insurance face amount with Sun Life
    0-1 $500,000
    2-20 $5,000,000
    21-45 $7,500,000
    46-70 $10,000,000
    71-80 $7,500,000
    81-85 We’ll refer any amount to underwriting

    Sun Par Protector II, Sun Par Accumulator II and Sun Par Accelerator

    Without providing evidence of insurability, clients can:

    • Convert to Sun Par Protector II and Sun Par Accumulator II and select any dividend option, or
    • Convert to Sun Par Accelerator with enhanced insurance as their dividend option. Underwriting is not required unless the face amount of the new Par plan (base + Enhanced amount for policies with the enhanced dividend option) exceed the face amount of the original term policy.
    • Convert to Sun Par Protector II or Sun Par Accumulator II with the Plus premium benefit within 5 years from the term policy's issue date.
    • Convert to Sun Par Protector II or Sun Par Accumulator II with the Plus premium benefit after 5 years from the term policy's issue date, within the following guidelines:
      • The net amount at risk (NAAR) of the new par plan cannot exceed the face amount of the original term policy
      • Clients must cancel or reduce any remaining term face amount so that the combined NAAR of the new par plan, plus any remaining term coverage, does not exceed the face amount of the original term policy.

    We will require the answer to limited underwriting questions below for the following transactions:

    1. Conversions to a Par policy with a higher death benefit than the term death benefit
    2. Adding the Plus premium benefit at time of conversion if the maximum NAAR of the new participating life insurance plan is greater than the original term policy's (converting policy's) face amount and it is more than 5 years from the original term policy’s issue date.
    3. Adding the Plus premium benefit to a policy more than 5 years after the issue date (or the original term policy’s issue date if it was as result of a conversion).
    4. Switching the dividend option to paid up additional insurance after issue.

    If limited underwriting questions are required, complete form E110 - Application for policy change, reinstatement and/or reconsideration of rating

    Limited underwriting questions

    1. Has the proposed insured ever been treated for or had any symptoms or indication of:
      a) heart attack or any other heart disease or disorder, stroke/TIA, cancer or any other growth(s) or malignancy, diabetes or kidney, lung or liver disease or disorder?
      b) AIDS, HIV infection or any other disease or disorder of the immune system?
    2. Is the proposed insured aware of any symptoms for which they have not yet consulted a physician or received treatment?
    3. Has the proposed insured ever had any medical conditions, not already mentioned, for which they have been or are being investigated, under observation or treated for, or for which they are currently awaiting investigation or test results? (Do not tell us about genetic testing or genetic test results.)
    4. Has the proposed insured ever had any medical application(s) for life, disability, critical illness or long term care insurance declined, rated, postponed, cancelled or modified in any way?

    When completing the applications, if your client answers 'yes' to any of the questions, you will need to provide additional information where possible. Underwriting will assess these details when determining insurability for the requested dividend option. Sun Life may request additional evidence.

    1 If enhanced insurance is elected as the dividend option, the maximum face amount includes the base amount plus the enhancement.

    Splitting Joint Par policies

    We will allow Clients to split their Joint life policies into new single life policies at attained age and current rates without providing new evidence of insurability. The following criteria must be met:

    • The request to split a Joint life plan must be received within 90 days of obtaining a signed legal separation, divorce or dissolution of business partnership.
    • Splitting of Joint plans will be available for currently sold Joint First-to-Die or Joint Last-to-Die permanent life insurance products, and for currently sold Joint First-to-Die Term life insurance products. Splitting of Joint plans will not be allowed on plans sold prior to January 1, 2017.
    • The new single life plans will be the same type of policy as the original Joint plan. If the same type of policy is not available, Sun Life will determine what type of plans can be issued.
    • The face amount of the new single life plans can be no greater than 50% of the original Joint life base plan or a proportional split if more than 2 lives were insured on the Joint plan.
    • Premiums for the new plan(s) must be received at the time of application.
    • Upon splitting of the Joint plan, a full taxable disposition will occur. Any cash surrender value or fund value, less any outstanding loans or premiums, will be paid to the policy owner(s). This may result in tax implications, including increasing taxable income.

    This benefit is offered on Sun Life Assurance Company of Canada life insurance products and is a non-contractual arrangement that we may approve at our discretion on a case-by-case basis. If an insured person is diagnosed with a terminal illness, an application can be made by the policy owner for a lump sum advance of 50% of the insurance amount, to a maximum of $100,000. The lump sum, plus interest, is deducted from the death benefit when paid. This benefit follows the rules of the living benefit program in effect when the policy owner applies to receive the benefit.

