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- RBC Insurance offers two participating whole life plans: Growth Insurance and Growth Insurance Plus
- Growth Insurance offers lifetime coverage starting at $25,000 that begins to accumulate cash value after five years. It also includes a juvenile guaranteed insurability benefit for policyholders under 18 at no additional cost
- Growth Insurance Plus offers lifetime coverage starting at $250,000, and begins accumulating cash value after the first year
- RBC whole life insurance has 5 dividend strategies: cash payments, reduced premiums, interest-earning deposits, paid-up additions (PUAs), or enhanced insurance
- RBC whole life policy has 3 coverage options: single-life, joint-first-to-die, and joint-last-to-die
RBC Insurance, backed by one of Canada’s largest banks, offers participating whole life insurance policies that build cash value, provide guaranteed lifelong protection, and the potential to receive policyholder dividends. RBC provides two whole life plans: Growth Insurance and Growth Insurance Plus, each with distinct features. While the former offers coverage starting at $25,000, Growth Insurance Plus starts at $250,000.
Quick review:
- PolicyAdvisor ratings: 4/5
- Best for: Parents seeking permanent coverage for children with a Juvenile Guaranteed Insurability Benefit
- Skip if: You want a 10-pay policy with the option to make additional deposits
About RBC Insurance
Recognized as Canada’s largest bank-owned life insurance company by total revenue, RBC Insurance serves almost 5 million clients globally. In addition to whole life insurance, RBC Insurance also specializes in offering health, home, auto, travel, wealth, and reinsurance advice and solutions to individual, business and group clients. Moreover, with a LICAT ratio of 132%, RBC demonstrates strong financial strength. Its estimated par fund size is $51.39 million, and it has maintained a stable dividend rate over the past few years.
RBC Insurance’s financial strength:
| AM Best Rating | A |
| Participating account fund size | $51.39 million |
| LICAT ratio | 132% |
| Dividend scale interest rate (DSIR) | 6.30% |
Disclaimer: Figures and ratings are based on the latest available information and may change over time
What is RBC whole life insurance?
RBC whole life insurance provides permanent life insurance coverage with guaranteed cash value growth. It has two participating whole life plans: Growth Insurance and Growth Insurance Plus; both offer limited pay options: 10-pay, 20-pay, or Life pay to age 100 and the flexibility to choose the coverage option from single life, joint first to die, and joint last to die.
RBC Growth Insurance is available with guaranteed cash value starting at the end of the fifth policy year. RBC Growth Insurance Plus is designed to accelerate tax-deferred growth and provides access to guaranteed cash value from the end of the first policy year. Both plans offer five dividend options, including paid-up additions, cash, premium reduction, dividends on deposit, and enhanced insurance.
Key features of RBC whole life insurance:
| Plan names |
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| Policy issue age (min & max) |
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| Coverage range |
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| Coverage options |
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| Payment options |
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| Dividend options |
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| Deposit options | Only available for 20-pay and life-pay policies with paid-up additions or enhanced insurance dividend options |
| Additional benefits |
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| Riders |
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Who is eligible for RBC whole life insurance?
RBC whole life insurance is designed for:
- Canadian residents who satisfy RBC Insurance’s underwriting guidelines
- Individuals aged 0 to 80 for single-life coverage and 18-80 years for joint-life policies, with specific eligibility for the Juvenile Guaranteed Insurability Benefit for children aged 0 to 17
- Applicants seeking a minimum of $25,000 in coverage for RBC Growth Insurance or $250,000 for RBC Growth Insurance Plus
What is covered under RBC whole life insurance?
RBC’s Growth Insurance and Growth Insurance Plus whole life insurance plans include the following:
- Death benefit: Provides a tax-free death benefit to beneficiaries when the insured person dies, as long as the policy remains in force
- Guaranteed cash value: Builds cash value over time, which can be accessed through policy loans or withdrawals, subject to the policy terms
- Dividend potential: Participating policies may earn dividends based on the insurer’s performance. The available dividend options include cash, premium reduction, dividends on deposit, paid-up additions, and enhanced insurance. Dividends are not guaranteed
- Optional coverage: Policyholders can add optional benefits and riders to customize their coverage based on their financial and protection needs
What are the different types of RBC whole life insurance?
