Limitations – Eligible loans and leases and termination of benefits

Mortgage and home equity line of credit with principal

If the loan or home equity line of credit is for a primary residential dwelling, the eligible monthly amount is:

• 125% of the scheduled payment (principal and interest)

If the loan or home equity line of credit is for a secondary residential dwelling, a multi-unit residential dwelling or a commercial building, the eligible monthly amount is:

• 100% of the scheduled payment (principal and interest)

The company will stop paying benefits for this loan on the earliest of the following dates:

• Date the insured person is no longer disabled
• Date the benefit period ends
• Date the remaining amortization period ends
• Date this coverage expires as defined under the policy's Termination provision

Home equity line of credit without principal

If the home equity line of credit is for a primary or secondary residential dwelling, a multi-unit residential dwelling or a commercial building, the eligible monthly amount is:

• The monthly interest applicable to the home equity line of credit multiplied by the average debit balance
  plus
• 0.5% of this average debit balance

The company will stop paying benefits for this loan on the earliest of the following dates:

• Date the insured person is no longer disabled
• Date the benefit period ends
• Date the company will have paid benefits for a set period of 15 years
• Date this coverage expires as defined under the policy's Termination provision

Credit card

The eligible monthly amount is 5% of the average debit balance.
The company will stop paying benefits for this loan on the earliest of the following dates:

• Date the insured person is no longer disabled
• Date the benefit period ends
• Date the company will have paid benefits for a set period of 30 months
• Date this coverage expires as defined under the policy's Termination provision

Line of credit

The eligible monthly amount is 4% of the average debit balance.
The company will stop paying benefits for this loan on the earliest of the following dates:

• Date the insured person is no longer disabled
• Date the benefit period ends
• Date the company will have paid benefits for a set period of 30 months
• Date this coverage expires as defined under the policy's Termination provision

Investment loan

The eligible monthly amount is the interest applicable to the average debit balance.
The company will stop paying benefits for this loan on the earliest of the following dates:

• Date the insured person is no longer disabled
• Date the benefit period ends
• Date the remaining amortization period ends, if applicable
• Date the company will have paid benefits for a set period of 15 years
• Date this coverage expires as defined under the policy's Termination provision

Other types of loans

Loans with a scheduled payment that includes a portion of the principal

• The eligible monthly amount is:
  • 100% of the scheduled payment (principal and interest)
• The company will stop paying benefits for this loan on the earliest of the following dates:
  • Date the insured person is no longer disabled
  • Date the benefit period ends
  • Date the remaining amortization period ends
  • Date this coverage expires as defined under the policy's Termination provision

Loans with a scheduled payment that does not include a portion of the principal

• The eligible monthly amount is the interest applicable to the average debit balance.
• The company will stop paying benefits for this loan on the earliest of the following dates:
  • Date the insured person is no longer disabled
  • Date the benefit period ends
  • Date the company will have paid benefits for a set period of 15 years
  • Date this coverage expires as defined under the policy's Termination provision

Lease agreement for a dwelling used as a primary residence by the insured person

The monthly eligible amount is the scheduled payment set out in the lease agreement.
The company will stop paying benefits for this lease on the earliest of the following dates:

• Date the insured person is no longer disabled
• Date the benefit period ends
• Date the company will have paid benefits for a set period of 2 years
• Date this coverage expires as defined under the policy's Termination provision

Lease agreement for motorized vehicles

The monthly eligible amount is the scheduled payment set out in the lease agreement.
The company will stop paying benefits for this lease on the earliest of the following dates:

• Date the insured person is no longer disabled
• Date the benefit period ends
• 30 months after the lease expiry date
• Date this coverage expires as defined under the policy's Termination provision

Limitations – Eligible loans and leases and termination of benefits

Mortgage and home equity line of credit with principal

If the loan or home equity line of credit is for a primary residential dwelling, the eligible monthly amount is:

• 125% of the scheduled payment (principal and interest)

If the loan or home equity line of credit is for a secondary residential dwelling, a multi-unit residential dwelling or a commercial building, the eligible monthly amount is:

• 100% of the scheduled payment (principal and interest)

The company will stop paying benefits for this loan on the earliest of the following dates:

• Date the insured person is no longer disabled
• Date the benefit period ends
• Date the remaining amortization period ends
• Date this coverage expires as defined under the policy's Termination provision

Home equity line of credit without principal

If the home equity line of credit is for a primary or secondary residential dwelling, a multi-unit residential dwelling or a commercial building, the eligible monthly amount is:

• The monthly interest applicable to the home equity line of credit multiplied by the average debit balance
  plus
• 0.5% of this average debit balance

The company will stop paying benefits for this loan on the earliest of the following dates:

• Date the insured person is no longer disabled
• Date the benefit period ends
• Date the company will have paid benefits for a set period of 15 years
• Date this coverage expires as defined under the policy's Termination provision

Credit card

The eligible monthly amount is 5% of the average debit balance.
The company will stop paying benefits for this loan on the earliest of the following dates:

• Date the insured person is no longer disabled
• Date the benefit period ends
• Date the company will have paid benefits for a set period of 30 months
• Date this coverage expires as defined under the policy's Termination provision

Line of credit

The eligible monthly amount is 4% of the average debit balance.
The company will stop paying benefits for this loan on the earliest of the following dates:

• Date the insured person is no longer disabled
• Date the benefit period ends
• Date the company will have paid benefits for a set period of 30 months
• Date this coverage expires as defined under the policy's Termination provision

