Current Assumption Universal Life products are characterized by two primary moving parts:

• The interest crediting rate and
• The Cost of Insurance charges

Interest rates, of course, will change over time, and most universal life products have a “current rate” and a “guaranteed rate”.

Current Cost of Insurance charges are not guaranteed, and may change (increase or decrease) at any time subject only to the upper limit of the guaranteed maximum COI charges as stated in the contract forms. Therefore, consistency in terms of COI rates is viewed as a very attractive feature for Current Assumption products. In this regard, Sun Life Financial and its subsidiaries (Sun Life Assurance Company of Canada and Sun Life Insurance and Annuity Company of New York) have never increased COI rates on any in force block of U.S. Current Assumption UL business since the inception of writing Universal Life products in 1982.

Continue reading for more on current assumption UL and Sun Life’s history of stable COI charges.

SLPC 22316 CAUL COI Flyer –