The Empire Life Insurance Co. has launched Class Plus, the newest enhancement to its Empire Class Segregated Funds product now with a Guaranteed Minimum Withdrawal Benefit. Class Plus will be available for sale starting Oct. 20.

Class Plus offers investors the opportunity to benefit from the upside potential of the markets by investing in selected Empire Life segregated funds, while protecting them from downside risks by providing guaranteed income for life, the insurer says.

“Canadians are embracing these types of products because they allow investors who are approaching retirement or who are retired to benefit from the upside potential of the markets, and at the same time provide guaranteed income for life” says Jim Gibson, director, retail wealth marketing.

“With the turmoil in the markets we’ve seen in the past months, it’s no wonder investors are turning to investments with built-in guarantees like Class Plus”, he adds.

With a 5% annual income base bonus for each of the first 15 years of the policy in any year the client doesn’t make a withdrawal, triennial resets, and guaranteed income for life after age 65, Class Plus was designed to be competitive with similar products in the Canadian marketplace so advisors and clients will be familiar with its
features, Empire Life says.

However, the product features enhancements, such as a lower Deferred Sales Charge schedule, a high net worth class with lower management fees for deposits starting at $250,000, and the ability to reset the income base, bonus base and death benefit guarantee independently, which could mean more income for the client for life.

IE