65. Dividend Scale Interest Rate With Par Whole Life Insurance

2021/6/1

Wealth On Main Street

Frequently requested episodes will be transcribed first

What are whole life insurance dividends? How do they work? What is the Dividends Scale interest Rate and how does it actually show up in a policy? These are great questions and you are in for a treat as Jayson and Richard go on a rant in a rare episode where they share the screens and show a sample life insurance illustration. They use this to debunk some myths about dividend rates and rates of return that are commonly referred to as financial noise out there in the marketplace. Learn what really matters in an insurance contract as they prove to you that it's the owners' behaviors that have the single greatest impact on the values in a policy contract and that the owner by their own efforts can increase the power of dividends they receive.

Links From The Video:

The Contribution Principle Dividend Policy

https://www.equitable.ca/en/already-a-client/dividend-policy-2020/)

Stock Company #1 – Dividend Policy https://www.sunlife.ca/en/explore-products/insurance/life-insurance/participating-and-adjustable-policyholder-information/dividend-policy/)

Stock Company # 2 – Dividend Policy –https://www.canadalife.com/content/dam/canadalife/documents/insurance/par-whole-life-insurance/en/Policyholder_Dividend_Policy.pdf)

Fraternal Company # 1 Dividend Policy – https://www.foresters.com/-/media/foresters/documents/pdfs/en-ca/505125-can-us-uk-foresters-dividend-policy.pdf)

Actuarial Standards of Practice https://www.actuarialstandardsboard.org/wp-content/uploads/2014/06/asop015_134.pdf)

OSFI – Participating Account Management and Disclosure to Participating Policyholders and Adjustable Policyholders

https://www.osfi-bsif.gc.ca/Eng/fi-if/rg-ro/gdn-ort/gl-ld/Pages/e16.aspx)

IN THIS EPISODE, YOU WILL LEARN:

0:00 Introduction

2:11 Understanding deeper about Dividend Paying Whole Life Insurances