    Sun Par Accumulator II may be ideal for clients looking for the comfort of early cash values coupled with the benefits of long-term growth. It may be ideal for pre-retirees looking for estate protection combined with cash value they can access throughout their lifetime.

    May be suitable for clients ages 50+ looking for:

    • early cash values coupled with the benefits of long-term growth
    • asset diversification
    • estate maximization
    • an opportunity for wealth transfer to their children and grandchildren,
    • a business insurance solution that provides high early cash values and long-term growth

    Product overview

    Guaranteed premium payment options and issue ages Single       
    Life pay:  0 - 85   
    10 pay:    0 - 85   
    20 pay:    0 - 80   
    Joint
    18 - 85
    18 - 85
    18 - 80
    Coverage options

    Single Life
    Joint first-to-die

    • Survivor benefit and Automatic survivor benefit are included

    Joint last-to-die, premiums to first death (life pay only)
    Joint last-to-die, premiums to second death

    Premium bands $250,000 - $499,999
    $500,000 - $999,999

    $1,000,000 - $25,000,000*
    * Special quotes available for cases over $25,000,000

    Premium rates for amounts above $15,000,000 are subject to reinsurance and underwriting reviews

    Underwriting classes Non Smoker Smoker Juvenile
    Dividend options

    Paid-up additional insurance
    Enhanced insurance

    • Lifetime guarantee
    Annual premium reduction
    Dividends on deposit
    Cash payment
    Guaranteed cash values Typically begin at the end of year 1
    Policy loans From $250, up to 100% of the total cash value less one year’s interest, less any existing indebtedness may be borrowed from your policy.

    Non-forfeiture options

  • Automatic premium loan
  • Reduced paid-up life insurance
  • Policy fees and payment methods
    • $25.00 annually
    • $2.25 monthly pre-authorized cheque (PAC)
    Optional benefits
    Plus premium benefit
    • Available with Life pay and 20 pay only
    • Available with the following dividend options:
      • Paid-up additional insurance
      • Enhanced insurance
    Additional non-par benefits
    • Accidental death benefit
    • Guaranteed insurability benefit
    • Total disability waiver benefit
    • Owner waiver benefit (death, disability or death and disability)
    • Child term benefit
    • Business value protection benefit
    • Term insurance benefit (T10, T10 with renewal protection benefit, T15, T20 and T30)
    Special Features Living Benefit

    The following policy wording is provided solely for your convenience and reference. It is incomplete and reflects only some of the general provisions that may be found in some of our insurance policies. We periodically make changes to policy wording and therefore this incomplete sample may not duplicate the wording of any actual issued policy. It is not to be construed or interpreted in any manner as a contract or an offer to contract. The actual policy issued to any given client will govern that relationship.

    Sun Par Accumulator II is a smart solution for parents or grandparents looking to provide their children or grandchildren with a strong financial foundation through guaranteed, lifetime protection.

    Speak to clients who have their own life and health insurance needs covered, their retirement savings plans well underway and additional funds available to protect their children, beyond their regular and future financial commitments. When you're considering what solution to recommend for children, consider the coverage need and ensure the solution fits the need and the budget.

    As a participating whole life policy, Sun Par Accumulator II can earn policyholder dividends. Sun Par Accumulator II provides compound growth over time through paid-up additional insurance, stable returns and tax-preferred cash value growth.

    Benefits

    The plus premium benefit allows clients to pay an additional premium to make the most of tax-preferred cash value growth.

    • Available with the following guaranteed premium payment options:
      •  Life pay
      • 10 pay and
      • 20 pay
    • Available with the following dividend options:
      • Paid up additional insurance
      • Enhanced insurance
    • Any plus premium benefit payment you make is used to buy paid-up additional insurance. This amount is in addition to the paid-up additional insurance being purchased by dividends.

