Best limited pay whole life insurance plans in Canada (2026)

PolicyAdvisor Rating

We give Equitable Life a 5/5 rating for its strong dividend track record and long-term growth. Equimax Estate Builder and Equimax Wealth Accumulator are backed by a $2.73 billion participating account. These plans offer lifetime coverage with 10-pay, 20-pay, and life-pay options.

Equimax Wealth Accumulator is designed for earlier cash value access, making it a suitable choice for building accessible wealth for education, business or  retirement. Conversely, Equimax Estate Builder focuses on higher long-term value and supports estate planning by helping cover taxes and fees on asset transfer after death. 

New Equimax participating whole life policies include Equitable’s built-in KIND program. This adds claim-time flexibility to Equimax’s limited-pay whole life options, providing compassionate and snap advances, access to policy cash value in cases of severe disability, and bereavement counselling benefits.

Equitable Life’s key financial strengths: 

• Par fund size: $2.73 billion
• Dividend Scale Interest Rate (DSIR): 6.40%
• Historical dividend rate: Above 6% for more than 12 years, supported by long-term smoothing
• 30-year average return: 7.59%
• Exceptionally low volatility: 1.25% standard deviation over 30 years, one of the most stable in Canada
• Par fund asset mix: 49% fixed income, 38% non-fixed income, 2% cash, and 11% policy loans.
• Investment approach: Par account uses long-term smoothing to reduce short-term market fluctuations and maintain consistent dividend performance

Why choose Equitable Life

• Maintains an extremely stable dividend rate history with one of the lowest long-term volatility profiles in Canada
• Manages a large, well-diversified par fund with balanced exposure across fixed income, equities, real estate, and private assets
• Mutual company structure directs profits to support participating policyholders rather than shareholders
• Drives strong long-term investment performance, driven by disciplined and conservative par fund management

PolicyAdvisor Rating

Manulife earns a 5/5 rating for its Manulife Par, Manulife Par with Vitality Plus, and Performax Gold plans. These policies are known for affordable premiums and flexible payment options. They offer lifetime coverage with 10-pay, 20-pay, and pay-to-100 options, allowing policyholders to complete payments early or spread them over time. A $15.98 billion participating account backs these plans, supporting long-term guarantees, stable dividends, and reliable performance.

Manulife Par focuses on stable long-term growth with guaranteed premiums, immediate cash value buildup, and annual dividend payouts. Meanwhile, Manulife Par with Vitality Plus offers strong early guaranteed cash values while also providing access to the Manulife Vitality program, which rewards healthy living with perks and member benefits. Program features vary by eligibility and do not reduce premiums for participating whole life. Performax Gold provides additional flexibility for clients seeking a blend of guaranteed protection and dividend-driven long-term value. 

Manulife’s key financial strengths:

• Par fund size: $15.98 billion
• Dividend Scale Interest Rate (DSIR): 6.35%
• Capital strength: Life Insurance Capital Adequacy Test (LICAT ratio) of 138%, among the highest capitalization levels of major Canadian insurers
• Diversified global operations across Canada, the U.S., Asia, and global asset management, reducing earnings volatility
• Strong balance sheet supported by investment-grade assets and disciplined risk management

Why choose Manulife:

• Maintains one of Canada’s highest-capitalized insurers, with a 138% Life Insurance Capital Adequacy Test (LICAT) ratio supporting long-term dividend stability
• Diversifies its global investments across North America and Asia, helping stabilize performance even in volatile markets
• Consistently  generates strong profitability, backed by strong core earnings and disciplined risk management
• Advances underwriting analytics and Vitality program to support sustainable premiums, lower risk, and stable product performance

PolicyAdvisor Rating

We give Empire Life 4.5/5 for its EstateMax and Optimax Wealth plans that offer predictable long-term growth through a disciplined, conservative investment approach. These participating plans are supported by a disciplined $1.21 billion par fund, known for its stability and long-term results.

EstateMax focuses on long-term accumulation and conservative dividend performance, helping Canadians build a lasting financial legacy. In comparison, Optimax Wealth emphasizes steady cash value growth over time, offering predictable policy performance and long-term financial security. While Estate Max is available with 20-pay and pay-to-100 premium options. Optimax Wealth offers flexible payment structures, including 8-pay, 10-pay, 20-pay, and pay-to-100.

Empire Life’s key financial strengths:

• Par fund size: $1.21 billion
• Dividend rate: 6.25%
• Dividend rate history: Above 6% for more than 10 years, showing exceptional long-term stability
• 30-year average return: 6.97%
• Par fund asset mix: 64% bonds, 29% equities, 7% cash and other assets
• Conservative, long-duration bond portfolio with reinvestment smoothing that stabilizes long-term returns

Why choose Empire Life:

• Conservatively structures its par fund with 64% bonds, 29% equities, 7% cash and other assets, supporting predictable long-term returns
• Maintains one of the most stable dividend rate histories in Canada, consistently at or above 6% for more than a decade
• Delivers strong multi-decade investment performance, including a 30-year average return of 6.97%
• Applies disciplined, value-oriented investment approach designed to meet long-term guarantees and deliver steady policyholder value

PolicyAdvisor Rating

We give Sun Life 4.5/5 for its Sun Par Protector II, Sun Par Accumulator II, and Sun Par Accelerator plans, which consistently deliver strong estate and wealth-planning value for Canadian families. The company backs these plans with a $21.2 billion par fund that supports more than 400,000 active participating policies, making it one of the strongest structures in Canada.

