DEATH SETTLEMENT Sample Clauses
DEATH SETTLEMENT. The Contract is an annuity contract governed by the Insurances Act (Quebec) and approved as a retirement savings plan under the Income Tax Act (Canada). No advantage that is conditional on the existence of the Contract may be extended to the Annuitant or to a person with whom the Annuitant was not dealing at arm’s length. As required under paragraph 146.3(2) (e) of the Income Tax Act (Can- ada), the Annuitant may transfer (before conversion to a life annuity) the surrender value of the RIF to another registered retirement income fund. At the time of the transfer, the Company shall withhold a sum sufficient to pay to the Annuitant the minimum amount for the current year in com- pliance with the Income Tax Act (Canada). However, in case of transfer to another contract offered by the Com- pany, the investment options of deposits that have not yet matured may, on request, be retained.
DEATH SETTLEMENT. If the Annuitant dies before conversion of his Contract into a life annu- ity, the payments will cease and a taxable lump sum payment equal to the markets’s value of the Annuitant’s Contract, in accordance with the terms of the Plan, will be paid to his beneficiary or, if there is none, to his estate. Subject to and in accordance with the Income Tax Act (Canada), in lieu of receiving a taxable lump sum payment, the Annuitant’s Spouse may elect to convert the Annuitant’s Contract into an annuity or to transfer the death benefit to a retirement savings plan or to a retirement income fund.