    Term insurance benefit (TIB)

    Issue ages:  Base life Additional life
    T10:   18 - 75 0 - 75
    T10 with RPB:   18 - 65  0 - 65
    T15: 18 - 70 0 - 70
    T20: 18 - 65  0 - 65
    T30:   18 - 55 0 - 55
    • Availability: Single life/Joint first-to-die/Joint last-to-die
    • Expires on the policy anniversary nearest the insured person's 85th birthday, or 85th birthday of the oldest insured person
    • Minimum benefit amount: $50,000
    • Maximum benefit amount - Base life: $15,000,000 minus the basic insurance amount per insured person
    • Maximum benefit amount - Additional life: $15,000,000 per insured person
    • All or part of the TIB death benefit is convertible to permanent life insurance without additional medical evidence, up to the policy anniversary nearest the insured person's 75th birthday
    • Available after issue, subject to underwriting requirements
    • Optional Renewal protection benefit (RBP)
      • Available with T10, allows the client to pay additional costs today in exchange for lower renewal costs, compared to T10 without RPB.
      • Cannot be cancelled or added after issue.

    Accidental death benefit (ADB)

    • Issue ages: 0 - 65
    • Availability: Single life/Joint first to die/Joint last to die
    • Minimum benefit amount: $10,000
    • Maximum benefit amount: Lesser of two times the insurance amount, including Term insurance benefits, and $1,000,000 ($250,000 for ages 0-17)
    • Expires at the policy anniversary nearest the insured person's 70th birthday
    • Premiums are level and are payable until expiry of the benefit.
    • Can be added after issue at the policy anniversary only

    Child term benefit (CTB)

    • Issue ages: 18 - 55
    • Availability: Single Life/Joint first to die/Joint last to die
    • Child eligibility: 0-18 based on age nearest birthday
    • Covers any child named on the application (born, adopted and stepchildren) and automatically covers children born or legally adopted after the date of application. Stepchildren may be added after issue through an application
    • Minimum benefit amount: $10,000
    • Maximum benefit amount: $30,000 total across all CTB coverages with Sun Life
    • Premiums are payable to the earlier of 20 years and the policy anniversary nearest the insured person's 70th birthday
    • Benefit expires at the policy anniversary nearest the base insured person's 70th birthday 
    • Between the child's 18th and 25th birthdays, the owner will have the right to buy additional life insurance on the life of the child for up to 10 times the amount of the benefit
    • Can be added after issue at policy anniversary only

    Total disability waiver benefit (TDB)

    • Issue ages:  0 - 55
    • Availability: Single Life/Joint first to die/Joint last to die
    • Expires at the policy anniversary nearest the insured person's 60th birthday
    • Benefit will waive up to $50,000 of annual premium/COI across all Sun Life policies
    • Premiums will be waived as long as the insured is disabled
    • Cannot be added after issue

    Owner waiver death benefit

    • Issue ages: 18 - 60
    • Availability: Single Life/Joint first to die/Joint last to die
    • The owner must be different than the insured person
    • Expires at the policy anniversary nearest the owner's 70th birthday
    • Benefit will waive up to $50,000 of annual premium/COI across all Sun Life policies
    • Premiums will be waived as long as premiums are charged for the insurance amount and optional benefits in the policy when the owner dies
    • Not available when the Business value protection benefit has been selected
    • Cannot be added after issue

    Owner waiver disability benefit

    • Issue ages: 18 - 55
    • Availability: Single life/Joint first to die/Joint last to die
    • The owner must be different than the insured person
    • Expires at the policy anniversary nearest the owner's 60th birthday
    • Benefit will waive up to $50,000 of annual premium/COI across all Sun Life policies
    • Premiums will be waived as long as the owner is disabled
    • Not available when the Business value protection benefit has been selected
    • Cannot be added after issue

    Owner waiver death and disability benefit

    • Issue ages: 18 - 55
    • Availability: Single life/Joint first to die/Joint last to die
    • This optional benefit combines the coverages provided by the Owner waiver death and Owner waiver disability benefits, at a discount when compared to their individual benefit premiums.

    Guaranteed insurability benefit (GIB)

    • GIB allows policy owners to purchase additional life insurance on insured persons at their attained age without providing evidence of insurability.
    • Issue ages: 0 - 45
    • Availability: Single life only
    • Minimum option amount:  $20,000
    • Maximum option amount:  Lesser of insurance amount (including Term insurance benefit and Enhanced insurance amount) and $300,000 across all Sun Life policies
    • Elections are available every 3 years and within 31 days of a special event (marriage, birth/legal adoption of a child)
    • A maximum of 8 elections up to a maximum face amount of $2,400,000 are available
    • Expires at the earlier of the policy anniversary nearest the insured person's 55 birthday or once the maximum amount of elections have been made
    • Not available if the Business value protection benefit has been selected
    • Not available after issue or for substandard risks