The Protector II and Accumulator II provide flexible payment options, including 10-pay, 15-pay, 20-pay, and pay-to-age-100, while the Sun Par Accelerator comes with a 8-pay premium option that is fully paid in just eight years. Accumulator II emphasizes early cash-value growth, allowing easier access to funds for investments, business needs, or other financial goals through policy loans or withdrawals. Meanwhile, Protector II focuses on maximizing long-term death benefits for estate and legacy planning. Accelerator builds cash value quickly, giving policyholders faster access to funds.

For those preferring non-participating plans, SunSpectrum Permanent Life II also offers 10-pay, 20-pay, and pay-to-age-100 payment structures.

Sun Life’s key financial strengths

• Par fund size: $21.2 billion
• Dividend Scale Interest Rate (DSIR): 6.25% 
• Life Insurance Capital Adequacy Test (LICAT) ratio: 154%, one of the strongest among major Canadian insurers
• Global earnings diversification, with strong contributions from Canada, the U.S., Asia, and asset management 
• Consistent profitability, supported by stable insurance operations and strong wealth-management franchise

Why choose Sun Life

• Leads the industry with global diversification, with strong footholds in Canada, the U.S., and Asia, while operating institutional asset-management platforms
• Maintains exceptional capital strength, with a 154% Life Insurance Capital Adequacy Test (LICAT) ratio supporting long-term guarantees in its participating products
• Manages multiple par product designs, including estate-focused, accumulation-focused, and a competitive 8-pay option for clients seeking fast paid-up coverage
• Generates strong underlying earnings power, reflected in more than $1 billion of underlying net income, which reinforces dividend stability
• Scales highly for affluent and corporate clients, making it popular for tax-efficient wealth transfer, corporate surplus planning, and long-term estate and legacy strategies

PolicyAdvisor Rating

We give BMO Insurance 4/5 because it offers two non‑participating limited‑pay options, Estate Protector and Wealth Accelerator, both known for their strong guaranteed cash values and flexible limited pay options. These plans set themselves apart with a Performance Bonus (5.75%), increasing both the death benefit and cash value each year without relying on traditional dividends. BMO supports its policies with a robust insurance net income of $95 million.

You can choose 10-pay, 20-pay, or pay-to-100 premium schedules to match your financial goals and payment flexibility. Estate Protector focuses on long‑term estate planning and builds strong guaranteed cash value and death benefit growth to help preserve wealth and minimize estate taxes. In contrast, Wealth Accelerator is designed for higher liquidity and faster cash value access, suitable for business owners or high-income earners.

BMO’s key financial strengths

• Insurance net income: $95 million
• Performance Bonus Rate: 5.75% (This is not a dividend scale interest rate. In BMO’s non‑par design, performance credits may be applied to enhance policy values as defined in the contract. Values are not guaranteed and can change.)

Business positioning: BMO Insurance operates within BMO’s Wealth Management segment, benefiting from diversified earnings and enterprise-wide risk management

Why choose BMO

• Consistently grows insurance profitability with $95 million supporting long-term stability
• Drives rising insurance revenue backed by diversified business activities and a favorable one-time gain
• Offers competitive 5.75% Performance Bonus Rate that strengthens guaranteed values for non-participating whole life policyholders
• Integrates within BMO Wealth Management, adding operational scale, stability, and risk-management support

PolicyAdvisor Rating

We give Canada Life 4/5 because its Estate Select and Wealth Select plans offer customizable limited pay options with 10-pay, 20-pay, and pay-to-100 structures. It backs these plans with its $61.9 billion par fund, the largest in Canada, and holds about 1.4 million participating life insurance policies in force.

Estate Select focuses more on long-term growth, therefore helping maximize the death benefit for estate planning. On the other hand, Wealth Select is designed for earlier cash value access, allowing policyholders to make withdrawals or policy loans when needed. These participating plans suit Canadians who want to tailor growth, riders, and coverage to their personal or business goals.

