© Sun Life Assurance Company of Canada. All rights reserved.
Introduction
Adjustment procedure:
As explained in the adjustment provision of adjustable life policy, the adjustable life benefit, the total disability benefit and premium amounts are adjustable every three years when the policy's cost basis is reviewed. This cost basis is determined according to our future expectations of pricing factors such as investment returns, mortality, expenses, taxes, inflation and or lapses. We refer to the adjustable life benefit as the "basic insurance" benefit and the total disability benefit as the "waiver of premium" benefit in the policy holder annual statement.
If the cost basis has decreased, we will automatically increase the adjustable life benefit per unit without evidence of insurability. We will send the clients a notification letter.
We will also send the clients a notification letter if the cost basis has increased; most clients have the following options:
Option 1: increase the premium and maintain the basic insurance benefit at the current level,
Option 2: maintain the current premium and reduce the basic insurance benefit.
Cash values and paid-up values are also adjusted accordingly.
If the client previously selected to decrease the basic insurance benefit when the cost basis has increased, the only option for all future cost basis increases is a reduction of this benefit. This means the option to increase the premium and maintain the current basic insurance benefit is not available to them. This benefit will never reduce below the minimum stated in the policy.
If the client previously elected the Reduced Paid-Up option, they will automatically receive a decrease on their basic insurance benefit when an adjustment is required because the cost basis has increased. The minimum stated in the policy is forfeited when the Reduced Paid-Up option is elected.
There are four product series: 1983, 1984, 1985 and 1992. Policy fees and modal factors vary by series:
Series 83 | Series 84 | Series 85 | Series 92 | |
---|---|---|---|---|
Issue date | Jul 1/83 to Mar 31/84 | Apr 1/84 to Mar 31/85 | Apr 1/85 to Aug 31/92 | Sep 1/92 to Feb 11/94 |
Policy fee | $64 | $65 | $65 | $75 |
Modal factors | 0.94 annual 0.48 semi-annual 1/12 monthly |
1.00 annual 1.00 annual 0.52 semi-annual 0.09 monthly |
1.00 annual 1.00 annual 0.52 semi-annual 0.09 monthly 0.09 monthly |
1.00 annual 1.00 annual 0.52 semi-annual 0.09 monthly 0.09 monthly |
Cash surrender values
The cash value of the adjustable life policy is the amount available in cash if your client was to cancel their policy (also known as a surrender), a portion of which may be taxable on surrender. The cash value of the policy on each policy anniversary is shown on your client's annual statement.
Since the policy is adjustable every third policy anniversary, cash values beyond the next three years are not guaranteed. Policy loans and any arrears will be deducted from this cash value prior to payment.
Non-forfeiture options
Riders & benefits
No changes to Sun Adjustable Whole Life policies
Every three years, we review the pricing factors that decide the cost of Sun Adjustable Whole Life (AWL) policies.*
We recently finished a review and won’t be making any adjustments at this time. You don’t have to take any action.
What do we review?
On every third policy anniversary, we may adjust the:
Changes in factors like interest rates, mortality, expenses and taxes are the basis for any adjustment.
We’ll notify Clients of their policy cash values for the next three years.
Starting September 1, we’ll send letters to Sun AWL Clients for policies with an anniversary of November 1, 2022. We’ll continue sending these letters for the next three years as Clients reach their next triennial anniversary. You’ll get copies of any letters sent to your Clients letting them know their values won’t change in the Activity Centre.
Questions?
Please contact the Adjustable life repricing - SLF - general – inquire.
*Sun Life issued these policies between 1983 and 1994.
We regularly review adjustable policies. We're repricing Sun Adjustable Whole Life (AWL) policies based on our most recent review. Sun Life issued these policies between 1983 and 1994. Premiums are payable for life. On every third policy anniversary, we may adjust the death benefit, total disability amount and/or premium amount and cash values based on changes in factors such as interest rates, mortality, expenses and taxes.
Adjustable Life policies - help Clients manage the upcoming price adjustment
This review, identified a need to adjust some of these policies, based primarily on the continued low interest rates and changes in mortality.
What it means for clients
In September 2019, we'll begin sending letters to all Clients to let them know about the upcoming price adjustment.
During the next three years, we'll send letters to all clients 60 days in advance of their next triennial anniversary, between November 1, 2019 and October 31, 2022:
We'll notify all AWL clients that, at the anniversary following the insured's 100th birthday, we'll no longer require premiums or pass on unfavourable adjustments to the death benefit following that date.
Reprice details
In the past, clients with premium paying policies facing an unfavorable adjustment would experience an automatic decrease in their death benefit if they had chosen this option in the past. Clients who elected to increase their premium continued to have a choice of premium increase or death benefit decrease at subsequent adjustments.
Starting from this re-price, we have made the decision to reintroduce this choice for all premium paying policies facing an unfavorable adjustment. If a Client doesn't return the reply form, we'll adjust their policy based on the choice they made the last time we unfavorably adjusted their policy.
The maximum premium and death benefit adjustments are based on sex and smoking classification:
Risk Class | Death benefit adjustment | Premium adjustment |
---|---|---|
Male non-smoker | 3.5% | 20% |
Female non-smoker |
4.5% | 15% |
Male smoker | No adjustment | No adjustment |
Female smoker | 4% | 18% |
Advisor support
This is the ideal time to connect with clients to offer assistance based on your knowledge of their unique situation and overall financial picture.
Due to system limitations, we can't provide you with the client's premium or death benefit amount until 60 days before the client's policy anniversary. You'll see the new amounts when we share a copy of the client letter with you in Activity Centre.
We will also be sending you the listing of all AWL policies in your block of business prior to the first Client letter being sent. Watch your Activity Centre for this.
Still have questions? Review our questions and answers and product information (link) to help guide your discussions with clients.
Adjustable Whole Life price adjustments good news for clients
Every three years we review the pricing factors that determine the cost of Adjustable Whole Life (AWL) policies. Under the provisions of the policy, we may adjust one or more of the death benefit, total disability amount and premium amount based on the positive or negative effect each factor has on the policy.
We recently completed another review and the news is good for the 2,200 remaining AWL policies, issued by Sun Life Financial between 1983 and 1994. Because lower than expected death claims outweighed the negative effect of lower investment returns, we'll increase AWL death benefit values for all policies.
We'll notify affected clients by letter approximately two and a half weeks before their policy's triennial anniversary. We'll send the first set of letters mid-October for policies with an anniversary of November 1, 2016.
We'll use these letters to let clients know that while this adjustment produced good news, it's impossible to predict what the next triennial adjustment might look like. Because the low interest rate environment continues to put pressure on our investment returns, it's possible that we may have to increase their policy premium when we review their policy again in three years.
Keeping you informed
You'll be notified when we send a letter to any client who has an AWL policy. At the same time we'll post the details on your Activity Centre and secure inbox on the SLF advisor site.
What does the client letter say?
The content of the notification letter your client receives is shown in the sample below:
How much is the death benefit adjustment?
The adjustment to Adjustable Life policies varies by issue age, gender, smoking class and the overall impact of the mortality improvements.
Risk Class | Average death benefit increase |
---|---|
FNS | 10.0% |
FS |
1.5% |
MNS | 10.0% |
MS | 10.5% |
Is this the last time Adjustable Life policies will be adjusted?
It is not possible to predict if another adjustment will occur. Whether an adjustment is needed continues to depend on our future expectations of the pricing factors which impact the policy's cost basis.
However, as explained in the adjustment provision of the adjustable life policy, the policy is only adjustable every third policy anniversary.
Why are only three years of cash values shown in the client letters?
The cash value of the adjustable life policy is the amount available in cash if your client was to cancel their policy (also known as a surrender), a portion of which may be taxable on surrender. The cash value of the policy on each policy anniversary is shown on your client's annual statement.
Since the policy is adjustable every third policy anniversary, cash values beyond the next three years are not guaranteed. Policy loans and any premium arrears will be deducted from this cash value prior to payment.
Why are only three years of paid-up values shown in the client letters?
The paid-up value of the adjustable life policy is the amount of basic insurance benefit that will remain in force if your client decides to stop making premium payment.
Since the policy is adjustable every third policy anniversary, paid-up values beyond the next three years are not guaranteed. Cash values are used in the calculation of paid-up values, therefore, policy loans and any arrears which impact cash values will also impact paid-up values.
Contact us through the Request centre: Adjustable life repricing - SLF - general - inquire. Please note that you will need to be signed into the secure site, to complete this form.