RBC offers two participating whole life plans with lifetime coverage, guaranteed cash value growth, and the potential to earn dividends: RBC Growth Insurance and RBC Growth Insurance Plus. The premiums from participating policyholders are pooled in RBC’s participating account, and dividends may be paid based on the account’s experience.
- Growth Insurance: Coverage ranges from $25,000 to $25 million. This option is designed for individuals seeking permanent life insurance with long-term cash value growth. Guaranteed cash value becomes available at the end of the fifth policy year. It also includes the Juvenile Guaranteed Insurability Benefit, which allows the policyholder to purchase additional insurance after the child turns 18 without providing additional evidence of insurability
- Growth Insurance Plus: Offers almost the same core benefits of permanent coverage, cash value accumulation, and dividend potential, but is designed for faster cash value growth. Coverage ranges from $250,000 to $25 million, and guaranteed cash value is available from the first policy year, providing earlier access to guaranteed cash value compared with Growth Insurance
RBC Grow Insurance vs Grow Insurance Plus:
| Category | RBC Growth Insurance | RBC Growth Insurance Plus |
| Cash value accumulation | Accessible after 5 years | Accessible after the first year |
| Premium type | Fixed with flexible payment options:
Life Pay, 10 Pay, 20 Pay |
Fixed with flexible payment options:
Life Pay, 10 Pay, 20 Pay |
| Maximum issue age | Up to 80 years | Up to 80 years |
| Coverage amount range | $25,000 to $25,000,000 | $250,000 to $25,000,000 |
| Dividend options |
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| Policy loan availability | Yes, you can borrow against your policy’s cash value if it’s not in the grace period | Yes, you can borrow against your policy’s cash value if it’s not in the grace period |
| Living benefits |
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What are the dividend options available with RBC whole life insurance?
The dividend options for Growth Insurance and Growth Insurance Plus are the same. Annual dividends can be issued as:
- Cash: You can receive your dividends as cash, though they may be taxable
- Premium reduction: Dividends are applied to your premiums for the following year. Any excess dividends are paid to you directly
- Dividends on deposits: Dividends are deposited into an interest-bearing account, which you can access anytime. Any interest earned is taxable
- Paid-up additions: This option uses dividends to buy additional insurance coverage. The added coverage can earn dividends and build its own cash value over time
- Enhanced insurance: Your dividends can also be used to buy a mix of paid-up additions and one-year term insurance. The insurance purchased using paid-up additions can earn dividends and build cash value in the future
Pros and cons of RBC’s whole life insurance
RBC’s whole life insurance plans offer several advantages: multiple payment and dividend options, flexible use of cash value. However, there are also some downsides, like restricted deposit-option eligibility and delayed guaranteed cash value in Growth Insurance.
| Pros | Cons |
| Offers 5 dividend options | The deposit option is available only if the premium payment period is 20 Pay or Life Pay |
| Allows deposit option payments to purchase additional insurance | Growth Insurance Plus requires a higher minimum coverage amount of $250,000 |
| Provides a $25,000,000 coverage limit, subject to approval requirements | Juvenile Guaranteed Insurability Benefit is not available with Growth Insurance Plus or policies with substandard risks |
| Includes a juvenile guaranteed insurability benefit at no additional cost for insureds under 18 | |
| Flexible payment options: life pay, 10-pay, and 20-pay |
How much does RBC whole life insurance cost?
The cost of RBC whole life insurance for a male or female seeking $100,000 in coverage for participating whole life insurance for 20-pay ranges between $184 and $619 per month. The actual premium you pay, however, may vary based on factors such as your age, gender, coverage amount, payment option, and underwriting profile.
