Canada Life Announces Rate Changes for their Millennium Universal Life Plan

Another rate change has been announced in light of record-low interest rates — this time from Canada Life.

The announcement pertains to the company’s Millennium Universal Life Plan, and the rate change will take effect starting September 17, 2012. Canada Life has decided to increase its level and limited-pay cost-of-insurance rates for all ages on its Millennium plans.

For level cost-of-insurance plans, rates will increase by an average of 7 per cent for all ages, while limited-pay cost-of-insurance plan rates will increase by an average of 11.5 per cent for all ages. However, the rate increases will be higher for clients aged 20 to 50. For these clients, level cost-of-insurance rates will reach an average increase of 12.5 per cent, and the limited-pay cost-of-insurance rates will reach an average increase of 18.5 per cent for this age group.

That’s not all: five-year and ten-year guaranteed interest options (GIO) will decrease, with the five-year GIOs descending in price from 1.5 per cent to 0.5 per cent and ten-year GIOs falling from 2.0 per cent to 1.5 per cent. In addition, the company will cease to send monthly PDFs of detailed account summaries and will instead make the summaries available online.

For more information on this change or other rate increases, please call us at 1-866-899-4849.

avatar