Here’s the list of participating life insurance products available for term products conversion:
Available dividends options
Conditions for eligibility to convert term life insurance or to exercise a guaranteed insurability option (GIO) into participating whole life insurance with the following options:
| PUA and enhanced insurance | Annual premium reduction, cash payment and dividends on deposit |
|---|
- No extra premium on term life insurance
- The initial death benefit amount (including the enhanced insurance option) cannot exceed the death benefit amount of the term life insurance.
- Maximum age: according to the converted contract’s conditions
| - The initial death benefit amount cannot exceed the death benefit amount of the term life insurance
- Maximum age: according to the converted contract’s conditions
|
When a term life product allows for a conversion to a permanent product and there are neither specific clauses nor restrictions in the original contract, then the conditions mentioned above are applicable. However, a few older contracts may have restrictions and clauses preventing such a conversion. Therefore, it is important to treat these situations on a case-by-case basis, as to not give the client the wrong information. Please check with the head office by providing the contract number in order to proceed to verification.