    Business value protection benefit (BVPB)

    • Allows business owners to purchase additional insurance as their business grows without providing medical evidence
    • Issue ages: 18 - 65
    • Availability: Single Life only
    • Minimum option amount: $250,000
    • Maximum option amount: $2,500,000 across all Sun Life policies
    • Cumulative maximum equal to the lesser of $10,000,000 or 4 times the option amount
    • Options can be exercised annually within 31 days of the policy anniversary for the first 10 years
    • Expires at the earlier of the 10th policy anniversary or once the maximum amount of elections have been made
    • Not available if the Owner waiver or Guaranteed insurability benefits have been selected
    • Not available after issue or for substandard risks

    Dividends

    With Sun Par Accumulator II and Protector II, policyholders have the opportunity to earn dividends on the base insurance portion of their plan. Policyholder dividends are paid annually, on the policy anniversary date, and are not guaranteed. For more information please refer to the Advisor guide or policy.

    Paid-up additional insurance (PUA)

    Any dividends credited to the policy are used to purchase paid-up additional insurance which is added to the base insurance amount, creating another layer of permanent protection. This layer, as well as the base insurance amount is the basis for earning dividends, resulting in a compounding effect of dividend earning potential. The paid-up additional insurance has a cash value accumulating over time on a tax-preferred basis.

    Enhanced insurance

    The enhanced insurance dividend option enables clients to establish a permanent life insurance policy in a cost-effective manner. On each policy anniversary any policy owner dividend credited is used to purchase a combination, determined by Sun Life, of yearly term insurance and paid-up additional insurance. This combined amount of insurance is equal to the enhanced insurance amount set out in the client's policy. Any paid-up additional insurance purchased is added to the existing paid-up additional insurance, creating another layer of permanent insurance. In addition to the base insurance amount, each layer is the basis for earning dividends, resulting in a compounding effect for dividend earning potential.

    The maximum enhanced insurance amount depends on the insured person's issue age, smoking status, coverage type, and premium payment period. The minimum enhanced amount is $1,000.

    Annual premium reduction

    This dividend option can provide clients with a cost-effective way to pay their premiums. We use any policy owner dividends credited to the policy to reduce the premium for the next policy year. If in the future the policy owner dividends exceed the annual premium, then the excess is held in the withdrawable premium fund. This dividend option is only available if the client is paying premiums on an annual basis.

    Dividends on deposit (DOD)

    With this dividend option, any policy owner dividends credited to the policy are automatically deposited into an account similar to a savings account with Sun Life. The policy owner dividends in this account earn interest daily at a rate we determine. The interest is compounded annually and clients have access to these dividends at any time. Any interest earned is taxable.

    Cash payment

    This option gives the client the opportunity to receive their annual dividends in cash. All or a portion of the cash dividends may be taxable as income.

    Administrative information

    With the Plus premium benefit, Clients can increase the amount of paid-up additional insurance in their policies and make the most of the tax preferred cash value growth available with participating life insurance.

    Clients can make changes to the Plus premium benefit within our administrative guidelines. In some cases, limited underwriting questions will be required.

    For policies issued before 2017, some changes are not permitted as they’ll cause the policy to lose its grandfathered status.

    The time frame of 5 years mentioned in the chart below is referencing a rule that is administrative only. Consult the contract for further details.

    Note: Any plus premium increases are subject to our retention and capacity limits and may be subject to underwriting to obtain additional capacity

    Plus premium change Policies issued before January 1, 2017
    (G2 tax rules)
    Policies issued after 
    January 1, 2017
    (G3 tax rules)
    Allowed? Additional underwriting? Allowed? Additional underwriting?
    Add at issue n/a n/a Yes No
    Add within 5 years of issue date n/a n/a Yes No
    Increase within 5 years of issue date n/a n/a Yes No
    Decrease then increase up to maximum within 5 years of issue date n/a n/a Yes No
    After 5th policy anniversary - Decrease then increase back to original amount within 5 years of decrease Yes No Yes No
    After 5th policy anniversary - stop payments and restart within 5 years at same or lower premium level Yes No Yes No
    Add more than 5 years after issue No n/a Yes Limited questions
    Increase more than 5 years after issue No n/a Yes Limited questions
    After 5th policy anniversary - Decrease then increase back to original amount more than 5 years after decrease No n/a Yes Limited questions
    Decrease then increase up to maximum more than 5 years after issue No n/a Yes Limited questions
    After 5th policy anniversary - Stop payments and restart more than 5 years after stopping No n/a Yes Limited questions
    Add Plus premium at conversion less than 5 years from original term policy issue date

