mportant Announcement for our clients and readers
Canada Life one of the leading insurance company in Canada has offered a great promotion for Canadians!
Four free months of premium for term life insurance*
From Sept. 1 to Dec. 1, we’re making a special introductory offer of four free months of premium* on qualifying term 20, term 30 and term-to-age 65 products including additional benefits (riders) added to a term policy and reissues.
Making coverage even more affordable
Now, more than ever, people understand that life insurance is essential in protecting the people they love the most.
That’s why Canada Life™ offers simple, affordable and flexible term life insurance for protection they need, at the price they can afford. And now, we’re making it even more affordable.
Frequently Asked Questions (F.A.Qs)
What’s included in the special introductory offer?
To help ensure a simple and smooth experience for everyone, we’re focused on new standalone term sales.
From Sept. 1 until Dec. 1, 2020 (inclusive), clients can receive four free months of premium* on qualifying new
Canada Life™ term 20, term 30 and term-to-age-65 policies, including additional benefits (riders).
Included
Term 20
Term 30
Term to age 65
Additional benefits (riders)
Re-issues- if original application qualified for the introductory offer
Replacement
Not included
Term 10
Term-to-term conversions
Term as a rider on UL or PAR policies, including adding term as a rider on inforce UL and PAR policies
Exchanges
*In B.C., the offer is capped at three free months.
Why is term 10 excluded?
We’re focusing on client’s longer-term needs and promoting awareness of our longer duration term offering with this offer.
Why are term-to-term conversions excluded?
We’re focused on protecting more Canadians. As such, we will only be offering this on new standalone term
sales.
Why are term riders on universal life and par insurance excluded?
Clients looking to purchase universal life or par are prepared to pay the higher premium and understand the added financial benefits. Term insurance suits clients who are looking for lower cost and fixed payments to provide affordable protection for the ones they love the most. Clients purchasing term are looking for coverage to protect them during life’s milestones such as getting married, purchasing a home, having a baby or starting a new business.
What are the requirements for the special introductory offer?
The special introductory offer is available for new term 20, term 30 and term-to-age 65 policies and is available through SimpleProtect™, web app and paper app.
Additional benefits (riders) will also be included in the offer. Premiums are waived for four months for both the term policy and additional benefits selected, such as disability waiver, child rider, Business Growth Protection Rider, etc.
No additional steps are required from the advisor for the offer to be applied to the client’s application.
Signed applications must be received by head office no later than Dec. 1, 2020.
What are the conditions around reissues?
For a reissued policy to qualify, the original policy/application must also qualify for the special introductory offer. For example, if the original application was received on Nov. 1, 2020 and the policy was reissued on Dec. 15, the reissued policy will continue to be eligible for four months of waived premiums*. If the original application was received on Aug. 15, 2020 and reissued on Oct. 1, the reissued policy won’t be
eligible for four months of waived premiums*. Only the premiums paid for by the client will be refunded for reissues. *In B.C., the offer is capped at three free months
How will the premium discount be applied?
The first month’s premium must be paid for by the client for the contract to take effect. The next 4 months* (payments 2 – 5) will be paid for by Canada Life. The client resumes their monthly premium payments for the sixth month. If the client pays the full annual premium upfront, they’ll be refunded 1/3 of their annual premium* by cheque. payment the following year. *In B.C., the offer is capped at three free months or 25% annual premium. If paying monthly the client must pay for the first month’s premium, the next 3 months (payments 2 – 4) will be paid for by Canada Life. The client resumes their monthly premium payments for the fifth month. If the client pays the full annual premium upfront, they’ll be refunded 25% of their annual premium by cheque. Alternatively, the client can pay only 3/4 of the annual premium. The client resumes the full annual premium payment the following year.
What if an application is submitted before Sept. 1?
If an application is submitted before Sept 1. 2020, an advisor has the option to cancel the application and reapply on, or after Sept 1. 2020 for the policy to qualify for the four months of waived premium. Any funds
submitted with the original application must be returned to the client and a new application with the new first premium payment must be submitted. We can’t apply payment from the previous application to the new one. This also applies for replacements.
What if a B.C. advisor has a license in other provinces, can they offer the four months free to clients outside of B.C.?
This offer is going by the governing law which is the law of the province or territory where the contract is “made” (rules are different in Quebec). Therefore, if the governing law will be B.C., the three months will apply. If a client lives in B.C., applies for insurance in B.C., and the policy is delivered to the client in B.C., the contract would be considered “made” in B.C. If a B.C. licensed advisor also holds a Saskatchewan license, the advisor could sell a policy to a Saskatchewan resident as he or she ordinarily would and where Saskatchewan law would govern the contract (meaning the contract is made in Saskatchewan). If the criteria are otherwise satisfied (e.g., it’s a longer term policy, and the first premium has been paid), the client would be eligible for four free months of premium.
Is a B.C. licensed advisor limited to only selling three free months regardless of the
client’s original residency?
Yes, this offer is going by the governing law which is the law of the province or territory where the contract is “made”. If a B.C. licensed advisor is selling to a B.C. resident, the client’s previous province of residence is not relevant.
