(00:00–01:42) – Trusting the Administrator of Your Bank
Strong insurance companies = safe capital.
Whole life policies are built over time, not overnight.
It’s important to know your capital is secure during the transfer process from banks to your own system.
(01:42–03:48) – Bank Failures vs. Insurance Companies
Banks are insured by CDIC up to $100,000 per asset class.
People often diversify banks and assets to stay protected.
Clients ask: Is there something similar for insurance companies?
(03:58–07.54) – What Is Assuris?
Independent, non-profit funded by the life insurance industry.
Not backed by government, but designated under the Insurance Companies Act.
Every life insurer in Canada must be a member to operate.
(07:59–09:50) – What Happens if an Insurer Fails?
Assuris steps in:
Transfers your active policy to a solvent company.
Transfers recoverable assets.
Guarantees benefits up to defined limits.
Represents policyholders in court.
Key Point: Always keep premiums paid. Only active policies are protected.
(09:50–12:37) – Previous Assuris Protection Limits (Pre-June 2023)
Death benefit: 100% up to $200K, 85% beyond.
Cash value: 100% up to $60K, 85% beyond.
Monthly income: $2,000 fully protected.
Health expenses: 100% up to $60K.
(12:47–14:52) – Assuris Track Record: 4 Insurer Failures Since 1990
Each case resulted in most or all policyholders being made whole:
One had 222K policyholders, 100% protected.
Another: 249K policyholders, 96% fully protected, others 90%+.
One had 1.5 million group members, 100% recovery.
Final case (2012): 99% of policyholders received full benefits.
(14:52–17:45) – June 2023 Updates: Assuris Increases Coverage
New guarantees:
Death benefit: 100% up to $1 million.
Cash value: 100% up to $100K (was $60K).
Monthly income: Up to $5,000 now covered.
Health expense: Raised from $60K to $250K.
For any amount over those thresholds, 90% is now the minimum guarantee (up from 85%).
(17:45–18:29) – Key Question: How Much Capital Do You Want to Protect?
Prompt to reflect: Would you rather store capital in banks or in life insurance with built-in protection and guaranteed benefits?
Reminder: Keep premiums paid to stay protected.