Canada Life’s key financial strengths

• Par fund size: $61.9 billion (largest participating account in Canada)
• Dividend Scale Interest Rate (DSIR): 5.75% 
• Par fund asset mix: Fixed income: 60.0% (public bonds, private debt, mortgages, other fixed income) and Non-fixed income: 30.7% (real estate, public equity, private equity)
• Disciplined investment governance, with formal investment guidelines covering liability characteristics, liquidity needs, tax factors, and interest rate risk
• Strong asset‑liability management (ALM) discipline, including cash-flow matching to ensure assets can meet long-term policyholder obligations

Why choose Canada Life

• Manages Canada’s largest par fund ($61.9 billion), providing unparalleled stability and diversification
• Supports resilient, long-term returns with a highly diversified asset mix across mortgages, private debt, real estate, public equity, and private equity 
• Applies strong asset‑liability management (ALM) discipline and cash-flow matching help stabilize investment returns that support long-term Dividend Scale Interest Rate (DSIR) performance
• Enforces clear investment guidelines ensure the fund stays within defined parameters to protect long-term policyholder value

PolicyAdvisor Rating

We give Desjardins 4/5 for its flexible limited pay options in Canada, combining a rare 5-pay participating option with the more standard 10-pay, 15-pay, 20-pay, pay-to-65, and pay-to-100 structures across its par lines. The company backs its participating (par) lineup with one of the strongest capital positions in Canada, maintaining a Tier 1A capital ratio of 23.1%.

The flagship 5-Pay PAR plan completes premiums in just five years while still building strong early cash values. Desjardins serves around 5 million insurance policyholders across its life and health portfolio.

Its participating lineup includes three plans: 5-Pay PAR, Estate Enhancer, and Accelerated Growth. Estate Enhancer focuses on long-term estate value and strong future growth, while Accelerated Growth prioritizes earlier cash value access with long-term accumulation potential.

Desjardins’ key financial strengths

• Dividend Scale Interest Rate (DSIR): 6.30% 
• Surplus earnings: $1.115 billion, reflecting strong financial performance
• Wealth Management and Life and Health Insurance surplus earnings: $174 million, showing positive insurance segment profitability
• Tier 1A capital ratio: 23.1%, far above regulatory minimums and among the strongest in Canada
• Cooperative structure, where profits are reinvested into member benefits (including member dividends, community sponsorships, and reinvestment)

Why choose Desjardins

• Offers one of the only 5-pay participating whole life plans in Canada, enabling rapid paid-up coverage and strong early cash values
• Operates a cooperative ownership model means profits support members rather than shareholders
• Maintains exceptionally strong capital ratios (Tier 1A: 23.1%), reinforcing long-term par stability and financial strength
• Grows insurance segment momentum, with rising surplus earnings supported by favourable market conditions and strong underlying operations
• Provides a flexible participating product suite, offering options for fast paid-up coverage or long-term growth depending on individual needs

iA’s key financial strengths

• Par fund size: $69.36 million
• Dividend Scale Interest Rate (DSIR): 6.35%
• Return on equity (ROE): 13.0% (core ROE 16.1%)
• Solvency ratio: 132%
• Diversified business model with leading sales momentum across individual insurance, group insurance, wealth, and U.S. operations

Why choose iA

• Delivers strong and growing earnings, contributions broadly across Individual Insurance, Wealth, Group, and U.S. operations
• Supports reduced volatility with a highly diversified business model and multiple profit streams beyond life insurance
• Demonstrates robust financial strength, boasting a 132% solvency ratio and strong organic capital generation that sustains long-term par stability
• Leads market position, ranks number one in segregated fund sales and strong momentum in Individual Insurance
• Consistently generates profitability, reflected in a 16.1% core ROE, demonstrating durable earning power for sustaining long-term guarantees
• Strategically expands through acquisitions, which strengthens distribution and recurring revenue sources

RBC’s key financial strength 

• Par fund size: $9.60 million
• Dividend Scale Interest Rate (DSIR): 6.30%
• Dividend scale interest rate (DSIR) history: Stable over several years, supported by smoothing techniques to reduce short-term volatility
• Participating account asset mix (target): 50% fixed income (bonds, mortgages), 50% non-fixed income (equities, commercial real estate)
• Investment approach: Prudent, risk-aware management with smoothing and long-term focus to stabilize returns

Why choose RBC

• Manages participating accounts using smoothing techniques that reduce short-term volatility and support consistent dividends
• Serves more than 5 million clients globally, providing scale and diversification that strengthens long-term stability
• Balances asset allocation evenly, 50% fixed income, 50% non-fixed income, to support long-term growth and predictable policyholder returns
• Combines prudent risk management and long-term focus, aiming to maximize policyholder value while maintaining capital discipline

Wawanesa’s key financial strengths

• Dividend Scale Interest Rate (DSIR): 6.00%
• Life insurance asset base: $1.9 billion
• Group equity / surplus: $4.7 billion, providing strong capitalization across the mutual group
• Life division equity: $311 million, supporting long-term par guarantees
• Conservative investment approach, anchored by a high-quality bond portfolio with low volatility

Why choose Wawanesa

• Delivers dependable Dividend scale interest rate (DSIR) performance by supporting it with conservative asset management and a bond-heavy investment mix
• Manages a very high-quality, low-volatility bond portfolio that helps stabilize long-term returns for participating policyholders
• Builds strong capital buffers from a top Canadian mutual insurer; using profits reinforce policyholder stability rather than external shareholders
• Policyholder-focused mutual structure directs profits to reinforce stability instead of flowing to shareholders
• Offers competitive, affordable pricing with reliable long-term guarantees and steady cash value growth