Sample term policy illustration and explanation

The illustration is for a renewable and convertible life insurance policy providing a level death benefit with guaranteed level premiums for the first number of years. After a number of years, premiums will increase annually.

Underwriting class

Premiums and policy charges illustrated for this coverage are based upon male, age 45 at preferred plus. Actual premiums for the insurance coverage may vary from the illustration depending on the outcome of the underwriting process.

Initial death benefit

The death benefit illustrated is $500,000. This benefit may be continued to age 95 if appropriate premiums are paid.

Initial premium

Based on a premium of $375. The payment frequency selected is annual. Premiums can be paid annually, semi-annually, quarterly or monthly by pre-authorised by bank draft. If you elect to pay the premium more frequently than annually, there will be a surcharge dependent on the mode and the total yearly outlay will be greater than the annual premium.

Guaranteed renewable

This policy may be reviewed annually without evidence of insurability of the insured’s age 95 provided appropriate premiums for each renewal period are paid.

Guaranteed conversion

Upon request, you have the right to convert all or part of the death benefit to a permanent life insurance plan for the duration of the guaranteed level premium period, or the insured’s age 70 whichever comes first.