Every three years we review the pricing factors that determine the cost of Adjustable Whole Life (AWL) policies. Under the provisions of the policy, we adjust the death benefit, total disability amount and premium amount based on the positive or negative effect each factor has on the policy.
We recently completed another review and the news is good for the almost 3,000 AWL policies, issued by Sun Life Financial between 1983 and 1994. Because lower than expected death claims outweighed the negative effect of lower investment returns, we'll increase AWL death benefit values for most policies.
How will clients find out about the adjustments?
We'll notify affected clients by letter approximately two and a half weeks before their policy's triennial anniversary. We'll send the first set of letters July 11 for policies with an anniversary of August 1, 2013.
We'll use these letters to let clients know that while this adjustment produced good news, it's impossible to predict what the next triennial adjustment might look like. Because the low interest rate environment continues to put pressure on our investment returns, it's possible that we may have to increase their policy premium when we review their policy again in three years.
Keeping you informed
You'll receive an email from us when we send a letter to any of your clients who have an AWL policy. At the same time we'll post a copy on your Activity Centre. If there is no servicing advisor, the financial centre will receive the notification.
What does the client letter say?
The content of the notification letter your client receives is shown in the samples below:
Notification letter #1 - Increase in death benefit
Notification letter #2 - No adjustment
How does the adjustable life product work?
As explained in the adjustment provision of the adjustable life policy, the adjustable life benefit, the total disability benefit and the premium amounts are adjustable every three years when the policy's cost basis is reviewed. This cost basis is determined according to our future expectations of pricing factors such as investment returns, mortality, expenses, taxes, inflation and lapses.
If the cost basis has decreased, we will automatically increase the basic insurance benefit per unit, without requiring evidence of insurability. The premium will not change.
How much is the death benefit adjustment?
The adjustment to Adjustable Life policies varies by issue age, gender, smoking class and the overall impact of the mortality improvements.
Premium paying policies | Premium paying policies | Reduced Paid Up policies | Reduced Paid Up policies | |
---|---|---|---|---|
Average death benefit increase | Average death benefit increase | |||
Risk class | Issue ages <= 45 | Issue ages> 45 | Issue ages <= 45 | Issue ages> 45 |
MNS | 13.0% | 9.5% | 10.0% | 5.5% |
FNS | 9.0% | 6.0% | 7.0% | 3.5% |
MSM | 20.0% | 19.5% | 13.5% | 10.5% |
FSM | 14.5% | 12.0% | 10.5% | 5.5% |
Is this the last time Adjustable Life policies will be adjusted?
It is not possible to predict if another adjustment will occur. Whether an adjustment is needed continues to depend on our future expectations of the pricing factors which impact the policy's cost basis.
However, as explained in the adjustment provision of the adjustable life policy, the policy is only adjustable every third policy anniversary.
Why are only three years of cash values shown in the client letters?
The cash value of the adjustable life policy is the amount available in cash if your client was to cancel their policy (also known as a surrender), a portion of which may be taxable on surrender. The cash value of the policy on each policy anniversary is shown on your client's annual statement.
Since the policy is adjustable every third policy anniversary, cash values beyond the next three years are not guaranteed. Policy loans and any premium arrears will be deducted from this cash value prior to payment.
Why are only three years of paid-up values shown in the client letters?
The paid-up value of the adjustable life policy is the amount of basic insurance benefit that will remain in force if your client decides to stop making premium payment.
Since the policy is adjustable every third policy anniversary, paid-up values beyond the next three years are not guaranteed. Cash values are used in the calculation of paid-up values, therefore, policy loans and any arrears which impact cash values will also impact paid-up values.
Sun Adjustable Life is a non-participating product issued by Sun Life Financial from 1983 to 1994. The premiums, the adjustable life benefit and the total disability benefit can be adjusted every third policy anniversary. We refer to the adjustable life benefit as the “basic insurance” benefit and the total disability benefit as the “waiver of premiums” benefit in the policyholder annual statement.
The last adjustment for these policies was more than 10 years ago, starting with clients with policy anniversaries in January 1995. Currently, there are about 3,500 adjustable life policies in-force. About two-thirds will receive a premium increase or the adjustable life benefit decrease at their next triennial anniversary, starting June 1, 2007.
How will clients find out about this re-pricing?
Starting in April 2007, clients who will experience an adjustment (premium increase or basic insurance benefit decrease) will receive a notification letter about 60 days before the policy’s triennial policy anniversary.
Clients who will not experience an adjustment will also receive a letter informing them that we have reviewed their policy that no adjustment is necessary at this time. This letter will also advise them of their policy values for the next three years.
How will I know which of my clients are affected?
At each client’s triennial anniversary, the advisor will receive a copy of the client letter through the Activity Centre
For policies with no servicing advisor please contact the Customer Service Centre at 1-800-786-5433.
What does the client letter say?
The content of the notification letter your client receives will depend on the choices they made for previous price adjustments and whether they previously elected the reduced paid-up option:
Notification letter #1 is for policyholders who can select between a premium increase or a decrease on their basic insurance benefit.
Here is a sample letter that was sent to clients in the previous price adjustment when cost basis was increased.
Notification letter #2 is for policyholders who, at the time of a previous adjustment, opted to maintain their current premium and automatically receive a reduction on the basic insurance benefit for all future re-pricings where the cost is higher.
Notification letter #3 is for Reduced Paid-Up policyholders who will automatically receive a decrease on the basic insurance benefit.
Notification letter #4 is for policyholders who will not receive any adjustments.
How does the adjustable life product work?
As explained in the adjustment provision of the adjustable life policy, the adjustable life benefit, the total disability benefit and the premium amounts are adjustable every three years when the policy’s cost basis is reviewed. This cost basis is determined according to our future expectations of pricing factors such as investment returns, mortality, expenses, taxes, inflation and lapses.
If the cost basis has decreased, we will automatically increase the basic insurance benefit per unit, without requiring evidence of insurability. The premium will not change.
If the cost basis has increased, most clients have the following options:
Category 1: increase the premium and maintain the basic insurance benefit at the current level,
Category 2: maintain the current premium and reduce the basic insurance benefit
Cash values and paid-up values are also adjusted accordingly.
If the client previously selected to decrease the basic insurance benefit when the cost basis has increased, the only option for all future cost basis increases is a reduction of this benefit. This means the option to increase the premium and maintain the current basic insurance benefit is not available to them. This benefit will never reduce below the minimum stated in the policy.
If the client previously elected the reduced paid-up option, they will automatically receive a decrease on their basic insurance benefit when an adjustment is required due to a cost basis increase. The minimum basic insurance benefit stated in the policy is forfeited when the Reduced Paid-Up option is elected.
Why are Adjustable Life policies adjusting now?
Although the policy’s cost basis is reviewed every three years, the last time an adjustment occurred was more than 10 years ago. Since then, investment returns on these policies (and similar policies) have declined. During the same period, there was improvement in other pricing factors, such as mortality, which offset most of these investment losses. This meant an adjustment to premium and basic insurance benefit amounts wasn’t necessary.
At this time, while there continues to be improvement in some pricing factors, the improvement is no longer enough to compensate for the continued lower interest rate environment. As a result, an adjustment to most Adjustable Life policies is now necessary.
Why will some clients have a different adjustment than others?
The required adjustment to Adjustable Life policies varies by issue age, gender, smoking class and whether the adjustment is achieved through a premium increase or basic insurance benefit decrease.
The overall average for the:
Premium paying policies | Premium paying policies | Premium paying policies | Premium paying policies | RPU policies | RPU policies | |
---|---|---|---|---|---|---|
Average premium increase | Average premium increase | Average basic insurance benefit decrease | Average basic insurance benefit decrease | Average basic insurance benefit decrease | Average basic insurance benefit decrease | |
Risk class | Issue ages <= 50 | Issue ages > 50 | Issue ages <= 50 | Issue ages> 50 | Issue ages <= 50 | Issue ages> 50 |
MNS | 18% | 1% | 7% | 0% | 17% | 10% |
FNS | 53% | 25% | 18% | 9% | 36% | 17% |
MSM | 56% | 41% | 17% | 14% | 22% | 15% |
FSM | 43% | 22% | 14% | 6% | 36% | 14% |
Is this the last time Adjustable Life policies will be adjusted?
It is not possible to predict if another adjustment will occur. Whether an adjustment is needed continues to depend on our future expectations of the pricing factors which impact the policy’s cost basis.
For example, it is possible that the cost basis could decrease. If this happens, then the basic insurance benefit would increase. Your client’s premium would not be changed.