    n/a n/a Yes No
    Add Plus premium after a conversion less than 5 years from original term policy issue date n/a n/a Yes No
    Add Plus premium at conversion more than 5 years from original term policy issue date n/a n/a Yes Limited questions required if Net Amount at Risk (NAAR) of new plan plus any remaining term coverage (if applicable) exceeds original Term face amount.
    Add Plus premium after a conversion more than 5 years from original term policy issue date No n/a Yes Limited questions

    Adding, restarting or increasing the Plus Premium benefit and limited underwriting is required:

    Complete form E110 - Application for policy change, reinstatement and/or reconsideration of rating.

    .

    Adding, restarting, increasing or decreasing the Plus premium benefit and no additional limited underwriting is required:

    You or the Client can call or email us with the details of the request and we will make the change.

    Limited underwriting questions

    The following questions are found in the additional evidence required section of application E110 (Application for policy change, reinstatement and/or reconsideration of rating)

    .

    1. Has the proposed insured ever been treated for or had any symptoms or indication of:
      1. heart attack or any other heart disease or disorder, stroke/TIA, cancer or any other growth(s) or malignancy, diabetes or kidney, lung or liver disease or disorder?
      2. AIDS, HIV infection or any other disease or disorder of the immune system?
    2. Is the proposed insured aware of any symptoms for which they have not yet consulted a physician or received treatment?
    3. Has the proposed insured ever had any medical conditions, not already mentioned, for which they have been or are being investigated, under observation or treated for, or for which they are currently awaiting investigation or test results? (Do not tell us about genetic testing or genetic test results.)
    4. Have the proposed insured ever had any application(s) for life, disability, critical illness or long term care insurance declined, rated, postponed, cancelled or modified in any way?

    When completing the application, if your client answers 'yes' to any of the above questions, you will need to provide additional information where possible. Underwriting will assess these details when determining insurability for the requested dividend option. Sun Life may request additional evidence.

    Additional information on the Plus premium benefit administrative guidelines:

    • In some cases, we’ll need to know the Client’s future intentions for their policy regarding adding or increasing the Plus premium benefit. This will help us secure reinsurance capacity for the policy if we need it.
    • If we’ve previously declined the Client or facultative reinsurance covers 100% of the policy, we will not allow the Plus premium benefit.
    • If we’ve reached our maximum retention limit capacity, we will require limited underwriting and will approach reinsurers for additional capacity.
    • If the Client has significant insurance with us or the Par policy’s insurance amount, including any Term riders, is higher than the amounts in the below table, we will review each case to determine if any additional underwriting is required or whether we have enough capacity to allow the change with no underwriting.
    Ages Total insurance face amount with Sun Life
    0-1 $500,000
    2-20 $5,000,000
    21-45 $7,500,000
    46-70 $10,000,000
    71-80 $7,500,000
    81-85 We’ll refer any amount to underwriting

    Sun Par Protector II, Sun Par Accumulator II and Sun Par Accelerator

    Without providing evidence of insurability, clients can:

    • Convert to Sun Par Protector II and Sun Par Accumulator II and select any dividend option, or
    • Convert to Sun Par Accelerator with enhanced insurance as their dividend option. Underwriting is not required unless the face amount of the new Par plan (base + Enhanced amount for policies with the enhanced dividend option) exceed the face amount of the original term policy.
    • Convert to Sun Par Protector II or Sun Par Accumulator II with the Plus premium benefit within 5 years from the term policy's issue date.
    • Convert to Sun Par Protector II or Sun Par Accumulator II with the Plus premium benefit after 5 years from the term policy's issue date, within the following guidelines:
      • The net amount at risk (NAAR) of the new par plan cannot exceed the face amount of the original term policy
      • Clients must cancel or reduce any remaining term face amount so that the combined NAAR of the new par plan, plus any remaining term coverage, does not exceed the face amount of the original term policy.

