It's challenging enough to deal with the day-to-day operations of your business, without having to prepare for every twist and turn that the future might hold. Why let an accident destroy your life's work? You'll have peace of mind knowing that the debts you've covered with this insurance will be paid.

Is this right for you?

If you have been approved for a BMO Bank of Montreal commercial loan or mortgage, are between the ages of 18 and 64, and play a major, active role in the operation of your business, you are eligible to apply at any time.

The Details

Availability

This Plan, underwritten by The Great-West Life Assurance Company, is available to all BMO Bank of Montreal commercial and agricultural borrowing customers and to individuals who have eligible loans or facilities granted for business purposes. The business must be resident and operate in Canada.

It is not available to incorporated companies whose shares are traded on a recognized stock exchange, non-profit organizations, municipalities, associations, unions, or offered on loans for non-business purposes or loans of less than six months duration

Coverage

• The maximum amount of life insurance for any one loan or any number of loans for any one borrower is $2,000,000.
• Accidental dismemberment and specific loss of use insurance, up to specified limits, is included at no additional cost.

Premiums

• The premium is automatically debited from your designated account on the last business day of each month.
• Premiums for term loans and commercial mortgages are based on your age, gender and smoking status on the date the application is signed, the amortization period and the amount of the loan unless partial coverage is selected. This premium rate does not increase with age but continues until the loan is repaid or refinanced.
• The first premium calculation for operating loans is based on your age, gender and smoking status on the date the application is signed and the authorized line of credit limit unless partial coverage is selected. This coverage is automatically renewed on an annual basis and will be recalculated using your current age.

In the event of death

• The outstanding balance of your insured term loan or commercial mortgage (including accrued interest up to a maximum of 60 days) up to a maximum of $2,000,000 will be paid. If the initial amount of the loan was more than the amount of the insurance approved, the death benefit will be prorated.
• Regardless of the outstanding balance of your operating loan, the full amount of the insurance coverage up to a maximum of $2,000,000 (including accrued interest up to a maximum of 60 days) will be paid.
• Life insurance benefits will be applied to your business liabilities to the Bank. For an operating loan, after outstanding advances have been repaid to the Bank, any remaining benefit will be paid directly to your designated beneficiary.

Is there anything else I need to know?

You can cancel your insurance at any time. If you cancel within the first ten (10) days of being covered, any premiums you have paid will be refunded. Important details, including limitations, are contained in the Certificate of Insurance that you will receive after your application is accepted.

The Next Step

To discuss further, contact us at 1 877 262-5907 or visit your BMO Bank of Montreal branch.