The BMO Insurance Whole Life Plan is a NEW non-participating permanent life insurance plan offering an increasing death benefit with guaranteedcash values with guaranteed level premiums payable for 10 or 20 years or to age 100, after which time the policy becomes fully paid up.
The increasing death benefit (above the basic coverage) is provided by an annual Performance Bonus that BMO Insurance automatically uses to purchase additional “paid-up” insurance coverage (or Paid-Up Additions).
If affordability becomes an issue…
The BMO Insurance Whole Life Plan has built-in flexibility to help you after the policy is issued. With the Premium Switch Option you can reduce the annual cost of the policy. For example:
Meet Thomas … - 50 year old professional
- Bought a BMO Insurance Whole Life Plan policy
- Basic Coverage: $250,000
- Monthly "10 Pay" premium: $1,282.05
Three years after issue…
Thomas can no longer afford to pay his monthly premium. Cancelling his policy is not an option as he still needs life insurance protection. He`s looking for ways to reduce his premiums and keep his coverage.
Solution: The Premium Switch Option* - Allows Thomas to switch to a less expensive premium option at issue age rates
- Extends his premium payment period for the remaining number of premiums required under the new option
- Allows him to maintain the guaranteed death benefit on his policy
- Thomas will continue to qualify for Paid-Up Additions on his policy
| Option 1: Switch to “20 Pay” | Option 2: Switch to “Pay to age 100” | Monthly Premium: | $774.45 (for 17 more years) | $522.68 (for 46 years) | Guaranteed Death Benefit: | $250,000 | $250,000 |
Alternatively, Thomas could elect to keep the “10 Pay” option but decrease the amount of his guaranteed death benefit from $250,000 to $120,000. In this case, his monthly premium would decrease to $641.03 (and would be payable for seven more years).
Thomas decides to switch to the “Pay to Age 100” option
His monthly premium drops to $522.68 per month and is payable until his age 100. The guaranteed death benefit on his policy remains unchanged at $250,000.
When the switch is elected, Thomas receives a cash withdrawal of $2,085 from his policy for the difference in the guaranteed cash values between the two premium options; this amount is subject to tax.
For more about the NEW BMO Insurance Whole Life Plan, contact your BMO Insurance Business Development Manager today! Get your copy of the Wave v34.0 TODAY!
*Available after the policy has been in force for at least two years and subject to underwriting.
MB 475 (2017/06/20) | 
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