    We will require the answer to limited underwriting questions below for the following transactions:

    1. Conversions to a Par policy with a higher death benefit than the term death benefit
    2. Adding the Plus premium benefit at time of conversion if the maximum NAAR of the new participating life insurance plan is greater than the original term policy's (converting policy's) face amount and it is more than 5 years from the original term policy’s issue date.
    3. Adding the Plus premium benefit to a policy more than 5 years after the issue date (or the original term policy’s issue date if it was as result of a conversion).
    4. Switching the dividend option to paid up additional insurance after issue.

    If limited underwriting questions are required, complete form E110 - Application for policy change, reinstatement and/or reconsideration of rating

    Limited underwriting questions

    1. Has the proposed insured ever been treated for or had any symptoms or indication of:
      a) heart attack or any other heart disease or disorder, stroke/TIA, cancer or any other growth(s) or malignancy, diabetes or kidney, lung or liver disease or disorder?
      b) AIDS, HIV infection or any other disease or disorder of the immune system?
    2. Is the proposed insured aware of any symptoms for which they have not yet consulted a physician or received treatment?
    3. Has the proposed insured ever had any medical conditions, not already mentioned, for which they have been or are being investigated, under observation or treated for, or for which they are currently awaiting investigation or test results? (Do not tell us about genetic testing or genetic test results.)
    4. Has the proposed insured ever had any medical application(s) for life, disability, critical illness or long term care insurance declined, rated, postponed, cancelled or modified in any way?

    When completing the applications, if your client answers 'yes' to any of the questions, you will need to provide additional information where possible. Underwriting will assess these details when determining insurability for the requested dividend option. Sun Life may request additional evidence.

    1 If enhanced insurance is elected as the dividend option, the maximum face amount includes the base amount plus the enhancement.

    Splitting Joint Par policies

    We will allow Clients to split their Joint life policies into new single life policies at attained age and current rates without providing new evidence of insurability. The following criteria must be met:

    • The request to split a Joint life plan must be received within 90 days of obtaining a signed legal separation, divorce or dissolution of business partnership.
    • Splitting of Joint plans will be available for currently sold Joint First-to-Die or Joint Last-to-Die permanent life insurance products, and for currently sold Joint First-to-Die Term life insurance products. Splitting of Joint plans will not be allowed on plans sold prior to January 1, 2017.
    • The new single life plans will be the same type of policy as the original Joint plan. If the same type of policy is not available, Sun Life will determine what type of plans can be issued.
    • The face amount of the new single life plans can be no greater than 50% of the original Joint life base plan or a proportional split if more than 2 lives were insured on the Joint plan.
    • Premiums for the new plan(s) must be received at the time of application.
    • Upon splitting of the Joint plan, a full taxable disposition will occur. Any cash surrender value or fund value, less any outstanding loans or premiums, will be paid to the policy owner(s). This may result in tax implications, including increasing taxable income.

    This benefit is offered on Sun Life Assurance Company of Canada life insurance products and is a non-contractual arrangement that we may approve at our discretion on a case-by-case basis. If an insured person is diagnosed with a terminal illness, an application can be made by the policy owner for a lump sum advance of 50% of the insurance amount, to a maximum of $100,000. The lump sum, plus interest, is deducted from the death benefit when paid. This benefit follows the rules of the living benefit program in effect when the policy owner applies to receive the benefit.

    Sun Par Accelerator is a participating permanent life insurance policy that offers a short guaranteed premium commitment of 8 years, as well as guaranteed cash values in early years.

    Target client profiles: Can be ideal for clients ages 30 to 50 looking for:

    • permanent protection that’s guaranteed to be fully paid up in eight years
    • estate protection combined with cash values they can access throughout their lifetime
    • asset diversification
    • building a financial foundation for their children

    Product overview

    Guaranteed premium payment option and issue ages

                Single          
    8 pay:  0 - 65         

    Joint

    18 - 65

    Coverage options

    Single Life
    Joint first-to-die

    • Survivor benefit and Automatic survivor benefit are included

    Joint last-to-die, premiums to second death

    Premium bands

    $250,000 - $499,999
    $500,000 - $999,999
    $1,000,000 - $25,000,000*
    * Special quotes available for cases over $25,000,000

    Premium rates for amounts above $15,000,000 are subject to reinsurance and underwriting reviews

    Underwriting classes

    Non-smoker
    Smoker
    Juvenile

    Dividend options

    • Enhanced insurance (only dividend option available at issue)
    • Paid-up additional insurance
    • Dividends on deposit
    • Cash payment

    Guaranteed cash values

    Typically begin at the end of year 1

    Policy loans

    From $250, up to 100% of the total cash value less one year's interest, less any existing indebtedness may be borrowed from the policy.