It is also possible the cost basis could increase again. If this happens, your client’s premium may increase or the basic insurance benefit may reduce, depending on which option was used for this adjustment. The basic insurance benefit will never reduce below the minimum stated in the policy, unless the client previously elected the reduced paid-up option.
However, as explained in the adjustment provision of the adjustable life policy, the policy is only adjustable every third policy anniversary.
Why are only three years of cash values shown in the client letters?
The cash value of the adjustable life policy is the amount available in cash if your client was to cancel their policy (also known as a surrender), a portion of which may be taxable on surrender. The cash value of the policy on each policy anniversary is shown on your client’s annual statement.
Since the policy is adjustable every third policy anniversary, cash values beyond the next three years are not guaranteed. Policy loans and any premium arrears will be deducted from this cash value prior to payment.
Why are only three years of paid-up values shown in the client letters?
The paid-up value of the adjustable life policy is the amount of basic insurance benefit that will remain in force if your client decides to stop making premium payment.
Since the policy is adjustable every third policy anniversary, paid-up values beyond the next three years are not guaranteed. Cash values are used in the calculation of paid-up values, therefore, policy loans and any arrears which impact cash values will also impact paid-up values.
Will clients receiving Letter #2 or Letter #3 have the option to increase premiums instead of automatically reducing the basic insurance benefit?
Unfortunately this is not an option for these clients. Simply put, the policy does not allow for it. The policy provides that a basic insurance benefit decrease is the only option if the client previously chose to decrease the basic insurance benefit instead of receiving a premium increase. In addition, the election form and confirmation letter from the last adjustment were also clear on the implications of choosing a basic insurance benefit decrease.
Our analysis shows that most policyholders in this situation will be receiving a basic insurance benefit decrease of less than 10%.
Plan type:
Years issued:
Issued ages:
Par plan
Source of Information:
EOS, September, 2003
Plan type:
Years issued:
Issued ages:
Par plan
Source of information
EOS - March, 2003
Introduction
Dividend options
Premiums
Total Disability Benefit
Non-forfeiture option
Additional information
Source of information
Sun Life Product Guide - January, 1948.
Introduction
Issue Rules
Death benefit
Coverage is level
Premiums
Premiums payable yearly, semi-annually, monthly
Dividend options
Cash Surrender Values
Non-Forfeiture Options
Riders and benefits
Other features
Introduction
Years issued
Issued ages
Dividend options
Death benefit
Conversion privileges
Total Disability Benefit
Accidental Death Benefit
Source of information
Sun Life Product Guide, Jan 1948.
Eos, March, 2003
Plan type: Endowment
Years issued: 1940-1985
Issue ages: 10-70
Could be issued as par or non-par
Source of information: EOS, September 2003
Introduction
Issue limits
Death benefit
Premiums
Dividend options
Cash Surrender Values
Non-forfeiture options
Special features
Riders and benefits
Source: Product brochure, issue date: September 1990
No longer for sale, April 1992
Introduction
Issue limits
Death benefit
Premiums
Dividend options
Cash Surrender Values
Non-forfeiture options
Riders and benefits
Other features
Source: Product brochure, issue date, September, 1990
Plan type: Life
Years issued: 1980-1982
Issued ages: 18-70
Par Plan
Source of information: Eos, March, 2003
Introduction
Issue limits
Death benefit
Premiums
Dividend options
Cash Surrender Values
Non-forfeiture options
Riders and benefits
Other features
Source: Product brochure, issue date: April, 1988 & Sept, 1990
Plan type: Endowment
Years issued: 1940-1982
Issued ages: 0-55
Par plan
Source of information: EOS, March, 2003
Plan type: Term
Years issued: 1970-1982
Issued ages: 20-55
Non-par plan
Source of information: EOS, September, 2003
Payments for this plan are not supported on Advisor Remittance.
Introduction
Issue limits - Interest Master
Issue limits - Interest Master 100
Death benefit
Premiums
Cash surrender values
Non-forfeiture options
Withdrawals & loans
Riders & benefits
Other features
Source of information
Product brochures, issue dates: April 87, June 87, Sep 90
Plan type: Life - Non-par
Years issued: 1971-1991
Issued ages: 20-75
Source
Sun Life Binder dated March 15, 1987
Sun Life product brochure dated January 1988
Plan type: Par
Introduction
Years issued
* Same characteristics as above, but the options are offered at age 18.
Issued ages
Death benefit
Non-forfeiture options
Source of information: EOS, March, 2003
Introduction
This plan (except single premium policies) is issued on the lives of children prior to the fifth birthday provides for a death benefit in respect of the first $1,000 of face amount as follows:
Source : Eos Software, September 2003
Plan type: Life
Years issued: 1925-1954
Issued ages: 15-70
Par plan
Source: EOS, September 2003
Plan type: Life
Years issued: 1930-1954
Issued ages: 15-55
Par plan
Source: EOS - September, 2003
Plan type: Life
Years issued: 1921-1960
Issued ages: 10-60
Could be issued as par or non-par
Source of information: EOS, September 2003
Plan type: Life
Years issued: 1921-1960
Issued ages: 10-60
Could be issued as par or non-par
Source of information: EOS, September 2003
Introduction
Issue limits
Death benefit
Premiums
Dividend options
Cash surrender values
Non-forfeiture options
Riders and benefits
Other features
Sources of information
Product no longer sold as of June 21, 2000
Is a participating whole life plan with a guaranteed graded premium payable for life, a guaranteed death benefit and guaranteed cash values. The plan provides pure whole life insurance with the emphasis on higher face amounts with a lower initial premium. The product is designed to meet the particular needs of the individual who needs permanent protection today but wants to defer some of the cost over the next ten years.
The initial premium starts at 50% of the ultimate premium and increases by 5% of the ultimate premium each year for 10 years. After 10 years the Guaranteed Cash Values of the Opus 10 policy will be the same As Opus 1. The ultimate premium for Opus 10 is higher than the level premium of Opus 1. Premium Offset is available and must be selected at the time of application. At the offset date a formal written election of premium offset must be submitted. The offset date will not occur until a policy has been in force for at least seven years. Under Premium Offset, policies with the Enhancement Premium will use allotted dividends and accumulated PUA surrender values to pay the policy premium and to purchase One Year Renewable Term up to the amount of the enhancement as it stood when the Premium Offset election became effective. High non-guaranteed cash values are possible under this plan as a result of Sun Life's Special Maturity Dividend (SMD). The SMD is paid upon either the death of the insured or surrender of a Sun Life Opus policy. Sun Life's current policy is to pay the SMD on death claims after a policy has been in force for at least 10 years and after 20 years if the policy has been surrendered. The SMD is not a contractual obligation and may be withdrawn at any time.
Introduction
Issue limits
Death benefit
Premiums
Dividend options
Cash surrender values
Non-forfeiture options
Riders & benefits
Other features
Source of information
Product brochure, issue date: April 92.
Opus 20 is participating life insurance which will become fully paid up following payment of premiums for 20 years. This plan provides for 20 years of guaranteed level premiums, guaranteed Death Benefit, and is available with the Plus Premium feature. High non-guaranteed cash values are possible under this plan as a result of Sun Life's Special Maturity Dividend (SMD). The SMD is paid upon either the death of the insured or surrender of a Sun Life Opus policy. Sun Life's current policy is to pay the SMD on death claims after a policy has been in force for at least 10 years and after 20 years if the policy has been surrendered. The SMD is not a contractual obligation and may be withdrawn at any time.
Introduction
Issue limits
Death benefit
Premiums
Dividend options
Cash surrender values
Non-forfeiture options
Riders and benefits
Other features
* The enhancement premium is not available with Opus 20. All additional and term benefit coverages will cease at the end of the premium payment period ( 20 years), with the exception of the Accidental Death Benefit and the Guaranteed Insurability Benefit. These coverages will continue to their normal expiry date.
