On February 2, 2012, the Ontario Superior Court of Justice, ordered the winding-up of the Union of Canada Life Insurance (the “Company”) and appointed Grant Thornton Limited as liquidator (the “Liquidator”). A copy of the orders winding-up the company and appointing the Liquidator can be found on the page containing relevant court and legal documents associated with this proceeding.
The purpose of this Web page is to give you a brief overview of the present status of operations, and the anticipated effect of recent events on agents, as well as policyholders of the Company.
The Liquidator will manage the Company, which will continue its operations from its head office in Ottawa, Ontario. The Company will not process any requests for new policies to be issued.
Letters have been sent to policyholders of the Company to explain the present circumstances. For your information, these letters can be found on this web site. All benefits and claims are protected by Assuris, the not for profit organization that protects Canadian policyholders in the event their life insurance company fails. There are a very small number of policies that are not fully covered by Assuris. For details on Assuris’ protection visit: www.assuris.ca or contact the Assuris Information Centre at 1-866-878-1225.
The Company will continue to accept premiums payments for renewals. However, for the present time, the Company will not make payment on any requests to redeem or surrender policies or for lump sum cash withdrawals.
The Liquidator is working closely with Assuris to transfer the Company’s business to another life insurance company as soon as possible. Every effort will be made to transfer all the policies under terms and conditions similar to those to which they are presently subject. Policyholders should continue to pay their premiums to ensure that they are eligible for Assuris’ protection. If the policyholders fail to pay their premiums, they will not be eligible for Assuris’ protection and transfer to a new insurer.
Any premiums which you currently hold are, as you are aware, held in trust for the Company. Please remit such premiums forthwith to the Liquidator at the address of the Company. Your claim for commissions will be a claim in the estate of the Company. At this time, we cannot confirm what monies may be paid on ordinary claims. No commissions will be paid on renewal premiums at this time.
We draw your attention to paragraph 8 of the order appointing the Liquidator enjoining any solicitation or transfer of policies by other insurers or agents and brokers. Given that your clients' interests are protected by Assuris and a transfer of the existing policies will be arranged, it is clearly not in your clients' interest that such solicitation or transfers be made.
We will use our best efforts to keep you advised as information becomes available. In the meantime, if you have any questions, please call the appropriate numbers listed to the right of this page. Please have your client’s policy number with you when making such calls. We expect to receive a number of inquiries and we may not have all of the information on your client’s specific policy available immediately when you call, so your patience and understanding is greatly appreciated.