Empire Life launches a new group product designed to provide financial assistance to employees coping with serious illness

February 02, 2010 - Kingston, Ontario - 

The Empire Life Insurance Company (Empire Life) today introduced Vital Assist Health Benefit^TM, a product that provides financial assistance to group plan members to help with additional medical expenses upon diagnosis of a serious illness.

Vital Assist Health Benefit is an optional component offered through 20Plus, the Company’s group benefits product designed for employers with 20 or more employees. If a plan member is diagnosed with one of four defined medical conditions, they receive a $5,000 lump-sum payment and are eligible for reimbursement of additional medical expenses up to $5,000 over the following 12 months.

“This is something we’re really excited about. It’s an innovative, cost-effective way employers can ease the financial pressures their employees face when recovering from a serious illness,” says Steve Pong, Senior Vice-President, Group Products. “And I’m very excited that we are offering both the lump sum payment and the added medical expense benefit to help employees and their families pay for additional medical costs which we all know can be a great burden.”

Upon eligible claim, employees who are diagnosed with cancer, heart attack or stroke or who undergo coronary artery bypass surgery can receive the Vital Assist Health Benefit. With a simplified approach to underwriting, employers can provide the Vital Assist Health Benefit option through their 20Plus plan. Employees in the group plan do not have to provide medical information to qualify for coverage and there are no exclusions for pre-existing medical conditions.

Empire Life group life and health coverage includes life insurance, disability insurance, extended health and dental care benefits for small and medium sized businesses across Canada.  

About Empire Life

A subsidiary of E-L Financial Corporation Limited and in business since 1923, Empire Life helps Canadians build wealth and protect their financial security with competitive individual and group life and health insurance, investment and retirement products. The Company’s vision is to be the leading independently-owned Canadian financial services company committed to simplicity, being easy to do business with and having a personal touch.

Empire Life announces portfolio management changes

January 25, 2010 - Kingston, Ontario - 

The Empire Life Insurance Company (Empire Life) today announced changes to realign portfolio management responsibilities on a number of its Funds. The investment objectives of the Funds remain the same.

The changes are as follows:

• Empire Dividend Growth Fund – Lieh Wang, Lead Manager plus the Empire Life Investment Team
• Empire Elite Equity Fund – Gaelen Morphet and Lieh Wang, Co-managers plus the Empire Life Investment Team
• Empire Asset Allocation Fund – Gaelen Morphet and Nessim Mansoor, Co-managers plus the Empire Life Investment Team
• Empire Global Dividend Growth Fund – Jane Halliday, Lead Manager and Amber Sinha, Co-manager plus the Empire Life Investment Team
• Empire Balanced Fund, Empire Global Balanced Fund, Empire Income Fund and all Portfolio Funds are managed by the Empire Life Investment Team

“I am confident that the changes we’ve made will allow us to best capitalize on the collective strengths and expertise of every member of the Empire Life Investment Team,” says Gaelen Morphet, Senior Vice-President and Chief Investment Officer. Ms. Morphet joined Empire Life in November 2009.

The Empire Life Investment Team will continue to use and build upon the disciplined, value-oriented and conservative philosophy and approach which the Company has followed for more than 40 years. 

The Empire Life Investment Team manages more than $8.5 billion in assets on behalf of Empire Life (both segregated funds and general fund assets).

About Empire Life

A subsidiary of E-L Financial Corporation Limited and in business since 1923, Empire Life helps Canadians build wealth and protect their financial security with competitive individual and group life and health insurance, investment and retirement products. The Company’s vision is to be the leading independently-owned Canadian financial services company committed to simplicity, being easy to do business with and having a personal touch.

Forward-looking Statements
This news release may contain forward-looking statements about certain Empire Life current plans, goals and expectations. Statements containing the words: “expect”, “continue”, “anticipate”, “may”, “will”, “could”, “should”, “would”, “intend”, “plan”, “believe” and any other words of similar meaning are forward-looking. All forward-looking statements involve risk and uncertainty because they relate to future events and circumstances beyond the control of Empire Life. By their very nature, forward-looking statements involve numerous assumptions. The Company will not undertake any obligation to update any of the forward-looking statements in this news release or any other forward-looking statements that it may make.

Empire Life employees raise funds for Haiti earthquake relief

January 20, 2010 - Kingston, Ontario - 

In the few days following last week’s devastating earthquake in Haiti, Empire Life employees reached into their pockets and raised more than $5,500 for the Canadian Red Cross Haiti Earthquake Relief effort. The funds will be matched by Empire Life, bringing the initial donation to $11,000. The Company has also announced it will match employee donations to any registered aid agency providing earthquake relief in Haiti.