Source of information
Product brochure, issue date: April 92, still current as of Oct 95
Plan type: Life
Years issued: 1994-1996
Issued ages: 16-75 (Single and Joint Life)
Par
Joint coverage
Sources of information
EOS, September 2003
Introduction
Issue limits
Death benefit
Premiums
Dividend options
Enhancement option
Cash surrender values
Non-forfeiture options
Withdrawals and loans
Riders and benefits
Source of information
Product brochure, issue date: January 1994
Product brochure, issue date: January 1995
Years issued: 1994-1996
Issued ages:
Par
Joint coverage
Sources of information
Eos, September 2003
Plan type:
Dividend options
Non-forfeiture options
Benefits available
Total Disability Benefit
Accidental Death Benefit
Source of information
Agents Manual - January, 1948
EOS, Sept, 2003
Dividend options
Non-forfeiture options
Benefits available
Total Disability Benefit
Accidental Death Benefit
Source:
Agents Manual - January, 1948
EOS, Sept, 2003
Dividend options
Non-forfeiture option
Benefits available
Total Disability Benefit
Accidental Death Benefit
Source of information
Agents Manual - January, 1948
EOS, Sept, 2003
Dividend options
Non-forfeiture options
Benefits available
Total Disability Benefit
Accidental Death Benefit
Source
Agents Manual - January, 1948
EOS, Sept, 2003
Dividend options
Non-forfeiture options
Benefits available
Total Disability Benefit
Accidental Death Benefit
Source:
Sun Life plan manual, September 1952
Introduction
Issue limits
Issue Ages:
Rate Bands:
Death benefit
Premiums
Dividend options
Cash Surrender Values
Non-Forfeiture Options
Riders and benefits
Other features
Introduction
Issue limits
Death benefit
Premiums
Return of premiums
Cash Surrender Values
Non-forfeiture options
Withdrawals and loans
Source:
Sun's Privilege Security User's Guide
Plan type: Life
Years issued: 1971-1979
Issued ages: 15-70
Par plan
Source of information:
EOS September 2003
Plan type: Endowment
Years issued: 1952-1979
Issued ages: 15-50
Par
Source of information:
EOS, September 2003
Introduction
Issue
Premiums
Source:
Brochure May 1996
Plan type: Life
Years issued: 1951-1979
Issued ages: Same as non-special plan
Non-par plan
The word "special" was used for a number of years to identify a product as being non-participating. For example, the difference between a life plan and a special life plan is that the "special" plan had lower premiums and no dividends are available.
Source:
EOS, September 2003
Introduction
Issue limits
Death benefit
Premiums
Cash Surrender Values
Non-forfeiture options
Withdrawals and loans
Source of information
Sun 50 Plus User's Guide, dated May 1996
No longer available for sale - Apr/92
Introduction
Issue limits
Death benefit
Premiums
Dividend options
Cash Surender Values
Non-forfeiture options
Riders and benefits
Other features
Source:
Product brochure, issue date: Sept 90
Introduction
Issue limits
Death benefit
Premiums
Dividend options
Cash Surrender Values
Non-forfeiture options
Riders and benefits available
Other features
Source:
Product brochures, issue date: April 1987 & Sep 1990
Product no longer available for sale - April 1992
Introduction
Issue limits
Death benefit
Premiums
Dividend options
Cash Surrender Values
Non-forfeiture options
Riders and benefits
Special features
Source:
Product brochure, issue date: April 1988 and September 1990
Introduction
Issue limits
Death benefit
Premiums
Dividend options
Cash surrender values
Non-forfeiture options
Riders and benefits
Other features
Source:
Product brochure, issue date September 1990
Introduction
Issue Limits
Death Benefit
Premiums
Dividend Options
Cash Surrender Values
Non-Forfeiture Options
Riders And Benefits
Other Features
Source Of Information
Sold between May 2005 and December 31, 2016
Replaced by SunUniversalLife II on January 1, 2017
Looking for information about Changes to Sun Universal Life and Sun Limited Pay Life pricing?
Target client profiles: Sun Limited Pay Life is ideal for families and juveniles or for estate and financial planning. Sun Limited Pay Life is suited to clients who want a guaranteed minimum payment for a guaranteed period of time, or clients who want to invest additional funds to increase their death benefit or tax-deferred savings growth.
Selling features: Sun Limited Pay Life provides the ability to guarantee coverage by making required payments over a chosen period of time with the option to take advantage of tax- deferred growth with investment accounts. Features include: payment to age 65, a child term benefit option, guaranteed insurability benefit, and a long-term managed portfolio account which offers a diversified pool of assets, stable returns , and a guaranteed minimum interest rate.
PDFs |
Statements |
Sample policy pages
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.
Sold between June 28, 2010 and December 31, 2016
Replaced by Sun Par Accumulator II on January 1, 2017
Target client profiles: Sun Par Accumulator 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.
Selling features: Sun Par Accumulator is a participating permanent life insurance policy that offers two guaranteed premium payment options, four dividend options and a variety of optional benefits.
PDFs
Sample policy pages
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.
Sold between June 28, 2010 and December 31, 2016
Replaced by Sun Par Protector II on January 1, 2017
Target client profiles: Sun Par Protector may be ideal for clients looking for estate protection, an opportunity for long-term, tax-preferred cash value growth or ways to enhance their cash flow during their retirement years.
Selling features: Sun Par Protector is a participating permanent life insurance policy that offers three guaranteed premium payment options, five dividend options and a variety of optional benefits.
PDFs
Sample policy pages
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.
Introduction
Issue ages
Term
Minimum size
Conversions
Premiums
Death benefit
Non-forfeiture option
Dividends
Available riders
Source of information:
Hard copy paper, dated July, 1, 1982
Plan type: Life - non-par
Years issued: 1982-1991
Issued ages: 50-70
Source of information
Sun Life Binder - March 15, 1987
Brochure - 01/88
Introduction
Issue limits
Death benefit
Premiums
Riders and benefits available
Source
Product brochure, issue date: April 1987 but still current as of March 1991
Product brochure is still applicable as of October 1995
Plan type: Term
Years issued: 1970-1982
Issued ages: 20-55
Non-par plan
Source of information:
EOS, September, 2003
Introduction
Issue limits
Death benefit
Premium
Riders and benefits
Source of information
Product brochure, issue date: April 1987
Introduction
Issue limits
Death benefit
Premiums
Riders and benefits available
Source
Company rate book, issue date: April 87 (still current as of March 91)
Company brochure, still current as of January 1995
Source of information
Note: Policies with issue dates before September 1989 may expire at the policy anniversary nearest to age 70.
Issue limits
Death benefit
Premiums
Riders and benefits available
Introduction
Issue limits
Death benefit
Premiums
Conversion credit
For policies issued February 12, 1996 to July 08, 2001
Riders and benefits available
Source of information
Company rate book, issue date: Sept 1989 but still current as of March 1991
Company rate card, issue date: May 1994, received October 1995
LifeGuide Newsletter: February 1998
Sold between January 1, 2017 and May 12, 2024
Replaced by Sun Life Evolve Term on May 13, 2024
Target Client profiles
SunSpectrum Term life insurance addresses the protection needs of a broad range of Clients. Clients can purchase the coverage they need while staying in their budget. Their choices include different term lengths and face amounts ranging from $50,000 to $15 million. This product helps satisfy the unique protection needs of many Canadians.
Selling features
SunSpectrum Term is ideal for:
Conversion options
Partial conversions with term carryover
7-year term to term conversion window
Marketing material
SunSpectrum Term Advisor Guide (A2219-en)
Sunspectrum Term Client Guide (A2239-E)
Which Sunspectrum Term for which Client? (A2223)
Sample policy pages
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.
Sample policy – one insured person
Sold between January 1, 2017 and May 12, 2024
Replaced by Sun Life Evolve Term on May 13, 2024
Target Client profiles
SunTerm life insurance can address a broad range of Client needs. With different term lengths – T10, T15, T20 and T30, combined with face amounts ranging from $250,000 to $15,000,000– SunTerm can satisfy the unique protection needs of many Canadians. SunTerm allows Clients to purchase the coverage they need while meeting their budget concerns.
Selling features
SunTerm is ideal for:
Conversion options
Partial conversions with term carryover
7-year term to term conversion window
Marketing material
SunTerm Advisor Guide (810-4207)
SunTerm Client Guide (810-4241)
Sample policy pages
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.
Sample policy – one insured person
Introduction
Band face amounts
Convertibility
Conversion credit (Available on policies issued on or after February 1996)
Accidental Death Benefit (ADB)
Guaranteed Insurability Benefit (GIB)
Total Disability Benefit (TDB)
Source of information
Eos, January 2004
Introduction
Sun Life's T100 product was adapted to the needs of a very competitive marketplace. Thanks to the benefits and the protection it offered and to the minimal requirements in terms of administration, it became an option for clients who wanted more for less. Whether they wanted to protect their investments or benefit from a solid insurance coverage despite having limited resources, the T100 was the solution. SunTerm 100 is a non-participating life plan with a level guaranteed premium and guaranteed death benefit; it was available as a single life policy or as joint coverage (either first or last to die). This product was only offered in Canada, it wasn't sold in Bermuda.
