Universal life insurance

With universal life insurance, the savings component is a sidecar within the insurance policy, working in tandem with the life insurance component, and the policyholder chooses the investments. The choice is usually extensive, including a variety of domestic and foreign equity funds, fixed income funds, GICs and balanced funds. Policyholders accept the same market risks as if they were investing in RRSPs or non-registered accounts.

This product is designed for flexibility throughout the life of the policy. Policyholders can increase or decrease the amount of the premiums (within limits) and death benefits may adjust as well.