    Non-forfeiture options

    Automatic premium loan

    Policy fees and payment methods

    • $25 annually
    • $2.25 monthly pre-authorized cheque (PAC)

    Optional benefits

    Additional non-par benefits

    • Accidental death benefit
    • Guaranteed insurability benefit
    • Total disability waiver benefit
    • Owner waiver benefit (death, disability or death and disability)
    • Child term benefit
    • Business value protection benefit
    • Term insurance benefit
    • T10, T10 with renewal protection benefit (RPB), T15, T20 and T30

    Special features

    • Living benefit

    The following policy wording is provided solely for your convenience and reference. It is incomplete and reflects only some of the general provisions that may be found in some of our insurance policies. We periodically make changes to policy wording and therefore this incomplete sample may not duplicate the wording of any actual issued policy. It is not to be construed or interpreted in any manner as a contract or an offer to contract. The actual policy issued to a client will govern the relationship between Sun Life and the policy owner.

    Sun Par Accelerator may be a smart solution for parents or grandparents looking to provide their children or grandchildren with a strong financial foundation through guaranteed, lifetime protection.

    Speak to clients who have their own life and health insurance needs covered, their retirement savings plans well underway and additional funds available to protect their children, beyond their regular and future financial commitments. When you’re considering what solution to recommend for children, consider the coverage need and ensure the solution fits the need and the budget.

    As a participating whole life policy, Sun Par Accelerator can earn policyholder dividends. Sun Par Accelerator provides compound growth over time through paid-up additional insurance, stable returns and tax-preferred cash value growth.

    Benefits

    Term insurance benefit (TIB)

    Issue ages:  Base life Additional life
    T10:   18 - 75 0 - 75
    T10 with RPB:   18 - 65  0 - 65
    T15: 18 - 70 0 - 70
    T20: 18 - 65  0 - 65
    T30:   18 - 55 0 - 55
    • Availability: Single life/Joint first-to-die/Joint last-to-die
    • Expires on the policy anniversary nearest the insured person's 85th birthday, or 85th birthday of the oldest insured person
    • Minimum benefit amount: $50,000
    • Maximum benefit amount - Base life: $15,000,000 minus the basic insurance amount per insured person
    • Maximum benefit amount - Additional life: $15,000,000 per insured person
    • All or part of the TIB death benefit is convertible to permanent life insurance without additional medical evidence, up to the policy anniversary nearest the insured person's 75th birthday
    • Available after issue, subject to underwriting requirements
    • Optional Renewal protection benefit (RBP)
      • Available with T10, allows the client to pay additional costs today in exchange for lower renewal costs, compared to T10 without RPB.
      • Cannot be cancelled or added after issue.

    Accidental death benefit (ADB)

    • Issue ages: 0 - 65
    • Availability: Single life/Joint first to die/Joint last to die
    • Minimum benefit amount: $10,000
    • Maximum benefit amount: Lesser of two times the insurance amount, including Term insurance benefits, and $1,000,000 ($250,000 for ages 0-17)
    • Expires at the policy anniversary nearest the insured person's 70th birthday
    • Premiums are level and are payable until expiry of the benefit.
    • Can be added after issue at the policy anniversary only

    Child term benefit (CTB)

    • Issue ages: 18 - 55
    • Availability: Single Life/Joint first to die/Joint last to die
    • Child eligibility: 0-18 based on age nearest birthday
    • Covers any child named on the application (born, adopted and stepchildren) and automatically covers children born or legally adopted after the date of application. Stepchildren may be added after issue through an application
    • Minimum benefit amount: $10,000
    • Maximum benefit amount: $30,000 total across all CTB coverages with Sun Life
    • Premiums are payable to the earlier of 20 years and the policy anniversary nearest the insured person's 70th birthday
    • Benefit expires at the policy anniversary nearest the base insured person's 70th birthday 
    • Between the child's 18th and 25th birthdays, the owner will have the right to buy additional life insurance on the life of the child for up to 10 times the amount of the benefit
    • Can be added after issue at policy anniversary only

    Total disability waiver benefit (TDB)