Premium payment options
Issue limits
Plan features
Benefit availability
Benefit | Issue age | Single Life | Joint 1st Dth | Joint 2nd Dth |
TDB - WP |
40 - 55 | Y | Y | Y *1 |
ADB |
40 - 65 | Y | N | N |
5/10 YRT |
40 - 64 | Y | N | N |
WPDIS *2 |
20 - 55 | Y | N | N |
WPDTH *2 |
20 - 60 | Y | N | N |
PPB |
40 - 55 | N | N | Y *4 |
PDB |
40 - 75 | N | N | Y *4 |
* 1. TDB - WP on one or both lives is available only with PDB
* 2. available only on owners
* 3. joint life benefits can be on one or both lives
* 4. PPB & PDB are not available in combination on the same life
Additional benefit information
Cash values
Policy fee
Taxation
Source:
Eos, September 2003
Sold between January 1, 2003 and December 31, 2016
Replaced by SunUniversalLife II on January 1, 2017
Rates
Target client profiles: SunUniversal Life may be ideal for individuals who have maximized their RRSP's, business owners looking to maintain the value of their business, and parents or grandparents who want to provide for children or grandchildren.
Selling features: SunUniversal Life provides permanent protection to meet long-term insurance needs along with the opportunity for tax-deferred growth in savings. Other features include a unique cost of insurance discount, investment bonus, and early death benefit on joint last-to-die policies.
PDFs
Investment account fact sheets
Statements
Sample policy pages
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 UL policy amendments
Sun UL policy amendment effective November 2007
Clients who purchased their SunUniversalLife (Sun UL) insurance policy before January 1, 2004 can now choose to add accounts based on the performance of managed funds to their investment account options.
Sun UL policy amendment effective April 2006
Policyholders who purchased SunUniversalLife (Sun UL) between January 1, 2004 and November 18, 2005, will receive a policy amendment which gives them the choice of adding managed accounts to their list of available investment account options.
Sold between September 30, 2019 and April 25, 2022
Target Client profiles: May be ideal for business owners, corporations and professionals looking to:
Selling Features
We designed SunUniversalLife Pro for business owners, corporations and professionals. It combines the guarantees they need with the choice and flexibility they want from a universal life solution. It can help business owners maximize shareholder value and meet their long-term business planning needs. Streamlined investment account options also make it easy for Clients to choose and manage investments.
PDFs
Investment account fact sheets
Sample policy pages
Features and benefits |
Adult plan |
Child plan |
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Issue ages Issue amounts |
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Plan types available |
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Limited payment options |
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Age at expiry |
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Conversion option |
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26 covered illnesses - full benefit payout |
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5 covered childhood illnesses - full benefit payout |
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8 partial payout illnesses - 15% up to $50,000 on each
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Return of premium on death (ROPD)
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Return of premium on cancellation or expiry (ROPC/E)
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Long-term care (LTC) conversion option
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Disability waiver benefit
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Smoking status |
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Teladoc Medical Experts |
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Features and benefits |
Adult plan |
Child plan |
---|---|---|
Issue ages Issue amounts |
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Plan types available |
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Limited payment options |
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Age at expiry |
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Conversion option |
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25 covered illnesses - full benefit payout |
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5 covered childhood illnesses - full benefit payout |
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Loss of independent existence (LOIE) - full benefit payout |
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4 partial payout illnesses - 15% up to $50,000 on each
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Return of premium on death (ROPD)
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Return of premium on cancellation or expiry (ROPC/E)
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Long-term care (LTC) conversion option
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Disability waiver benefit
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Smoking status |
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Best Doctors® services |
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Features and benefits |
Adult plan |
Child plan |
---|---|---|
Issue ages |
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Plan types available |
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Limited payment options |
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Age at expiry |
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Conversion option |
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24 covered illnesses - full benefit payout |
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2 additional illnesses - full benefit payout |
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5 covered childhood illnesses - full benefit payout |
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Coverage for childhood illnesses ends on the date of the insured person's 24th birthday |
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4 partial payout illnesses - 15% up to $50,000 on each
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Return of premium on death (ROPD)
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Return of premium on cancellation (or expiry) - ROPC(E)
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Long term care (LTC) conversion option |
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Weekly LTC benefit = CII amount being converted
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Disability waiver benefit |
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Smoking status |
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Best Doctors® services - unlimited access |
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Plan:
Sun Life Financial Critical Illness Insurance plan - 24 illnesses
Introduced:
January 23, 2006
Plan types:
15 year limited pay option available, special quote basis (effective January 29, 2007).
Issue limits:
Minimum face:
Maximum face:
* special consideration may be given for child plans with issue limits up to $500,000.
Premium bands:
Policy fee:
Convertibility:
T10 policy may be converted to a Sun CII - T75 policy up to the policy anniversary following the insured person’s 65th birthday.
Covered conditions:
*Coverage for childhood illnesses ends at age 24
Survival period:
Benefits and riders:
Return of Premium Death benefit:
We will pay 100% of the returnable premiums (described below) to the ROPD beneficiary if the insured person dies while the policy is in force and a critical illness insurance benefit is not payable.
Returnable premiums:
The returnable premium amount is the sum of all premiums paid for the policy, including rated extras and policy fees, plus any amount in the premium fund, minus:.
The amount we pay will not be greater than the critical illness insurance benefit amount on the date the policy ends. We will pay either a return of premium benefit or a critical illness insurance benefit, but not both.
Return of Premium on Cancellation/Expiry (ROPC/E) – age 65 (T10 or T75 only):
Cancellation - We will pay the owner the returnable premium amount if they cancel the policy on or after the policy anniversary following the insured person’s 65th birthday and a critical illness insurance benefit is not payable.
Expiry - We will pay the returnable premium amount to the owner if the policy expires (ends) and critical illness insurance benefit is not payable. The policy will expire on the policy anniversary following the insured person’s 75th birthday.
Return of Premium on Cancellation/Expiry (ROPC/E) – 15 years (T10 or T75 only):
Cancellation - We will pay the owner the returnable premium amount if they cancel the policy on or after the 15th policy anniversary and a critical illness insurance benefit is not payable.
Expiry - We will pay the returnable premium amount to the owner if the policy expires (ends) and critical illness insurance benefit is not payable. The policy will expire on the policy anniversary following the insured person’s 75th birthday.
Return of Premium on Cancellation (ROPC) – age 65 (T100 only):
Cancellation - We will pay the owner the returnable premium amount if they cancel the policy on or after the policy anniversary following the insured person’s 65th birthday and a critical illness insurance benefit is not payable.
Return of Premium on Cancellation (ROPC) – 15 years (T100):
Cancellation - We will pay the owner the returnable premium amount if they cancel the policy on or after the 15th policy anniversary and a critical illness insurance benefit is not payable.
Expiry - We will pay the returnable premium amount to the owner if the policy expires (ends) and critical illness insurance benefit is not payable. The policy will expire on the policy anniversary following the insured person’s 75th birthday.
Return of Premium on Cancellation/Expiry (ROPC/E) – age 35 (T10 or T75 only):
Cancellation - We will pay the owner the returnable premium amount if they cancel the policy on or after the policy anniversary following the insured person’s 35th birthday and a critical illness insurance benefit is not payable.
Expiry - We will pay the returnable premium amount to the owner if the policy expires (ends) and critical illness insurance benefit is not payable. The policy will expire on the policy anniversary following the insured person’s 75th birthday.
Return of Premium on Cancellation/Expiry (ROPC/E) – age 35 (T100 only):
Cancellation - We will pay the owner the returnable premium amount if they cancel the policy on or after the policy anniversary following the insured person’s 35th birthday and a critical illness insurance benefit is not payable.
Automatic Increase Benefit (AIB)
If selected, this benefit automatically increases the critical illness insurance benefit by a set amount (25% or 50%) on the 5th and 10th policy anniversary dates. The premium for the AIB is guaranteed at the time of issue and is paid for the first 10 years of the policy.
Disability Waiver Benefit (DWB)
Issue ages: 20-55
If the insured person is totally disabled for a minimum of 6 months, premiums will be waived for the duration of the disability or until the policy expires.
Proof of disability must be submitted within one year of the date the disability began. If we receive the proof of disability more than one year after the disability began we will only waive premiums for a maximum of 12 months prior to receiving the proof, regardless of when the disability actually started. A full description of the waiver of premium can be found in the policy.
This benefit is not available on child plans. Therefore, if the child has a Sun CII policy in force and wants to add the waiver at age 20, he is required to submit an application for a new policy at that time.
Note: We will not waive premiums if the insured person’s disability begins after the policy anniversary following the insured person’s 60th birthday.
Allowed plan changes:
The following plan changes are allowed if the appropriate forms are submitted.
