BMO Insurance Whole Life Plan Stress Test #1

We’re living in an environment of prolonged low interest rates which could have a significant impact on the projected values on whole life insurance policies. That’s why many advisors are taking on a prudent approach when it comes to illustrating these types of plans – reviewing the primary scenario alongside a “minus 1%” (or “minus 2%”) scenario. This practice of “stress testing” can help clients better understand the potential range of values they can expect as far as the death benefit and cash value growth of their polices.

You may be considering plans from a few companies, but the resulting projections can be quite different!

Take a look at the following example of how the NEW BMO Insurance Whole Life Plan compares to other participating whole life plans in the market:

Client	Male 57 Non-Smoker (pre-retiree)
Objectives	Permanent protection and accumulation focus Looking for permanent protection Wants to diversify portfolio Conservative investor profile No interest in managing assets Wants to pay off insurance in 10 years

Total Death Benefit

The BMO Insurance Whole Life Plan projects better values in these alternative scenarios!

Due to its unique plan design, the BMO Insurance Whole Life Plan is built to better withstand the impact that an adverse scenario can have on the future growth of policy values.

For more details on this and other financial solutions using the NEW BMO Insurance Whole Life Plan, contact your BMO Insurance representative today!

* Additional Deposit Option is applied for years 1 to 10 to match the 10-Pay deposit of $17,240. At year 11, premium offset option is applied and the base annual premium is paid by dividends for the remainder of the pay period.

¹ Performance Bonus Rate (PBR) at 5.50% for BMO Insurance.

Information contained in this document is for illustrative purposes and is subject to change without notice. The information in this publication is intended as a summary of our products and/or services. Please consult the appropriate policy contract for details on the terms, conditions, benefits, guarantees, exclusions and limitations. The actual policy issued governs. Each policyholder’s financial circumstances are unique and they must obtain and rely upon independent tax, accounting, legal and other advice concerning the structure of their insurance, as they deem appropriate for their particular circumstances. BMO Life Assurance Company does not provide any such advice to the policyholder or to the insurance advisor.