Intrepid II ‘97

The Intrepid plan is a level cost of insurance universal life plan offering flexible premium payment and death benefit options. Many versions of this plan were issued throughout the years.

Dividend options

N/A

Bonus

• Interest bonus: On income and new FIOs: lesser of 1% or 15% of Income option rate. Bonus on index linked options: 1% starting in year 6 rising to 1.5% in year 16. (managed is 50% income bonus and 50% indexed linked bonus)
• Capital Bonus: Starting in policy year 3, guaranteed capital bonus applied when bonus rate (linked to long term bonds) is above 3.5%

Premium paying period

Cost of insurance (COI) ceases at age 100

Policy fees

$120/year constant expense

Deposit load

Premium tax is based on the province of residence of the policy owner (subject to change if provincial tax rates change)

Non-forfeiture option

Extended coverage (premium holiday) until policy value depleted, then 30 days grace

Loans

• Minimum loan is $100
• A loan may be made on security of the cash value of this benefit with the policy as security
• Interest accrues daily on a policy loan at a rate determined by Manulife but not greater than 2% higher than the rate charged by our main banker on prime rate loans
• The interest is payable on the policy anniversary, but if unpaid is added to the loan balance
• The maximum loan available is 85% of the cash value invested in the income option and the fixed interest options (FIOs)
• No policy loan is available where any portion of the capital mix is based on the variable option (if policy was endorsed to have the variable bonus)

Withdrawals

Minimum withdrawal is $1000

Cash value

Policy may have accumulated value, although this is not guaranteed.

Reduced paid up

N/A

Premium offset/holiday: Yes

Premium offset/holiday

Payments can cease if there is enough value to cover policy costs

Death benefit

Death benefit options:

•  Level: The death benefit is equal to the initial insurance amount, reduced by any cash withdrawals
• Coverage Plus: The death benefit equals the initial insurance amount plus the working capital account on the valuation date next following the date of death
• Indexed coverage: The death benefit will be increased on each anniversary by a fixed rate (to a maximum of 10% per year) or in proportion to the rate of change in the consumer price index (CPI) for the previous calendar year, less any cash withdrawals for that year. The indexing rate selected at issue is indicated on the benefit information page. The total death benefit under this option will be limited to three times the initial insurance amount
• Cost Recovery: The death benefit under this option will equal the sum of the initial insurance amount plus a notional account called the premium accumulation account. At any time, the premium accumulation account equals the sum of all premiums paid, less any cash withdrawals, accumulated at the premium accumulation rate.  

Reinstatement period

2 years

Convertible

No, this is a permanent product