Cost of RBC whole life insurance (2026):
| Age (in years) | Male | Female |
| 20 | $198.54/month | $184.04/month |
| 30 | $236.41/month | $220.77/month |
| 40 | $285.39/month | $267.24/month |
| 50 | $349.34/month | $326.87/month |
| 60 | $442.64/month | $408.38/month |
| 70 | $619.31/month | $549.38/month |
*Illustrates the monthly cost of $100,000 in participating whole life insurance coverage with a 20-pay option and paid-up additions dividends
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What riders are available with RBC whole life insurance policy
Listed below are some of the riders that you can include in your RBC whole life insurance policy to enhance its coverage:
- Guaranteed insurability benefit: This lets you get additional life insurance coverage without updating any health or lifestyle information. It can be exercised up to six times within 31 calendar days following your marriage or the birth or adoption of a child, or within 31 calendar days following every third policy anniversary
- Payor death and disability: It is only applicable to the payor of the life insurance policy and is helpful in waiving the premium if the payor dies or suffers disability. For disability, the waiver begins after six months and continues until the payor reaches age 60
- Children’s term rider: It provides term insurance coverage to all children of the life insured. The coverage continues until each child’s 25th birthday. Each insured child can convert the coverage to a permanent policy without providing new evidence of insurability
- Total disability waiver of premium rider: This rider will waive the premium in the event of permanent disability of the life insured. The protection continues until age 60, provided the policy remains in force
- Accidental death benefit rider: This provides additional death benefit if the life insured dies due to an accident. Coverage continues until the life insured reaches age 65
- Term insurance rider: Add RBC YourTerm 10, 15, 20, or 25 to your policy for affordable temporary life insurance coverage when you have additional short-term protection needs
How much dividend does RBC pay?
RBC’s dividend payments depend on its dividend scale, which changes annually. While the dividends in a par account are not guaranteed, historically, RBC has maintained a dividend scale interest rate of 6.00%. This was recently increased to 6.30%, effective April 2025, and remains the same for 2026. Policyholders can expect their dividends to be paid according to this new rate until March 31, 2027.
What factors affect the dividends of RBC whole life policy
Each year, dividends are determined based on the performance of the participating account backing RBC Growth Insurance and Growth Insurance Plus. The factors that affect the performance include investments, policy cancellations, mortality rates, and administrative costs.
- Investment returns: Premiums from all participating policyholders are combined into a shared fund called the participating account. Managed by RBC portfolio managers, this fund is then diversified across assets like bonds, equities, and real estate to achieve long-term, stable growth. The returns earned directly influence the level of dividends distributed
- Policy cancellations: Dividends also reflect experience with policy cancellations. These assumptions support stability and sustainability for policyholders
- Administrative costs: RBC’s ability to control administrative and operational costs also impacts the dividends. Efficient management means fewer expenses and more funds that can potentially be allocated to dividends
- Claims experience: The number and timing of death claims compared with the assumptions used by RBC can affect the participating account’s financial performance
Dividend Scale - Participating Whole Life Insurance
Compare dividend rates from top Canadian insurers
| 2022 | 2023 | 2024 | 2025 | 2026 | |
|---|---|---|---|---|---|
| Equitable | 6.05% | 6.25% | 6.40% | 6.40% | 6.40% |
| Manulife | 6.10% | 6.35% | 6.35% | 6.35% | 6.35% |
| iA Financial Group | 5.75% | 6.00% | 6.25% | 6.35% | 6.35% |
| Desjardins Insurance | 5.75% | 6.20% | 6.30% | 6.30% | 6.30% |
| RBC Insurance | 6.00% | 6.00% | 6.25% | 6.30% | 6.30% |
| Sun Life | 6.00% | 6.00% | 6.25% | 6.25% | 6.25% |
| Empire Life | 6.00% | 6.00% | 6.00% | 6.25% | 6.25% |
| Foresters Financial | 5.50% | 5.50% | 5.50% | 6.25% | 6.25% |
| Co-operators | 5.90% | 5.90% | 6.00% | 6.00% | 6.00% |
| Assumption Life | 5.75% | 5.75% | 5.75% | 5.75% | 5.80% |
| Canada Life | 5.25% | 5.50% | 5.50% | 5.75% | 6.00% |
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How can I access my RBC whole life cash value?
