A new version of The Wave software is available for download immediately.

The Wave v33.0 release includes the following:

• Illustrations for BMO Insurance’s updated suite of products (new rates, features, etc.)
• New (G3) policyholder tax rules for all life insurance plans. More specifically:
  • New (G3) tax rule calculations for all BMO Insurance universal life plans (tax-exempt test, ACB and NCPI) as well as for Term and Whole Life plans (ACB and NCPI)
  • For SPIA, users will need to install this version in order to run a quote starting January 1, 2017. Also, it is recommended that you download The Wave v33.0 in order to be able to properly quote SPIA with any annuity payment starting in the next calendar year.
• An updated Marketing Material library:
  • Includes updated product overviews, marketing guides and sample contracts
• Increase in provincial premium tax (from 4% to 5%) for UL policies sold in Newfoundland
  • Note: clients with in force UL policies have already been notified about this premium tax increase on their policies which will be effective January 1, 2017. 

What’s new?

For full details on what’s changing on BMO Insurance’s UL, Term and Traditional Whole Life plans, click here. Here are the highlights of what’s changing on Life Dimensions, our flagship universal life plan:

Life Dimensions Changes at a Glance:

·     Includes both bonus and low fee plan options

·     New and improved YRT and YRT 85/20 COI rates offering more value at higher face amounts

·     A Preferred List of 200+ Indexed Accounts with lower UL fees. Don’t forget to visit bmoinvestpro.ca to view this updated list of investment options which are available on these new Wave v33.0 plans

·     Policy loans will now be available for up to 90% of the cash value (up from 85%) including the GMIA

·     A Cumulative Fund Bonus (CFB) to help accelerate the growth of the cash value

·…Plus more!

Key features on Life Dimensions that are NOT Changing:

·     Our highly competitive Level COI rates

·     InvestorMaximizer: still available for quick pays (e.g. 5-8 pays) but now available on Life Dimensions (Low Fees) only

·     Minimum guaranteed rates on the DIA as well as the 5 and 10 Year GIA

Plus, take a look at the NEW BMO Insurance Health Advocate Plan, a new health and wellness program offered at no additional charge on eligible plans issued under The Wave (version 33.0) of our software.

We will accept applications and begin underwriting these new G3-ready Wave 33.0 plans immediately but policies will not be issued until January 1, 2017 at the earliest.

Alternatively, you may continue to submit applications for The Wave v32.1 plans subject to the Transition Rules previously communicated.

Click here for a copy of our Transition Rules.

The Wave v33.0 limitations:

The Wave v33.0 Universal Life illustrations are temporarily disabled for scenarios with either a) Sum Insured death benefit OR b) InvestorMaximizer with the Sum Insured death benefit which require exempt test (“8%”) face amount increases, e.g. the “Increases” and “Increases and reversals” options on the Maximizer/Solves screen. 

We expect to have this limitation removed in early 2017. At that time, a new release of the Wave (version 33.1) will be available for download which will then allow these scenarios to be illustrated.

This limitation does not affect any illustrations with the Sum Insured plus Fund Value Death Benefit or Sum Insured Death Benefit scenarios which don’t require these “8%” face amount increases (e.g. minimally funded YRT scenarios).

Certain materials (such as financial concept client brochures and advisor guides) which include the Sum Insured Death Benefit or InvestorMaximizer scenarios described above will only be updated once The Wave v33.1 is released.

Also, when running illustrations using “MTAR Maximum”, the amount shown on the screen display will be overstated but the correct values will be used in the report and corresponding spreadsheet.

For “Level max” premium solve, the amount calculated is overstated and could cause money to flow to the Side Account. This will be addressed on the next version of the Wave.

MB 437 (2016/11/21)