The federal government will also match personal donations to Haiti relief, meaning that every dollar donated by Empire Life employees becomes three dollars of support.

“Our employees have always been incredibly generous when they see people in need — whether it is here at home or abroad in regions that have suffered terrible tragedies, like what is happening in Haiti ” says Les Herr, President and Chief Executive Officer. “We’re proud to stand behind our employees and their efforts to give a helping hand to those who need it most right now.”

Empire Life employees recently raised more than $210,000 in the Company’s annual United Way campaign, $184,000 of which stays in the Greater Kingston area to support local programs and services.

About Empire Life

A subsidiary of E-L Financial Corporation Limited, and in business since 1923, The Empire Life Insurance Company (Empire Life) helps Canadians build wealth and protect their financial security. The Company’s success comes from a commitment to being approachable and responsive to the needs of its clients and business partners, consistently solid investment performance and faith in its employees as future leaders.

Empire Life announces enhancements to Class Plus

January 14, 2010 - Kingston, ON - 

The Empire Life Insurance Company (Empire Life) today announced two enhancements to its Guaranteed Minimum Withdrawal Benefit product, Class Plus, to help Canadians live more comfortably in retirement.

Now, clients will receive the 5% annual Income Base Bonus each year if no withdrawals are made in that year. Previously, the bonus was only available for the first 15 years. This means that clients have the potential to increase their guaranteed lifetime withdrawal amount in the future. In addition, clients are now eligible to receive their guaranteed lifetime withdrawal amount a year earlier, at age 65.

“We’re very pleased to be able to offer these enhancements as a way to bring Canadians one step closer to a worry-free financial retirement,” said Julie Yoshikuni, Vice-President, Retail Wealth Marketing. “Specifically, the enhancements offer clients greater potential to increase their guaranteed retirement income and the option to begin receiving their guaranteed lifetime withdrawal amount a year earlier. These enhancements, along with the recent appointment of Gaelen Morphet as Chief Investment Officer, demonstrate our continuing commitment to Empire Life clients.”

Empire Life launched Class Plus in October 2008 to meet the growing demand for a solution that provides growth potential and guaranteed retirement income. Class Plus offers a 100% Death Benefit Guarantee, triennial resets on the Income Base, the Bonus Base, and the Death Benefit Guarantee (with the final Death Benefit Guarantee reset at age 80) and a high net worth option with lower management fees.

About Empire Life

A subsidiary of E-L Financial Corporation Limited and in business since 1923, Empire Life helps Canadians build wealth and protect their financial security with competitive individual and group life and health insurance, investment and retirement products. The Company’s vision is to be the leading independently-owned Canadian financial services company committed to simplicity, being easy to do business with and having a personal touch.

Empire Life United Way campaign raises a record-breaking $195,546

October 26, 2009 - Kingston, ON - 

Empire Life employees and retirees have much to celebrate today after raising $195,546 for United Way/Centraides across the country. This is the highest amount the Company has ever achieved in its annual fundraising effort, which includes a corporate match of all employee donations and special events proceeds. More than $177,000 of the total raised will benefit the United Way serving Kingston, Frontenac, Lennox and Addington.

“The United Way organizations across Canada are an essential part of the social safety net and support network in many communities,” says Les Herr, President and Chief Executive Officer. “Our employees and retirees understand the needs of their communities and know that this past year has been challenging for many people, making it even more important to give and they did—big time. I’m so proud to be a part of this company of generous and caring individuals,” he adds.

The three-week campaign, which wrapped up on Friday, October 23, focuses on increasing awareness of the work of United Way and encouraging donors to make a commitment through payroll deduction. The Campaign committee volunteers also use creativity to inject fun and enthusiasm into the campaign. This year’s theme of “Go for the Gold” featured Winter Olympic-inspired events like the “Buy-athlon” silent auction and bake sale, the Olympic Village international pot luck and of course, opening and closing ceremonies complete with a torch run. New events this year were a live auction with Adam Gordon from Gordon’s Estate Services and a trivia night at the Kingston Brewing Company.

“Congratulations to the employees of Empire Life for their incredible achievement. As one of the largest workplace contributors to the United Way campaign, their generosity and commitment are outstanding, benefiting thousands of people in the local community,” says Bhavana Varma, President of United Way serving Kingston, Frontenac, Lennox and Addington. “On behalf of all the children, seniors and individuals who benefit from their support, I’d like to extend my deepest gratitude,” she adds.