You can access the cash value of your RBC whole life policy in several ways:
- Policy loans: You can borrow up to 90% of your policy’s cash value, provided it’s not in the grace period. The minimum policy loan is $500, and interest applies
- Use policy as collateral: You can request to use your policy as collateral for a loan from a financial institution
- Cash withdrawal: You can withdraw a portion of your guaranteed net cash value by reducing your base life insurance coverage. This will decrease the death benefit your beneficiary could receive
- Premium offset: If your policy has sufficient cash value, you can use it to pay premiums. This option is not guaranteed and is available only once your policy reaches the earliest offset date, with no outstanding loans
Does RBC whole life insurance offer life limited-pay options?
Yes, both RBC Growth Insurance and RBC Growth Insurance Plus are available with limited-pay options. These plans let you choose from the available premium-paying options, including 10-pay and 20-pay. Limited-pay options can help you complete your premium payments over a set period while keeping the policy in force for life. You can choose a suitable premium pay option and enjoy coverage for life with RBC whole life plans.
What is the Juvenile Guaranteed Insurability Benefit?
The Juvenile Guaranteed Insurability Benefit is available only with RBC Growth Insurance and is automatically included at no additional cost. It is available to insured children aged 0 to 17 who are assessed as a standard risk when applying. This feature allows the insured to purchase additional term or permanent life insurance in the future without providing updated health or lifestyle information.
The Juvenile Guaranteed Insurability benefit can be exercised three times. Options become available after the child’s 18th birthday and within 31 days following marriage, the birth or adoption of a child, or every third policy anniversary. The benefit expires on the policy anniversary nearest the insured’s 40th birthday or once the maximum number of elections has been used.
Does RBC whole life insurance offer a deposit option?
Yes, RBC whole life insurance offers a deposit option with 20-pay or life pay premium payment options. The deposit option allows policyholders to make additional payments beyond their required premiums to purchase paid-up additional insurance. These optional payments can help increase the policy’s non-guaranteed cash value over the long term and are not part of the policy’s guaranteed premium.
How are premiums invested for RBC Growth Insurance and Growth Insurance Plus?
Premiums from Growth Insurance and Growth Insurance Plus policies are invested in a diverse mix of assets, including corporate and government bonds, private fixed income, commercial mortgages, common shares, and commercial real estate. RBC’s experienced portfolio managers invest these assets, so policyholders do not have to manage the investments themselves. These managers have more than 100 years of collective asset management experience and use the same investment philosophy as RBC Capital Markets and RBC Global Asset Management.
- Corporate bonds: RBC invests in high-quality corporate bonds to generate stable income while managing credit risk. These bonds help enhance the participating account’s long-term returns through diversification across sectors
- Government bonds: These include government bonds, which provide steady, low-risk returns and long-term financial stability for policyholders
- Private fixed income: These are debt investments issued through private agreements (e.g., corporate loans or infrastructure debt)
- Commercial mortgages: These are long-term loans secured by commercial properties such as office buildings, retail spaces, and industrial complexes
- Common shares: Investments are also made in stocks, with a portion linked to major equity indices like the S&P/TSX Composite Index
- Commercial real estate: RBC also invests in diversified commercial real estate funds holding retail, office, multi-residential, and industrial properties across major Canadian markets. These investments can provide relatively stable returns through the pooled funds’ diversified property holdings
Please note that while RBC uses “smoothing” techniques to manage short-term market fluctuations and maintain stable returns, changes in stock prices and interest rates can still influence the participating account’s surplus.
How does RBC Insurance compare to other whole life insurance providers?
RBC whole life insurance stands out for its participating plans, flexible premium payment options, and five dividend strategies. Growth Insurance includes a Juvenile Guaranteed Insurability Benefit for eligible children, while Growth Insurance Plus starts at $250,000 and is designed for faster cash value growth. Both plans offer single-life, joint-first-to-die, and joint-last-to-die coverage options, with 10-pay, 20-pay, and life-pay structures. To see how RBC compares with other leading insurers, read our guide to the best whole life insurance companies in Canada.
Our advisor’s take on RBC whole life insurance
At PolicyAdvisor, one of our advisors recently worked with a 52-year-old client who wanted permanent life insurance with cash value growth and a participating policy supported by a stable dividend scale history. The client’s priority was to choose a policy where dividend performance had remained relatively consistent over time, while still benefiting from the guarantees built into the whole life policy.
