Universal Life

Champion - Rate Scale B & C

Original line of business: Gerling Global

Updated on: Dec 19, 2018

Product snapshot

The Champion Product is a universal life policy that was formerly administered by Maritime Life. There were differing versions sold throughout the years.

Basic product information

Product administration guide: N/A

Dividend options: N/A

Bonus: Yes 

Dividend options

N/A

  

Bonus

Account value bonus   

  • A bonus of 1.5% of the account value less any outstanding loan will be credited on each anniversary provided the account value less outstanding loan is greater than or equal to 15 times the annual minimum premium

Preferred client bonus  

  • Becomes payable on the 20th anniversary
  • The bonus is a onetime lump sum deposit to the account value equal to 10% of the monthly costing (not including fees, riders, benefits, substandard extras) paid on the principle life insured between policy issue and the 20th anniversary, accumulated with interest at the rate we declare on the 5 year GIA

Premium paying period

Cost of insurance deducted to age 95

Policy fees

  • Policy fee is $9/monthly
  • $3 per additional life

Deposit load

3% premium tax

Values, loans & withdrawals

Non forfeiture option: Yes

Loans: Yes

Withdrawals: Yes

Non-forfeiture option

Premium holiday / extended coverage:  

  • Premium holiday (coverage continuation)  is when the policy owner wants to stop payments and have the policy costs deducted from the policy values
  • The policy owner can request this at any time, if the accumulated value is positive
  • If the policy value becomes negative, there is a 31-day grace period

Loans 

  • Minimum loan is $500
  • The maximum loan is 85% of the cash value in the DIA and GIAs 
  • Loans cannot be made against the cash value associated with the indexed or segregated funds
  • Loan interest is 2% fixed, compounded annually 
  • The loan amount paid to the policy owner is subject to a charge of the greater of $25 or any market value adjustments (if applicable) 

Withdrawals 

  • Partial withdrawals are available
  • Minimum of $100.00 
  • Client can select the funds from which the money is withdrawn
  • May incur market value adjustment on withdrawals from GIAs 

Cash value

Policy may have accumulated value, although this is not guaranteed

Reduced paid up

N/A

Riders & benefits

Premium offset/holiday: Yes

Premium offset/holiday

Premium holiday is when the policy owner wants to stop premium payments and have the policy values cover the cost of insurance. The policy owner can request this at any time, if the accumulated value is positive

Death benefit

Death benefit options: 

  • Level (equal to the greater of the sum insured and the account value), minus any loan principal plus total accrued interest
  • Face plus (sum insured plus any account value), minus any loan principal plus total accrued interest

Reinstatement period

Reinstatement is permitted within three years of the lapse date, subject to medical evidence

Convertible

N/A