Best doctors
*Please refer to the list below for the definitions of an immediate family member;
Plan features that have been changed - effective January 26, 2009:
Plan |
Sun Life Financial Critical Illness Insurance plan - 24 illnesses |
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Introduced |
March 11th, 2005 |
Changed |
January 23nd,
|
Plan Types |
Term 10 (T10) -10 year renewable premiums every 10 years until the policy ends at the policy anniversary following age 75. Term 75 (T75) -Guaranteed level premiums to the age of 75. Lifetime (T100) - Guaranteed premiums to age 100 at which time the policy is paid up. |
Issue Limits |
Adult age: 20-65 Minimum face:
Maximum face:
|
Premium Rate Bands Policy fees |
Policy Fee $75.00 |
Convertibility |
T10 policy may be converted to a Sun Life Critical Illness Insurance - T75 policy on or before the earlier of either the policy anniversary following age 60 of the insured, to the end of the 10th policy year. |
Covered Conditions |
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Partial Payout |
10% of benefit amount to maximum of $50,000, One claim per illness.
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Covered Childhood conditions |
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Survival Period |
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Benefits and Riders |
Return of Premium Death benefit The Return of Premium Death Benefit is 100% payable to the beneficiary if insured person dies while the policy is in force and a critical illness insurance benefit is not payable.
The return of premium on death benefit amount is the sum of all premiums paid for the policy, including rated extras.
Return of Premium on Cancellation/Expiry (ROPC/E) T10 or T75 only Expiry - We will pay the returnable premium amount to the owner if the policy ends (expires) on the policy end date shown at the beginning of the policy under the heading "policy particulars" and critical illness insurance benefit is not payable. Cancellation - We will pay the returnable premium amount if they cancel this policy after it has been in effect for a least 15 years and a critical illness insurance benefit is not payable.
Return of Premium on Cancellation (ROPC) Lifetime (T100) only Cancellation - We will pay the returnable premium amount if they cancel this policy after it has been in effect for a least 15 years and a critical illness insurance benefit is not payable.
Automatic Increase Benefit (AIB) If selected the critical illness insurance benefit amount automatically increases by a set amount on the 5th and 10th policy anniversary dates. The extra premium for this attachment is payable for 10 years.
Disability Waiver Benefit (DWB) If the insured person is totally disabled for a minimum of 6 months, premiums will be waived for the duration of the disability or until the policy expires. |
Allowed Plan Changes |
The following plan changes are allowed if the appropriate forms are submitted.
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Best Doctors |
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Sources:
Plan details |
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Issue ages |
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Coverage type |
Comprehensive When the insured person qualifies for this income-style benefit, we pay it no matter where they live or receive care within Canada or the United States. With income-style benefits, clients do not need to submit receipts to receive their weekly benefit; they can use the money however they choose. |
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Claim triggers |
A claim is paid when the insured person:
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Weekly benefit amounts |
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Waiting periods |
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Benefit periods |
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Payment period options |
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Inflation protection |
Every three years an increase in coverage is offered, without new evidence of insurability, based on the increase in long term care costs. The offer will be priced according to attained age. Offers are not made if:
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Waiver of premium when claim is approved |
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Spousal waiver of premium |
To qualify for this benefit, all required premiums must have been paid on both spouses' policies and both policies have been continuously in effect and without claim for 10 years (or until both spouses have reached age 86 if earlier). Premiums are waived if:
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Extended term insurance |
If premiums are not paid, coverage will continue for an additional period of time determined by how long coverage has been in place, age, gender and premium payment period. Benefits will not change. |
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Premium guarantee |
Premiums are guaranteed on a five year rolling basis. |
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Plan of care |
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Withdrawable premium fund |
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Support services |
LifestageCare™ services
LifestageCare™ is a third-party service and is not a guaranteed part of the LTCI policy. It may be withdrawn or altered at any time. |
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Policy Fees |
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Clarica Long Term Care Insurance – Inflation protection offers
We mail Inflation protection offers to qualifying policy owners on every third policy anniversary date.
We make offers every three years unless one of the following conditions applies:
Why do you send Inflation protection offers?
An Inflation protection offer gives policy owners an opportunity to increase their coverage without evidence of insurability. The cost of the additional coverage is based only on the insured person's current age.
We mail the offer letter and form about 3 months before the policy anniversary date. Clients who wish to accept the offer are asked to reply by returning the form by a specific date (35 days from the mailed date) allowing us time to process the offer before their policy anniversary.
If we haven't received the completed form by the return date
Note: The advisor of record is the relationship manager for the client and will receive a copy of the offer.
Optional Return of premium on death (ROPD)
Table of percentages used to calculate the Optional Return of premium on death benefit
Number of whole years the policy was in effect | Percentage |
Number of whole years the policy was in effect |
Percentage |
Number of whole years the policy was in effect |
Percentage |
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1 year |
5% |
8 years |
40% |
15 years |
75% |
2 years |
10% |
9 years |
45% |
16 years |
80% |
3 years |
15% |
10 years |
50% |
17 years |
85% |
4 years |
20% |
11 years |
55% |
18 years |
90% |
5 years |
25% |
12 years |
60% |
19 years |
95% |
6 years |
30% |
13 years |
65% |
20 years or later |
100% |
7 years |
35% |
14 years |
70% |
Plan details |
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Issue ages |
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Coverage type |
Comprehensive When the insured person qualifies for this income-style benefit, we pay it no matter where they live or receive care within Canada or the United States. With income-style benefits, clients do not need to submit receipts to receive their weekly benefit; they can use the money however they choose. |
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Claim triggers |
A claim is paid when the insured person:
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Weekly benefit amounts |
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Waiting periods |
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Benefit periods |
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Payment period options |
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Optional Return of Premium on Death (ROPD) |
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Inflation protection |
Every three years an increase in coverage is offered, without new evidence of insurability, based on the increase in long term care costs. The offer will be priced according to attained age. Offers are not made if:
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Waiver of premium when claim is approved |
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Spousal waiver of premium |
To qualify for this benefit, all required premiums must have been paid on both spouses' policies and both policies have been continuously in effect and without claim for 10 years (or until both spouses have reached age 86 if earlier). Premiums are waived if:
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Extended term insurance |
If premiums are not paid, coverage will continue for an additional period of time determined by how long coverage has been in place, age, gender and premium payment period. Benefits will not change. |
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Premium guarantee |
Premiums are guaranteed on a five year rolling basis. |
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Plan of care |
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Withdrawable premium fund |
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Support services |
LifestageCare™ services
LifestageCare™ is a third-party service and is not a guaranteed part of the LTCI policy. It may be withdrawn or altered at any time. |
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Policy Fees |
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Clarica Long Term Care Insurance – Inflation protection offers
We mail Inflation protection offers to qualifying policy owners on every third policy anniversary date.
We make offers every three years unless one of the following conditions applies:
Why do you send Inflation protection offers?
An Inflation protection offer gives policy owners an opportunity to increase their coverage without evidence of insurability. The cost of the additional coverage is based only on the insured person's current age.
We mail the offer letter and form about 3 months before the policy anniversary date. Clients who wish to accept the offer are asked to reply by returning the form by a specific date (35 days from the mailed date) allowing us time to process the offer before their policy anniversary.
If we haven't received the completed form by the return date
Note: The advisor of record is the relationship manager for the client and will receive a copy of the offer.
Optional Return of premium on death (ROPD)
Table of percentages used to calculate the Optional Return of premium on death benefit
Number of whole years the policy was in effect |
Percentage |
Number of whole years the policy was in effect |
Percentage |
Number of whole years the policy was in effect |
Percentage |
---|---|---|---|---|---|
1 year |
5% |
8 years |
40% |
15 years |
75% |
2 years |
10% |
9 years |
45% |
16 years |
80% |
3 years |
15% |
10 years |
50% |
17 years |
85% |
4 years |
20% |
11 years |
55% |
18 years |
90% |
5 years |
25% |
12 years |
60% |
19 years |
95% |
6 years |
30% |
13 years |
65% |
20 years or later |
100% |
7 years |
35% |
14 years |
70% |
Plan details |
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Issue ages |
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Coverage type |
Comprehensive When the insured person qualifies for this income-style benefit, we pay it no matter where they live or receive care within Canada or the United States |
Facility Care We pay this income-style benefit if care is provided in a long-term care facility in Canada. A similar facility in the United States may be considered, subject to our approval. |
With income-style benefits, clients do not need to submit receipts to receive their weekly benefit; they can use the money however they choose. |
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Claim triggers |
A claim is paid when the insured person:
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Weekly benefit amounts |
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If both benefit types are selected, the comprehensive weekly benefit amount must be at least 50% of the facility care weekly benefit amount. For example, if the facility care benefit is $1,000, the comprehensive benefit must be at least $500. |
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Waiting periods |
Comprehensive
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Facility Care
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Benefit periods |
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The policy owner may choose a different benefit duration for each benefit type. |
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Payment period options |
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Return of premium on death (ROPD) |
This optional benefit returns a portion of premiums to the owner of the policy (or the owner's estate) if the insured person dies.
