Loans and Lines of Credit Protection Insurance

Instalment & Revolving Lines of Credit
You’ll have to answer three health questions, depending on your coverage, if your line of credit balance multiplied by your percent covered is over $100,000.

If you answer “NO” to the relevant Health Status Question(s), your coverage is approved without any more steps. If you answer “YES” to the Health Status Question(s), we’ll need to send your application to Canadian Premier for medical underwriting.

Personal Loan Plan
There are no health questions. Your coverage is automatically approved under $150,000.

RRSP ReadiLine
There are no health questions. Your coverage is automatically approved up to the current RRSP limit.

Small Business Loan
You’ll have to answer two health questions, depending on your coverage, if your line of credit balance is over $50,000.

If you answer “NO” to the relevant Health Status Question(s), your coverage is approved without any more steps. If you answer “YES” to the Health Status Question(s), we’ll need to send your application to Canadian Premier for medical underwriting.

Instalment Line of Credit
Premium rates are based on your age on the Insurance Application Date and will not change as you age. There are single and multi-rates (when there is more than one insured borrower) per coverage type.

Your premium, plus provincial sales tax (if applicable) is added to your instalment line of credit payment on the payment due date.

Refer to the Instalment line of credit premium rate tables or Certificate of Insurance for more details.

Revolving Line of Credit
Your monthly premium rate is based on your age at each statement date and will change as you age. The rates are different for single and multi-rate coverage.

Your monthly premium rate is calculated for every $1,000 of coverage. Your premium, plus provincial sales tax (if applicable) is charged in arrears and added to your revolving line of credit balance on each statement date.

Refer to the Revolving line of credit premium rate tables or Certificate of Insurance for more details.

Personal Loan Plan
Premium rates are based on your age on the Insurance Application Date and will not change as you age. When both borrowers are insured for the same coverage, the older borrower’s age will apply.

The premium quoted under your loan payment when you apply for this insurance represents the average cost of insurance, per payment, over the life of your Loan. Provincial sales tax is added to your premium, if applicable. The premium amount charged to your loan account is based on (a) your premium rate, (b) the balance of your Loan at the time of payment (Outstanding Loan Balance), and (c) the number of days elapsed since your last payment, plus any applicable taxes. The amount of premium you pay will automatically decrease as your Outstanding Loan Balance reduces.

Refer to the Personal Loan Plan premium rate tables or Certificate of Insurance for more details.

RRSP ReadiLine
Your insurance premiums are calculated each time your RRSP ReadiLine account statement is produced and are collected automatically with your regular RRSP ReadiLine Account payment.

The premium amount is based on (a) your premium rate, (b) the average daily balance owing on your RRSP ReadiLine account over the statement period (Average Daily Balance), and (c) the number of days in the statement period, plus any applicable taxes.

Refer to the RRSP ReadiLine^® premium rate tables or Certificate of Insurance for more details.

Small Business Loan
Revolving:
Premium Rates are based on Attained Age on your account statement date. When both borrowers are insured for the same coverage, the older borrower’s age will apply.

Your Premium may go up or down from month-to-month, depending on your average daily balance for the period covered by your Loan account statement.

Installment:
Premium Rates are based on Attained Age at application. When both borrowers are insured for the same coverage, the eldest borrower’s age will apply.

The Premium quoted under your Loan payment represents the average cost of insurance, per payment, over the remaining life of your Loan.

Refer to the Small Business Loan premium rate tables or Certificate of Insurance for more details.

For instalment or revolving lines of credit under the BMO Protection Plan, if you re-advance or increase your limit, your insurance will end on the date your line of credit is terminated. If you want your new line of credit to be insured under the same plan, you’ll need to complete a new insurance application.

Sometimes a new application could be declined because of a health condition or if you’re over the eligible age to apply (but under the termination age). In these cases, you may be eligible for Recognition of Prior Coverage (ROPC).

For further details, refer to the BMO Protection Plan Certificate of Insurance.

For a full list of exclusions and limitations, refer to the relevant certificate of insurance under resources for details.

Absolutely! Coverage is optional and you can cancel or modify your insurance at any time. If you cancel within 30 days of the coverage start date, you’ll get a full refund of any premium you’ve paid – it’s as if the coverage never took effect.

For Quebec residents, refer to the relevant fact sheet, product summary and notice of rescission under resources for details.

Would you like to cancel your insurance coverage? Contact 1-877-225-5266 or talk to your branch representative.

For complaints regarding underwriting decisions or insurance claims please call the Canadian Premier Creditor Team at 1‑877‑271‑8713.

Full details of BMO’s dispute resolution process are outlined in the brochure titled: We’re here to help – Resolving Customer Complaints.