Empire Life has held a United Way campaign for many years; in the last six years alone the Company, its employees and retirees have contributed more than $1 million to United Way/Centraides across Canada. Other United Way/Centraides benefiting from the total raised this year include those in the Toronto, Hamilton, London, Regina, Calgary, Winnipeg and Montréal areas. Of the Company’s 750 employees nationwide, 550 work at the head office in downtown Kingston.

About Empire Life

A subsidiary of E-L Financial Corporation Limited, and in business since 1923, The Empire Life Insurance Company (Empire Life) helps Canadians build wealth and protect their financial security. The Company’s success comes from a commitment to being approachable and responsive to the needs of its clients and business partners, consistently solid investment performance and faith in its employees as future leaders.

Empire Life appoints new Chief Investment Officer and Portfolio Managers

October 26, 2009 - Kingston, ON - 

The Empire Life Insurance Company (Empire Life) today announced the appointments of Gaelen Morphet, CFA as Senior Vice-President and Chief Investment Officer, Lieh Wang, CFA as Senior Portfolio Manager, and Nessim Mansoor, CA, CFA as Portfolio Manager.

All three individuals come to Empire Life with impressive qualifications and experience from well-known investment firms. Ms. Morphet has proven herself as a superior investment professional and team-builder throughout her 25-year career in the industry. All three will help form a key cornerstone of the Company’s investment management team, having worked together for over five years at one of Canada’s largest investment management firms. Together they have delivered superior investment returns across a multitude of investment strategies including Canadian equities, Canadian balanced, dividend income, and income trust. Employing a disciplined investment process and approach, Gaelen and her team have helped clients build wealth in good markets and, more important, helped preserve capital in bad and uncertain times.

“We are extremely pleased to announce these appointments,” said Drew Wallace, Executive Vice-President, Retail, “Under Gaelen’s leadership, and with the strong addition of Lieh and Nessim, the Empire Life Investment Management team will continue to work closely and conscientiously to manage our investments as it has throughout our more than 40-year investment management history; using a conservative, value-oriented philosophy and focus on capital preservation in the best interests of our customers and shareholders.”

As Chief Investment Officer, Ms. Morphet will be responsible for the Empire Life segregated fund and general fund portfolios. She will also be responsible for managing selected assets of Empire’s sister company, The Dominion of Canada General Insurance Company. Ms. Morphet will be a member of the Empire Life Executive Leadership Team and will be based in the Company’s Investment Management offices in downtown Toronto, Ontario.

About Empire Life

A subsidiary of E-L Financial Corporation Limited, and in business since 1923, The Empire Life Insurance Company (Empire Life) helps Canadians build wealth and protect their financial security. The Company’s success comes from a commitment to being approachable and responsive to the needs of its customers and business partners, consistently solid investment performance and faith in its employees as future leaders.

Empire Life announces an offering of $200 million of 6.73% subordinated debentures

May 14, 2009 - Kingston, Ontario - 

The Empire Life Insurance Company (Empire Life) and E-L Financial Corporation Limited (E-L) (TSX: ELF) (TSX: ELF.PR.F) (TSX: ELF.PR.G) announced today that Empire Life offered in Canada, by way of private placement to accredited investors, $200 million principal amount of subordinated unsecured 6.73% fixed/floating debentures (Debentures) due May 20, 2019. The offering is expected to close May 20, 2009.

The Debentures will mature on May 20, 2019 and will bear interest at a fixed annual rate of 6.73% for the first five years, payable in equal semi-annual payments, and a variable annual rate equal to the three-month CDOR plus 5.75% for the last five years, payable quarterly. The Debentures have been provisionally rated “A (low)” with a stable trend by DBRS Limited.

The proceeds will be used for regulatory capital and general corporate purposes, and to repay a $125 million subordinated debenture issued to E-L (subject to approval by the Superintendent of Financial Institutions). The proceeds from the Debentures are expected to qualify as Tier 2B capital for regulatory purposes.

The issue has been offered on an agency basis by a syndicate of dealers co-led by RBC Dominion Securities Inc. and Scotia Capital Inc. Other syndicate members include: National Bank Financial Inc., TD Securities Inc., BMO Nesbitt Burns Inc., CIBC World Markets Inc. and HSBC Securities (Canada) Inc.