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Inflation protection |
Weekly benefit increases by 3% each policy anniversary - the date the policy became effective - while the weekly benefit is payable.
Weekly benefit increases by 2% each policy anniversary if the weekly benefit is not payable. Weekly benefit increases by 3% each policy anniversary while the weekly benefit is payable.
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Waiver of premium when claim is approved |
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Spousal waiver of premium |
To qualify for this benefit, all required premiums must have been paid on both spouses' policies and both policies have been continuously in effect and without claim for 10 years (or until both spouses have reached age 86 if earlier). Premiums are waived if:
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Extended term insurance |
If premiums are not paid, coverage may continue for a limited time based on:
While extended term insurance is in effect:
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Premium guarantee |
Premiums are guaranteed on a five year rolling basis. |
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Plan of care |
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Withdrawable premium fund |
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Support services |
LifestageCare™ services
LifestageCare™ is a third-party service and is not a guaranteed part of the LTCI policy. It may be withdrawn or altered at any time. |
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Policy Fees |
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Return of premium on death (ROPD)
Table of percentages used to calculate the Return of premium death benefit
Number of whole years your policy was in effect |
Percentage |
Number of whole years the policy was in effect |
Percentage |
Number of whole years the policy was in effect |
Percentage |
---|---|---|---|---|---|
1 year |
5% |
8 years |
40% |
15 years |
75% |
2 years |
10% |
9 years |
45% |
16 years |
80% |
3 years |
15% |
10 years |
50% |
17 years |
85% |
4 years |
20% |
11 years |
55% |
18 years |
90% |
5 years |
25% |
12 years |
60% |
19 years |
95% |
6 years |
30% |
13 years |
65% |
20 years or later |
100% |
7 years |
35% |
14 years |
70% |
Introduction
Covered illnesses
Definitions
Blindness: Permanent and uncorrectable loss of sight in both eyes, as confirmed by an ophthalmologist registered to practice in Canada. The corrected visual acuity must be 20/200 or worse in both eyes, or the field of vision must be less than 20 degrees in both eyes.
Cancer: A malignant tumor characterized by the uncontrolled growth and spread of malignant cells and the invasion of tissue.
Excluded: Stage A prostate cancer, Dukes' stage A colon cancer, pre-malignant lesions, benign tumors or benign polyps, carcinoma in situ, any skin cancer except malignant melanoma invading into the dermis or deeper, any tumor in the presence of the human immunodeficiency virus. There shall be no coverage under the Insured Condition definition of cancer if any symptom or medical problem, which initiated any investigation leading to the diagnosis of cancer, commenced within 90 days following the policy issue date or any reinstatement date.
Coronary Artery Bypass Surgery: Heart surgery to correct narrowing or blockage of one or more coronary arteries with bypass grafts. The surgery must have been recommended by a consultant doctor who is a certified cardiologist. Excluded: non-surgical techniques such as balloon angioplasty, laser relief of an obstruction, or other intra-arterial procedures.
Deafness: The diagnosis, by a certified otolaryngologist, of the permanent loss of hearing in both ears, with an auditory threshold of more than 90 decibels.
Heart attack: (Myocardial Infarction): The death of a portion of heart muscle resulting from a blockage of one or more coronary arteries. The diagnosis must be based on all of: chest pain, associated new electrocardiographic (ECG) changes; and significant elevation of cardiac enzymes.
Kidney failure: The diagnosis by a doctor of irreversible failure of both kidneys form any cause which necessitates regular treatment by dialysis or kidney transplantation.
Major organ transplant as recipient: A surgery, as the receipt for transplantation of any of the following organs or tissues: heart, liver, lung, kidney or bone marrow.
Multiple Sclerosis: Confirmation, by a consultant doctor who is a certified neurologist, of a definite diagnosis of multiple sclerosis producing at least moderate neurological abnormalities which have persisted for a continuous period of 180 days and resulted in measurable disability. The diagnosis must be supported by modern investigative techniques.
Paralysis: The diagnosis by a doctor of the complete and permanent loss of use of two or more limbs through physical paralysis, for a continuous period of 180 days.
Stroke: The diagnosis by a doctor of a cerebrovascular incident caused by infarction of brain tissue, hemorrhage, or embolism producing measurable neurological deficit persisting for at least 30 days following the occurrence of the stroke. Conditions excluded are: transient ischemic attacks and vertbro-basilar insufficiency.
Waiting period - Provided the Insured is alive, the sum insured will be paid 30 days (longer periods apply for paralysis, cancer, multiple sclerosis) after the initial diagnosis of, or surgery for one of the stated conditions.
Issue limits
Rate bands
Premiums
Riders and benefits available
1. dies before age 75 and hasn't made a claim OR
2. is diagnosed with cancer within 90 days of the policy issue date or any reinstatement date.
Source:
Sun LifeAssist Product Reference Guide, November 1996
Sun Long Term Care Insurance - Dec 07, 2013 – June 25, 2021
Plan Details |
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Issue Ages |
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Coverage type |
A permanent insurance policy that provides protection for the entire lifetime of the insured person when they meet the requirements to qualify for this benefit, as long as they pay the required premiums or extended term insurance is available. When the insured person qualifies for this income-style benefit, we pay it no matter where they live or receive care within Canada or the United States. With income-style benefits, clients do not need to submit receipts to receive their weekly benefit; they can use the money however, they choose. |
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Claim Triggers |
A claim is paid when the insured person meets at least one of the following criteria: Needs constant supervision for protection from threats to their physical health and safety as the result of deterioration in or a loss of:
They require substantial physical assistance, with or without assistive devices, to safely and completely perform two or more activities of daily living (ADL)(bathing, dressing, toileting, transferring, continence and feeding). They require stand-by assistance for bathing and transferring. Stand-by assistance means another person must always be within arm’s reach of the insured person so they may safely and completely perform the activities of bathing and transferring. |
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Weekly Benefit Amounts |
Minimum : $150.00 |
Maximum $2,300.00 |
Waiting Periods |
The waiting period is the length of time the insured person must be continuously dependent before they submit a claim. It starts on the date they first require assistance for two or more ADL or the date they first require continual supervision. There are two options:
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Benefit Periods |
The benefit period is the length of time we may pay a claim.