    • Issue ages:  0 - 55
    • Availability: Single Life/Joint first to die/Joint last to die
    • Expires at the policy anniversary nearest the insured person's 60th birthday
    • Benefit will waive up to $50,000 of annual premium/COI across all Sun Life policies
    • Premiums will be waived as long as the insured is disabled
    • Cannot be added after issue

    Owner waiver death benefit

    • Issue ages: 18 - 60
    • Availability: Single Life/Joint first to die/Joint last to die
    • The owner must be different than the insured person
    • Expires at the policy anniversary nearest the owner's 70th birthday
    • Benefit will waive up to $50,000 of annual premium/COI across all Sun Life policies
    • Premiums will be waived as long as premiums are charged for the insurance amount and optional benefits in the policy when the owner dies
    • Not available when the Business value protection benefit has been selected
    • Cannot be added after issue

    Owner waiver disability benefit

    • Issue ages: 18 - 55
    • Availability: Single life/Joint first to die/Joint last to die
    • The owner must be different than the insured person
    • Expires at the policy anniversary nearest the owner's 60th birthday
    • Benefit will waive up to $50,000 of annual premium/COI across all Sun Life policies
    • Premiums will be waived as long as the owner is disabled
    • Not available when the Business value protection benefit has been selected
    • Cannot be added after issue

    Owner waiver death and disability benefit

    • Issue ages: 18 - 55
    • Availability: Single life/Joint first to die/Joint last to die
    • This optional benefit combines the coverages provided by the Owner waiver death and Owner waiver disability benefits, at a discount when compared to their individual benefit premiums.

    Guaranteed insurability benefit (GIB)

    • GIB allows policy owners to purchase additional life insurance on insured persons at their attained age without providing evidence of insurability.
    • Issue ages: 0 - 45
    • Availability: Single life only
    • Minimum option amount:  $20,000
    • Maximum option amount:  Lesser of insurance amount (including Term insurance benefit and Enhanced insurance amount) and $300,000 across all Sun Life policies
    • Elections are available every 3 years and within 31 days of a special event (marriage, birth/legal adoption of a child)
    • A maximum of 8 elections up to a maximum face amount of $2,400,000 are available
    • Expires at the earlier of the policy anniversary nearest the insured person's 55 birthday or once the maximum amount of elections have been made
    • Not available if the Business value protection benefit has been selected
    • Not available after issue or for substandard risks

    Business value protection benefit (BVPB)

    • Allows business owners to purchase additional insurance as their business grows without providing medical evidence
    • Issue ages: 18 - 65
    • Availability: Single Life only
    • Minimum option amount: $250,000
    • Maximum option amount: $2,500,000 across all Sun Life policies
    • Cumulative maximum equal to the lesser of $10,000,000 or 4 times the option amount
    • Options can be exercised annually within 31 days of the policy anniversary for the first 10 years
    • Expires at the earlier of the 10th policy anniversary or once the maximum amount of elections have been made
    • Not available if the Owner waiver or Guaranteed insurability benefits have been selected
    • Not available after issue or for substandard risks

    Dividends

    Enhanced insurance

    With Sun Par Accelerator enhanced insurance is the only dividend option available at issue. At each policy anniversary any policy owner dividend credited is used to purchase a combination (that we determine) of yearly term insurance and paid-up additional insurance. This combined insurance is equal to the total insurance amount set out in the client's policy. Any paid-up additional insurance purchased is added to the existing paid-up additional insurance. The paid-up additional insurance is added to the base, creating another layer of permanent insurance. The base insurance amount is the basis for earning dividends, resulting in a compounding effect for dividend earning potential.

    The enhanced insurance amount for Sun Par Accelerator is set by us at issue – the client can't choose their enhancement amount.

    Administrative information

    Sun Par Accelerator

    Clients can convert any amount of term insurance to a Sun Par Accelerator plan without having to provide evidence of insurability. The total of the new Sun Par Accelerator base + the enhanced insurance amount must not be greater than the original term face amount.

    This benefit is offered on Sun Life Assurance Company of Canada life insurance products and is a non-contractual arrangement that we may approve at our discretion on a case-by-case basis. If an insured person is diagnosed with a terminal illness, an application can be made by the policy owner for a lump sum advance of 50% of the insurance amount, to a maximum of $100,000. The lump sum, plus interest, is deducted from the death benefit when paid. This benefit follows the rules of the living benefit program in effect when the policy owner applies to receive the benefit