Impact of the debentures issue on financial strength
On a pro forma basis, the Company estimates that its Minimum Continuing Capital and Surplus Requirements (MCCSR) ratio would increase from 201% to 219% (as at March 31, 2009) following the issue of these Debentures and repayment of the E-L debenture.

Notice
The Debentures have not been and will not be registered under the United States Securities Act of 1933, as amended, or any state securities laws, and may not be offered, sold or delivered, directly or indirectly, in The United States of America. This release does not constitute an offer to sell or a solicitation to buy such securities in the United States.

Forward-looking Statements
This news release may contain forward-looking statements about certain Empire Life current plans, goals and expectations relating to the closing of the offering and its financial strength. Statements containing the words: “expect”, “continue”, “anticipate”, “may”, “will”, “could”, “should”, “would”, “intend”, “plan”, “believe” and any other words of similar meaning are forward-looking. All forward-looking statements involve risk and uncertainty because they relate to future events and circumstances beyond the control of Empire Life. By their very nature, forward-looking statements involve numerous assumptions. As a result, the actual closing date of the offering and the expected financial strength of Empire Life assuming the closing of the offering may differ from those set out in the forward-looking statements. The Company will not undertake any obligation to update any of the forward-looking statements in this news release or any other forward-looking statements that it may make.

About Empire Life

A subsidiary of E-L Financial Corporation Limited and in business since 1923, Empire Life provides financial security and wealth management solutions for the changing needs of Canadians. The Company’s financial strength is rated A (Excellent) by A.M. Best Company, Inc., (as at June 2, 2008) and reflects excellent capitalization, continued strong growth in segregated fund assets, consistent profitability and expanding distribution. The success of Empire Life comes from a commitment to being approachable and responsive to the needs of its clients and business partners, consistently solid investment performance and faith in its employees as future leaders.

DBRS assigns ratings to Empire Life

May 05, 2009 - Kingston, Ontario - 

The Empire Life Insurance Company (Empire Life) and E-L Financial Corporation Limited (E-L Financial) (TSX: ELF) (TSX: ELF.PR.F.) (TSX: ELF.PR.G) today announced new ratings by DBRS Limited (formerly Dominion Bond Rating Service) for Empire Life. DBRS is assigning Empire Life an Issuer Rating of A, a Subordinated Debt Rating of A (low), and a Claims Paying Rating of IC-2. All ratings have a Stable trend.

This is the first time DBRS has rated Empire Life. In explaining the rationale for the ratings, DBRS noted that the Company’s focus on relationship marketing and superior customer service aimed at specific markets and distribution channels helped offset challenges presented by being a smaller company in an industry dominated by larger competitors.  

“This strong rating demonstrates the strength of Empire Life as the eighth largest player in the life insurance industry in Canada and allows us to manage our capital ratio and continue to grow,” says Mr. Les Herr, President and Chief Executive Officer, Empire Life.

Empire Life releases 2008 year-end financial results

March 18, 2009 - Kingston, ON - 

The Empire Life Insurance Company (Empire Life) has released its 2008 year-end financial results.  

“While the challenges in the market we faced this year were dramatic, Empire Life met this adversity with the same tenacity, dedication, customer-focus and strength we have demonstrated throughout our 85-year history,” says Les Herr, who will mark his first year as President and Chief Executive Officer on April 1, 2009.

After five years of achieving double-digit growth in invested assets, the Company’s total assets under management declined by 16% in 2008 due to the sharp decline in stock market prices. However, the Company did see positive net sales in its wealth management product line for the year and annuity premium income rose 29% compared to 2007 due to increased sales of both deferred and immediate annuities.

Weak economic conditions affected the Company’s employee benefits product line with sales declining by 13% from 2007. “Our primary market segment for group products is small business owners, and without question many of them are feeling the pressure of deteriorating economic conditions, lay-offs and the need to reduce expenses,” says Herr, adding that even so, premium income for this product line increased 6% over 2007 due to continued favourable business retention. The Company’s individual insurance product line posted increases in premium revenue and net income, however sales were 19% lower mainly due to decreased investment deposits in its universal life product.

Overall, shareholders’ net income was down 11.6% from 2007 at $48.4 million. This was primarily due to the sharp decline in capital and surplus earnings caused by falling global stock markets, particularly in the last half of 2008, partly offset by an increase in net income primarily due to the net release of policy liabilities resulting from the annual update of actuarial assumptions. The Company’s risk-based capital ratio, as measured by Minimum Continuing Capital and Surplus Requirements (MCCSR), was 201% at the end of the year and was well above minimum requirements.