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Payment Period Options |
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Premium guarantee |
The initial premium won't change for the first five policy years. After this period, we may increase or decrease the premium on a policy anniversary. If we change the premium, we will tell the policy owner in advance and that premium is guaranteed for at least another five policy years. |
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Withdrawable premium fund |
Yes |
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Policy Fees |
$150.00 |
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Built in features |
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First Payment Bonus |
When we approve a new claim, the first payment includes a bonus amount that is equal to 12 times the weekly amount. If the insured is receiving palliative care and qualifies for benefits, the bonus is equal to four times the weekly amount. |
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Palliative care (end-of-life care) |
Regardless of the waiting period selected, a claim may be submitted 30 days after the insured:
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Waiver of Premium |
When we approve a claim for benefits on the insured person, we waive premiums for the policy. The premiums must be paid until we notify the policy owner that we've approved the claim. |
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Spousal waiver of premium |
If we've issued a long term care insurance policy on the insured person's spouse* and approved a claim for benefits on that policy, we may waive premiums for the insured person's policy. To have premiums waived, both policies must have spousal waiver. Each policy must have been continuously in effect with no approved claim, from the dates they came into effect until:
* Spouse means the person who is married to the insured person, is in a civil union with the insured person who lives with the insured person in a conjugal relationship for at least 12 consecutive months before the date a claim is submitted for the spouse. We will waive premiums for the policy when we're paying benefits for the spouse's policy. We will continue to waive premiums for the policy even after we've paid benefits for the entire benefit period for their policy. We will also waive premiums for the policy if the spouse dies while their insurance is in effect, whether or not we were paying benefits at the time they die. We will require proof of the spouse's death. The premiums for the policy must be paid until we notify the client that the request is approved. |
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Extended term insurance |
If premiums are not paid and the policy has been in effect for the number of years set out in the Extended term insurance schedule in the policy, the policy will automatically continue for a period of time. At the end of that period, the policy ends. The policy continues in effect if:
The weekly amount, waiting period and benefit period will not change. While the policy continues as extended term insurance:
If we approve a claim while extended term insurance is in effect, the policy continues as set out in the schedule. If we stop paying a claim before the end of the last available year shown in the schedule, the policy continues as extended term insurance. If we're still paying benefits at the end of the last available year shown in the schedule, we will continue to pay benefits while the insured person qualifies. On the date they no longer qualify, the policy ends. |
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Plan of care |
The insured person is entitled to one free plan of care. A request for a plan of care can be made after a claim has been approved and while the insured person is dependent. The plan of care will outline the type and amount of care the insured person requires. It will also explain how care can be provided and if government programs are available. |
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Optional benefits |
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Inflation protection |
While inflation protection is in effect, we increase the weekly amount on each policy anniversary, as described below. Increases are compounded annually and rounded to the nearest dollar and there are no caps on increases. Option A The weekly benefit amount increases by 3% each policy anniversary - the date the policy became effective - when the benefits are payable. Increases will be compounded annually and rounded to the nearest dollar and there are no caps on increases. If benefits are no longer payable on a policy anniversary, the weekly benefit amount will not increase. Any accumulated increase remains in effect. Option B The weekly benefit amount increases on each policy anniversary while inflation protection is in effect. . The increase we apply is:
Increases are compounded annually and rounded to the nearest dollar and there are no caps on increases. The benefit maximum may exceed $2,300 per week due to inflation protection increases. |
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Return of premium on death |
Issue ages 21 to 65. If the insured person dies while the policy is in effect, we will pay the returnable premium amount, as described below, to the ROPD beneficiary that was named in writing, the owner of the policy, or their estate. The returnable premium amount is the sum of all premiums paid for the policy, minus:
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Description:
Children's Insurance Benefit provides level non-convertible term insurance on each child of the primary life insured until the child reaches age 22 or until the primary life insured is 70, whichever is sooner.
Issuing rules:
All children of the life insured under the basic policy are covered, provided:
Conversion option:
After the death of the base life insured:
Details of rider:
Description:
Executive GIB is available on Sun UL coverage where the minimum Face Amount is $250,000.
Although the Executive GIB benefit is similar to GIB, the details are quite different. At issue, the designated life insured can choose how many elections are required, exactly when they will be required, and the Face Amount of each election.
Issue Rules:
Benefit limits:
Description:
The Family Insurance Benefit provides the benefits of both the Spousal Insurance Benefit and the Children's Insurance Benefit. The premium for this benefit is the sum of the premiums for the Spousal and Children's Insurance Benefits.
Spousal Benefit:
The Spousal Benefit provides Level Convertible Term Insurance on the spouse of the primary life insured until the spouse reaches age 65, and is available to spouses aged 18 to 50. Face Amounts must be a minimum of $25,000 and a maximum equal to the Basic Face Amount, or total coverage if enhanced, of the life insured's policy.
Children's Benefit:
The Children's Benefit provides Level Non-convertible Term Insurance on each child of the primary life insured until the child reaches age 22 or until the primary life insured is 70, whichever is sooner. Each child is covered for 20% of the Face Amount of the basic policy, or of total coverage if enhanced, subject to a minimum of $5,000 and maximum of $25,000.
Both the Family Security Benefit and the Modified Family Security Benefit are five-year term riders. In the event of death while either of these benefits is in force, the amount payable at death under the basic policy will be increased by the amount of assurance under the rider.
Renewal and conversion privileges are available. Those for the Modified Family Security Benefit are more restricted than those for the Family Security Benefit, as the former is designed primarily for use in certain borderline and substandard cases when the Family Security Benefit cannot be offered.
Description:
Provides coverage to age 75, guaranteed renewable every 5 years without evidence of insurability at attained age premium rates.
Issue Rules:
Benefit Limits:
* For term benefits, the basic coverage (or in the case of an Enhanced Life policy, the basic plus enhancement amount) must be at least 25K
New Policy:
Benefit permits additional insurance to be purchased on the life insured without evidence of insurability.
The first election can be made at any time after 2 years from date of issue, but no earlier than age 24.
Subsequent elections can be made at any time provided 2 years have passed since the last election, and no later than age 45.
Issue Rules:
Benefit Limits:
New policy:
NOTE: If a GIB option is exercised and the original policy has the premiums being waived by the Waiver of Premium benefit, premiums on the new policy will also be waived provided it has premiums payable for life.
Benefit permits additional insurance to be purchased on the life insured without evidence of insurability.
The first election can be made at any time after 2 years from date of issue, but no earlier than age 24.
Subsequent elections can be made at any time provided 2 years have passed since the last election, and no later than age 45.
Issue Rules:
Benefit Limits:
New policy:
NOTE: If a GIB option is exercised and the original policy has the premiums being waived by the Waiver of Premium benefit, premiums on the new policy will also be waived provided it has premiums payable for life.
Benefit permits additional insurance to be purchased on the life insured without evidence of insurability.
Options dates:
New policy:
NOTE: If a GIB option is exercised and the original policy has the premiums being waived by the Waiver of Premium benefit, premiums on the new policy will also be waived provided it has premiums payable for life.
Description:
GIB guarantees the policy owner the right to purchase additional insurance without evidence of insurability every three years, or on family dates, regardless of health. A family date occurs upon the birth of a living child, adoption by or marriage of the life insured. A policy may have either GIB or Executive GIB, but not both, on the same policy.
Issue Rules:
Benefit Limits:
Notes:
This benefit enables the policy owner to select the amount of Plus Premium to be waived upon the disability of
the life insured and/or the death/disability of the policy owner, provided that there is a waiver benefit on the basic policy.
The amount selected may be equal to or less than the Plus Premium amount. If after policy issue, the Plus Premium is reduced or canceled, the PPWB amount will not automatically change. Upon disability of the life insured and/or policy owner, where the PPWB is chosen, the amount of Plus Premium waived will be the PPWB amount.
For Joint Life policies, the PPWB amount can be on one or both lives, but only one PPWB amount will apply if both lives are covered. If both insureds have chosen a waiver benefit with PPWB, and both become disabled, the amount of Plus Premium waived will be equal to one of the PPWB amounts, not both.
PPWB is available for issue ages 0 through 55, and the disability of the life insured and/or the policy owner must commence before age 60 and death must occur before age 70 for the benefit to apply.
The Premium Death Benefit is available on Joint Second-to-Die policies and applicable to one or both lives. This benefit ensures that the surviving life insured can continue coverage by waiving premiums upon the death of the named life insured, until the end of the premium payment period.
This benefit is available for issue ages 16 through 75.
Description:
Description:
Issue Rules:
Benefit Limits:
New Policy:
Description:
Coverage to age 75, guaranteed renewable every 10 years without evidence of insurability at attained age premium rates.
Issue Rules:
Conversion:
Minimums and Maximums:
Plan | Minimum Benefit |
Maximum Benefit |
---|---|---|
Sun 50 |
$25,000 |
5 times basic* |
Sun 100 |
$100,000** |
$249,999 |
Sun 250 |
$250,000** |
$249,999 |
Sun 500 |
$500,000** |
Sun Life Limits |
*If basic coverage is between $25,000 and $99,999, the maximum benefit is subject to Sun Life's retention limits instead of 5 times basic
**For term benefits, the basic coverage (or in the case of an Enhanced Life policy, the basic plus enhancement amount) must be at least $25,000
Description:
Issue Rules:
Benefit Limits:
New Policy:
May be converted on an attained age basis to any eligible plan of insurance without evidence of insurability prior to insured's age 65.
Description:
The Third Party Waiver of Premiums Benefit - Disability is similar to the Total Disability Benefit, except that premiums are waived
if the policy owner (not the life insured) becomes totally disabled before age 60.
Issuing Rules:
The benefit period will not exceed age 70 of the policy owner and is available at issue ages 16 through 55.
Details of Rider:
The Third Party Waiver of Premiums Benefit - Death is similar to the Waiver Disability Benefit (WP/DIS), except that the premiums are waived if the owner dies. As with WP/DIS the benefit period will not exceed age 70 of the policy owner and is available at issue ages 16 to 60.
Waiver of Premiums Benefit (Third Party), is available only if there is no term benefit, family benefit or guaranteed insurability benefit*.
*This benefit is available only in cases where the life insured is under 15 years of age.
Description:
Should the life insured become totally disabled as defined in the policy, future premiums will be waived
(subject to a 6 month waiting period) while the disability continues.
Benefit limits:
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