An accumulation annuity is an investment product that accumulates value by adding interest to the investment. The interest rates may typically be guaranteed for periods of 1, 3, 5 and up to 10 years. Assuris protection applies to your accumulation annuity, regardless of the term. Accumulation annuities are commonly known as Guaranteed Investment Certificates (GICs).
An accumulation annuity is an accumulated value benefit under Assuris protection.
If your life and health insurance company fails, Assuris guarantees that you will retain up to $100,000 or 90% of your accumulated value benefit, whichever is higher.
$80,000
Original
benefit amount
Since your accumulated value is less than $100,000, you will retain your full benefit amount.
$80,000
Protected benefit amount
$200,000
Original
benefit amount
Since your accumulated value is more than $100,000, you will retain 90% of your benefit amount.
$180,000
($200,000 × 90%)
Adjusted benefit amount
Universal life overflow account – is an associated account with a universal life policy. These accounts may be used to hold pre-paid premiums or savings in excess of the tax-exempt limits. These types of accounts receive Assuris accumulated value protection.
Associated account with whole life – is an investment account with a whole life policy. This may be used to hold pre-paid premiums or accumulated cash dividends. These types of accounts receive Assuris accumulated value protection.
Yes, interest will continue to be credited on the protected amount after the date of failure, in accordance with the terms of the policy.
The stock index will continue to be applied to the protected amount after the date of failure, in accordance with the terms of the policy.