| DESCRIPTION |
Will pay a benefit based on the mortgage payment amount (principal, interest, bank administered property taxes and the disability protection premium) on the date of disability on the same frequency as the customer’s mortgage payment |
Will pay the outstanding balance of a mortgage (including any early payout penalties and any deficit in tax account) if the insured customer dies |
Will pay the outstanding balance of a mortgage (including any early payout penalties and any deficit in tax account) upon diagnosis of any covered illness in the policy1
Conditions Covered:
• Heart Attack • Stroke • Cancer • Coronary artery bypass surgery • Blindness • Paralysis • Deafness • Coma |
| WHO CAN APPLY? |
• Borrower, co-borrower, or guarantor
• Maximum 2 people can be insured on one mortgage
• Must be the same 2 people insured for LOLP/HCP |
• Borrower, co-borrower, or guarantor
• Maximum 2 people can be insured on one mortgage
• Must be the same 2 people insured for LP/HCP/DI |
• Borrower, co-borrower, or guarantor
• Maximum 2 people can be insured on one mortgage
• Must be the same 2 people insured for LOLP/DI |
| ELIGIBILITY |
Customers may apply if:
• Between 18 and 64 years of age
• Mortgage is on a residential property (4 units or less)
• Residing in Canada
• Actively working at least 20 hours a week |
Customers may apply if:
• Under age 65
• Mortgage is on a residential property (4 units or less)
• Residing in Canada |
Customers may apply if:
• Under age 55
• Mortgage is on a residential property (4 units or less)
• Residing in Canada |
| INSURER’S APPROVAL REQUIRED |
• No, if Disability insured amount on total mortgages <= $300,000 and answered ‘No’ to health question(s)
• Yes, if Disability insured amount on total mortgages > $300,000 and/or answered ‘Yes’ to health question
Note: Additional health information may be required by the insurer |
• No, if LOLP insured amount on total mortgages <= $300,000 and answered ‘No’ to health question(s)
• Yes, if LOLP insured amount on total mortgages > $300,000 and/or answered ‘Yes’ to health question
Note: Additional health information may be required by the insurer |
• No, if HCP insured amount on total mortgages <= $300,000 and answered ‘No’ to health question(s)
• Yes, if HCP insured amount on total mortgages > $300,000 and/or answered ‘Yes’ to health question
Note: Additional health information may be required by the insurer |
DURATION OF
BENEFIT |
• Maximum of 24 months of Disability benefits per claim (disability) per insured, per mortgage
• Overall maximum of 48 months of Disability benefits per insured, per lifetime |
N/A |
N/A |
MAXIMUM
BENEFIT/COVERAGE |
• Maximum monthly equivalent benefit amount for a customer’s insured mortgage is $3,500 (excluding Disability premium) |
• $500,000 for all insured mortgages |
• $500,000 for all insured mortgages |
| PREMIUM RATES |
Based on:
• Age at the time of application
• Insured mortgage payment (principal, interest & property taxes) |
Based on:
• Age on date of application and insured mortgage balance |
Based on:
• Age on date of application and insured mortgage balance |
COVERAGE
RATE(S) FOR
BORROWER(S) |
N/A |
• If one or two borrowers purchase both LOLP and HCP, a discount is applied |
• If one or two borrowers purchase both LOLP and HCP, a discount is applied |
MULTI PRODUCT
PREMIUM DISCOUNT |
N/A |
5% Discount:
• One borrower with both LOLP and HCP
• One borrower with LOLP and the 2nd with HCP
• Two borrowers with HCP only
20% Discount:
• Two borrowers with LOLP only
• Two borrowers with both LOLP and HCP
• Two borrowers - one with LOLP and HCP and the 2nd with LOLP or HCP
|
| PREMIUMS |
• Premium may fluctuate as they are based on age at time of application and the insurable mortgage payment amount |
• Level premiums (exception: > 10% principal pre-payment in any mortgage year) |
MULTI
PRODUCT
ENHANCEMENT –
TERMINAL
ILLNESS
COVERAGE |
N/A |
Protection coverage is expanded to include a terminal illness if HCP is taken with LOLP.
• Insured is diagnosed with illness deemed terminal within 12 months |
| PRIOR COVERAGE RECOGNITION (PCR) |
N/A |
If an insured customer re-finances their mortgage, and no longer qualifies due to eligibility, age or medical condition. They can retain the amount of coverage based on a percentage of the outstanding balance of the previous mortgage at date of payout (if re-application is within 90 days of previous mortgage payout to the new mortgage amount). |
ORIGINAL AGE
ADVANTAGE (OAA) |
N/A |
Customer’s age at date of original application is used for premium calculation if:
• Re-financing new mortgage within 90 days of previous mortgage payout
• Taking out a new mortgage within 90 days of paying out previously insured mortgage
• Obtaining any additional mortgage(s) while customer has an existing insured mortgage |
N/A |
| LIMITATIONS & EXCLUSIONS |
• Attempted suicide or harm to yourself
• You are not under the active care of a doctor
• Refuse to submit to a medical exam or fail to provide proof of continuing disability |
• Suicide within two years of becoming insured |
• Attempted suicide or harm to yourself
• Medical testing for or diagnosis of cancer within 90 days of application
• 30 days survival period following diagnosis1 |
COVERAGE
TERMINATION
AGE |
• On 70th birthday |
• On 70th birthday |
• On 65th birthday |
