Participating Life Insurance
We believe participating life insurance offers consumers important advantages and choice as part of a sound financial security plan. We are committed to maintaining choice and flexibility for clients and financial advisors.
Participating life insurance policies are built on a foundation of guaranteed values, such as basic premium, basic coverage, guaranteed portion of cash values and guaranteed portion of reduced paid-up values. These guaranteed values are determined using long-term assumptions for factors such as investment returns, mortality, expenses, lapses and taxes.
When you purchase participating life insurance, the premiums you pay are credited to an account called the participating account with funds from other Life participating policies.
The opportunity to earn policyowner dividends is unique to participating policies. Participating policyowners share in the success of the pool of participating policies through the payment of policyowner dividends.