Canada life increases premium today to discourage speculation

Canada Life has sharply increased the minimum premium on its with-profit life policies to £200 per month, until further notice…

Canada Life has sharply increased the minimum premium on its with-profit life policies to £200 per month, until further notice. This is because of the strong demand for these policies, despite the company's attempts to discourage investors who are buying policies purely in the hope that it will demutualise. Any further applications for policies with lower premiums must be received by the company by 4 p.m. today. There has been strong demand for these Canada Life withprofit policies in recent months, as investors speculate it is about to abandon its mutual status.