Dividend scale interest rates for all our participating life insurance policies have been revised in light of higher-than-expected returns resulting from rising interest rates and changes to our investment strategy.
We strive to optimize long-term returns and stability for all our clients!
Current product lineup
We're pleased to announce that the dividend scale interest rate will be
increasing to 6.2% on July 1, 2023, for our current lineup of participating life insurance policies:
- 5 pay PAR
- Accelerated Growth (10 Pay, 20 Pay or to 100)
- Estate Enhancer (10 Pay, 20 Pay or to 100)
Policyowners will have the opportunity to take advantage of the increase during their next renewal after July 1, 2023.
Impact on dividends paid to clients
The dividend scale interest rate increase, in combination with our revised mortality assumptions, means dividends will be increasing for most participating life insurance policyowners.
Updated illustration tool coming May 1, 2023
Starting May 1, 2023, you will be able to present the following 3 scenarios for participating life insurance:
- Current rate of 6.2% (mandatory)
- Reduced rate of 5.2% (mandatory)
- A rate of your choice between 4.2% and 6.7% (optional)
Policies issued before 2017
The dividend scale interest rate increase will mean increased dividends for most participating life insurance policies.
Standardized review date
Please note that the annual review dates for dividend scales have been standardized to July 1 for all participating life insurance policies.
Important dates
|
May 1 | The dividend scale interest rate will be updated in the illustration tool. |
|
May 1 to July 1 | It will not be possible to produce illustrations using the new scale for in-force policies. You will be able to request illustrations starting July 4, 2023. |
|
July 1 | New dividend scale will come into effect. |
For more information about participating whole life insurance, visit our
participating whole life insurance page and the page on our new
investment strategy.
Questions?
See our
FAQ or contact your
regional sales director.