Client profile:
- Age: 52-year-old non-smoking Canadian
- Coverage need: $750,000 in permanent life insurance for family protection and future financial planning
- Primary concern: Stable dividend scale performance and predictable long-term policy growth
- Our comparison: We compared RBC’s Growth Insurance and Growth Insurance Plus with participating whole life products from other leading Canadian insurers, focusing on dividend scale history, cash value growth, dividend options, and limited-pay options
Why RBC stood out:
- Stable dividend scale history: RBC maintained a 6.00% DSIR from 2022 to 2023 before increasing it to 6.25% in 2024 and 6.30% in 2025 and 2026, giving the client a relatively consistent dividend scale history to consider
- Guaranteed policy values: Alongside potential dividends, RBC whole life policies provide guaranteed benefits and cash values
- Flexible rider options: RBC offers multiple riders, including the guaranteed insurability benefit, children’s term rider, accidental death benefit, waiver of premium, and YourTerm riders, allowing the client to customize their coverage as their protection needs change
How do you apply for RBC’s whole life insurance?
Choosing the right whole life insurance involves several important decisions, such as selecting the right plan, coverage level, and premium structure, that might become overwhelming. Here is how you can buy RBC whole life insurance policy with PolicyAdvisor:
- Speak with a licensed PolicyAdvisor expert
- Review RBC whole life insurance plans along with the other options available
- Receive a personalized illustration and finalize your application online
PolicyAdvisor offers free quotes at the best market rates and lifetime after-sales support to address any questions or adjustments you may need in the future. Schedule your free consultation with our licensed advisors today!
Frequently asked questions
Does RBC offer participating policies with dividends?
Yes. Both Growth Insurance and Growth Insurance Plus are participating policies that may earn dividends based on the participating account’s surplus. Dividends are credited on the policy anniversary and are not guaranteed. The available dividend options include cash payments, reduced premiums, interest-earning deposits, paid-up additions, and enhanced insurance.
What is the difference between RBC Growth Insurance and Growth Insurance Plus?
RBC Growth Insurance and RBC Growth Insurance Plus differ mainly in terms of their starting coverage amount and cash value accessibility. Growth Insurance offers lifetime coverage starting at $25,000, with cash value access after 5 years. Growth Insurance Plus requires a higher minimum coverage of $250,000 but offers cash value access after just one year.
What happens if I miss a premium payment for my RBC whole life policy?
If your policy has accumulated enough cash value, RBC may use it to cover premiums through an automatic premium loan. If the total loan balance, including interest, exceeds the policy’s net total cash value, the policy will lapse after 31 days unless the full outstanding balance is repaid.
Does RBC offer deposit option payments?
Yes, RBC offers a deposit option that lets you make payments in addition to the required premiums. These extra payments help increase the non-guaranteed cash value of your policy in the long term. The deposit option is available only if your chosen dividend option is paid-up additions or enhanced insurance and the premium payment period is 20-pay or life pay.
What is RBC’s current dividend scale interest rate?
RBC’s Dividend Scale Interest Rate (DSIR) is 6.30% for 2026. However, the DSIR is not a guaranteed return, and actual dividends can change based on the experience of RBC’s participating account.
Can I add riders to my RBC whole life insurance policy?
Yes, RBC offers several optional riders and benefits. Some of the riders that you can include in your policy are guaranteed insurability, children’s term insurance, accidental death benefit, waiver of premium, payor death and disability, and term riders.
Can I access the cash value of my RBC whole life policy?
Yes, you can access available cash value through policy loans, collateral, or withdrawals, subject to the policy terms. RBC also offers a premium offset option for eligible policies, allowing sufficient cash value to be used toward premium payments once the policy reaches the applicable offset date and other requirements are met.
RBC Insurance offers two participating whole life policies with five dividend options: Growth Insurance and Growth Insurance Plus. You can choose from three coverage options: single life, joint-first-to-die, and joint-last-to-die. Additionally, you can select between paying premiums for life or a limited period of 10 or 20 years.
