Assuris is a

nonprofit organization A nonprofit organization (NPO) or non-profit organisation, also known as a non-business entity, not-for-profit organization, or nonprofit institution, is a legal entity organized and operated for a collective, public or social benefit, in co ...

under Canadian federal regulation to protect policyholders of

life insurance Life insurance (or life assurance, especially in the Commonwealth of Nations) is a contract between an insurance policy holder and an insurer or assurer, where the insurer promises to pay a designated beneficiary a sum of money upon the death ...

instruments if a life insurance company becomes

insolvent In accounting, insolvency is the state of being unable to pay the debts, by a person or company (debtor), at maturity; those in a state of insolvency are said to be ''insolvent''. There are two forms: cash-flow insolvency and balance-sheet inso ...

. It is designed to allow a block of policies to be transferred to a solvent company in which the policies will continue to be honoured (similar to the

Canada Deposit Insurance Corporation The Canada Deposit Insurance Corporation (CDIC; french: Société d'assurance-dépôts du Canada) is a Canadian federal Crown Corporation created by Parliament in 1967 to provide deposit insurance to depositors in Canadian commercial banks and ...

for deposit accounts). The

Office of the Superintendent of Financial Institutions The Office of the Superintendent of Financial Institutions (OSFI; french: Bureau du surintendant des institutions financières, BSIF) is an independent agency of the Government of Canada reporting to the Minister of Finance created "to contribute ...

states, "Assuris' mission is to mitigate the impact on Canadian policyholders of the financial failure of a life insurance company." Every life insurer that is authorized to sell policies in Canada is required by the various provincial, territorial, and federal regulators to become a member of Assuris. Founded in 1990 as CompCorp, it was renamed to Assuris in 2005. Policies are protected as follows: *monthly income, health expense, death benefits, and cash values policyholders receive at least 85% of their promised benefits. *However, 100% protection is provided by Assuris for amounts below the following cash values: monthly income policies up to $2,000, health expenses policies up to $60,000, death benefits on policies up to $200,000, and cash values up to $60,000 The last insurer to have its policies guaranteed by Assuris was Union of Canada Life.

References

External links

* {{DEFAULTSORT:Assuris Non-profit organizations based in Toronto Life insurance Insurance in Canada 1990 establishments in Ontario

See also

References

External links