Investment loan

The eligible monthly amount is the interest applicable to the average debit balance.
The company will stop paying benefits for this loan on the earliest of the following dates:

• Date the insured person is no longer disabled
• Date the benefit period ends
• Date the remaining amortization period ends, if applicable
• Date the company will have paid benefits for a set period of 15 years
• Date this coverage expires as defined under the policy's Termination provision

Other types of loans

Loans with a scheduled payment that includes a portion of the principal

• The eligible monthly amount is:
  • 100% of the scheduled payment (principal and interest)
• The company will stop paying benefits for this loan on the earliest of the following dates:
  • Date the insured person is no longer disabled
  • Date the benefit period ends
  • Date the remaining amortization period ends
  • Date this coverage expires as defined under the policy's Termination provision

Loans with a scheduled payment that does not include a portion of the principal

• The eligible monthly amount is the interest applicable to the average debit balance.
• The company will stop paying benefits for this loan on the earliest of the following dates:
  • Date the insured person is no longer disabled
  • Date the benefit period ends
  • Date the company will have paid benefits for a set period of 15 years
  • Date this coverage expires as defined under the policy's Termination provision

Lease agreement for a dwelling used as a primary residence by the insured person

The monthly eligible amount is the scheduled payment set out in the lease agreement.
The company will stop paying benefits for this lease on the earliest of the following dates:

• Date the insured person is no longer disabled
• Date the benefit period ends
• Date the company will have paid benefits for a set period of 2 years
• Date this coverage expires as defined under the policy's Termination provision

Lease agreement for motorized vehicles

The monthly eligible amount is the scheduled payment set out in the lease agreement.
The company will stop paying benefits for this lease on the earliest of the following dates:

• Date the insured person is no longer disabled
• Date the benefit period ends
• 30 months after the lease expiry date
• Date this coverage expires as defined under the policy's Termination provision

Limitations – Eligible loans and leases and termination of benefits

Mortgage and home equity line of credit with principal

If the loan or home equity line of credit is for a primary residential dwelling, the eligible monthly amount is:

• 125% of the scheduled payment (principal and interest)

If the loan or home equity line of credit is for a secondary residential dwelling, a multi-unit residential dwelling or a commercial building, the eligible monthly amount is:

• 100% of the scheduled payment (principal and interest)

The company will stop paying benefits for this loan on the earliest of the following dates:

• Date the insured person is no longer disabled
• Date the benefit period ends
• Date the remaining amortization period ends
• Date this coverage expires as defined under the policy's Termination provision

Home equity line of credit without principal

If the home equity line of credit is for a primary or secondary residential dwelling, a multi-unit residential dwelling or a commercial building, the eligible monthly amount is:

• The monthly interest applicable to the home equity line of credit multiplied by the average debit balance
  plus
• 0.5% of this average debit balance

The company will stop paying benefits for this loan on the earliest of the following dates:

• Date the insured person is no longer disabled
• Date the benefit period ends
• Date the company will have paid benefits for a set period of 15 years
• Date this coverage expires as defined under the policy's Termination provision

Credit card

The eligible monthly amount is 5% of the average debit balance.
The company will stop paying benefits for this loan on the earliest of the following dates:

• Date the insured person is no longer disabled
• Date the benefit period ends
• Date the company will have paid benefits for a set period of 30 months
• Date this coverage expires as defined under the policy's Termination provision

Line of credit

The eligible monthly amount is 4% of the average debit balance.
The company will stop paying benefits for this loan on the earliest of the following dates:

• Date the insured person is no longer disabled
• Date the benefit period ends
• Date the company will have paid benefits for a set period of 30 months
• Date this coverage expires as defined under the policy's Termination provision

Investment loan

The eligible monthly amount is the interest applicable to the average debit balance.
The company will stop paying benefits for this loan on the earliest of the following dates:

• Date the insured person is no longer disabled
• Date the benefit period ends
• Date the remaining amortization period ends, if applicable
• Date the company will have paid benefits for a set period of 15 years
• Date this coverage expires as defined under the policy's Termination provision

Other types of loans

Loans with a scheduled payment that includes a portion of the principal

• The eligible monthly amount is:
  • 100% of the scheduled payment (principal and interest)
• The company will stop paying benefits for this loan on the earliest of the following dates:
  • Date the insured person is no longer disabled
  • Date the benefit period ends
  • Date the remaining amortization period ends
  • Date this coverage expires as defined under the policy's Termination provision

Loans with a scheduled payment that does not include a portion of the principal

• The eligible monthly amount is the interest applicable to the average debit balance.
• The company will stop paying benefits for this loan on the earliest of the following dates:
  • Date the insured person is no longer disabled
  • Date the benefit period ends
  • Date the company will have paid benefits for a set period of 15 years
  • Date this coverage expires as defined under the policy's Termination provision

Lease agreement for a dwelling used as a primary residence by the insured person

The monthly eligible amount is the scheduled payment set out in the lease agreement.
The company will stop paying benefits for this lease on the earliest of the following dates:

• Date the insured person is no longer disabled
• Date the benefit period ends
• Date the company will have paid benefits for a set period of 2 years
• Date this coverage expires as defined under the policy's Termination provision

Lease agreement for motorized vehicles

The monthly eligible amount is the scheduled payment set out in the lease agreement.
The company will stop paying benefits for this lease on the earliest of the following dates:

• Date the insured person is no longer disabled
• Date the benefit period ends
• 30 months after the lease expiry date
• Date this coverage expires as defined under the policy's Termination provision