RBC Insurance Launches Innovative Life Insurance Product

Foundational Life combines security of traditional life insurance with investment options

MISSISSAUGA, February 19, 2004 – RBC Insurance is launching a new life insurance product that will offer the security of permanent life insurance along with the benefits of flexible investment options.

The RBC Insurance Foundational Life product offers an economical option for purchasing permanent life insurance protection in a variety of amounts that are lower than most traditional universal life insurance policies. In addition, part of the premiums paid accumulates as cash value, which is available if the policy is cashed in or terminated. In contrast the cash value of a policy available to holders of typical universal life insurance products fluctuates with the performance of the investment options that are chosen.

“Our research has shown that clients want insurance that protects them for their entire life, but also offers the option of saving for the future through low-risk investments – and this is exactly what our product has been designed to provide, ” said Neil Skelding, executive vice president, Life & Health Businesses, RBC Insurance. “What makes the RBC Insurance Foundational Life product exceptionally attractive is that it combines the best features of traditional life insurance into one affordable, flexible package.”

The Foundational Life product is available from RBC Insurance representatives in amounts ranging from $10,000 to $10 million and offers various joint and family policy purchase options. Clients are given the choice of level premium payments for set terms, or a 20-year renewable term, and can select investment options based on their individual needs. Additional features can also be added to the policy including critical illness waiver of charges, accidental death and waiver of premium features.

“RBC Insurance is committed to meeting the unique insurance needs of Canadians,” said Skelding. “Foundational Life was developed to complement our existing products and provide an opportunity to better serve a broader range of clients.”

About RBC Insurance

RBC Insurance, through its operating entities, including RBC Life Insurance Company, provides a wide range of creditor, life, health, travel, home, auto and reinsurance products to more than five million North American customers. As one of the top 10 life insurance producers in Canada, RBC Insurance offers individual and group life and health insurance solutions, including term insurance, universal life policies, group benefits, critical illness insurance and long term care insurance. These products are distributed through more than 7,000 independent brokers affiliated with producer groups, financial planning firms and stock brokerage firms, as well as through direct sales and a network of career sales representatives. For more information, please visit www.rbcinsurance.com