1What the Settlement Is
In Fehr v. Sun Life Assurance Company of Canada, policyholders said Sun Life raised cost of insurance (COI) rates and administrative fees on old MetLife universal life policies for reasons the policies did not allow, and charged some Universal Plus holders more than the Maximum Premium written in their policy. The case started in 2010. Sun Life denies wrongdoing and admits no liability.
On September 23, 2026 the Ontario Superior Court of Justice approved a settlement valued at $213.5 million: up to $142.5 million in cash and $71 million in future policy benefits (frozen or capped charges). Legal fees and administration costs are paid out of the settlement, and cash that is not claimed goes back to Sun Life. You can read the court’s decision in full.
Sun Life runs these policies today because it merged with Clarica in 2002, and Clarica had bought MetLife’s Canadian business in 1998. Your statements may say MetLife, Clarica or Sun Life.
2Which Policies Are Included
The class covers three universal life policies sold by MetLife agents in Canada from 1987 to 1998, including successor owners:
| Policy | Who is in the class | Settlement benefits |
|---|---|---|
| Flexiplus (Universal Flexiplus) | Owners whose monthly cost of insurance or administration fee went up in 2001, 2006 or 2015, or in the policy’s ninth year | Yes |
| Universal Plus, issued before 1992 | All owners | Yes, if charges went above the Maximum Premium |
| Universal Plus, 1992, 1994 and 1998 series | All owners | No |
| OptiMet | Owners charged a higher COI rate from year nine | No |
About 70,000 current and former policyholders receive cash or future benefits.
3What You Get
Flexiplus
- Cash for part of the COI and administrative fee increases you paid.
- An extra cash amount if your policy lapsed or was surrendered after a COI increase.
- A permanent freeze of your current COI rates and administrative fees, for every Flexiplus policy still in force.
Universal Plus (issued before 1992)
- Cash for part of the COI you paid above a multiple of the base coverage Maximum Premium in your policy.
- A cap on future COI at 3.15 times the base coverage Maximum Premium, for policies still in force.
Whether you count as a current or past policyholder depends on whether you held the policy on March 31, 2026. The court was told that cash benefits recover about 37% to 42% of the alleged COI overcharges for Flexiplus, and about 36% to 40% for Universal Plus.
4Do You Need to Do Anything?
- Policy still in force: nothing. Your cash benefit arrives as a mailed cheque. If the cheque cannot be delivered or is not cashed, Sun Life deposits it into your policy’s Accumulation Fund instead.
- Policy ended (lapsed, surrendered or paid out): send a short application to the claims administrator before the application deadline. It is at least 12 months after the claims period begins. If Sun Life’s records list you, no documents are needed.
- Policyholder has died: the estate trustee applies on the estate’s behalf.
- Not sure you are listed: the claims administrator’s website will let you check. If you think you qualify and are not listed, there is a Disputed Eligibility Claim Form with supporting documents.
At the time of writing (October 28, 2026) the claims period start date and application deadline had not been published. Check the claims administrator’s page for the current dates.
5Who Gets Nothing
- OptiMet policyholders: the court found their COI rates were set in 1998 and never changed.
- Owners of Universal Plus policies from the 1992, 1994 and 1998 series, which define the Maximum Premium differently.
- Anyone who signed a release earlier, including people who joined the Flexiplus Options Program.
These people are still bound by the settlement and cannot sue separately for the same claims. The opt-out period ended before the settlement.
6Should You Keep the Policy?
For many people, yes. A frozen or capped cost of insurance is worth more the longer you keep the policy, and replacing life insurance in your 60s or 70s usually costs more and may need health questions. It still makes sense to check whether the policy fits your needs today: how much coverage your family needs, what the account value is, and what happens if you stop paying.
An EGE Insurance advisor can go through an old universal life policy with you and compare it with what you could buy now. There is a $0 advisor fee. We are not part of the lawsuit and do not give legal advice; for questions about your settlement payment, contact the people below.
Learn more about how universal life works.
7Who to Contact
- Claims administrator: Sun Life Class Action, c/o CA2 Inc., 9 Prince Arthur Avenue, Toronto, ON M5R 1B2 · 1-800-538-0009 · sunlife@classaction2.com
- Class counsel: Kim Spencer McPhee Barristers P.C. · SunLifeClassAction@complexlaw.ca · sunlifeclassaction.com
- Your policy itself (values, beneficiaries, payments): Sun Life.
The court asks people not to contact the court with questions.
8Frequently Asked Questions
Am I part of the MetLife / Sun Life class action?
You are a class member if you own or owned a Universal Plus, Flexiplus or OptiMet universal life policy sold by MetLife agents in Canada from 1987 to 1998, including as a successor owner. Benefits go to eligible Flexiplus holders and to holders of Universal Plus policies from the series issued before 1992. OptiMet holders and later Universal Plus series get nothing.
Do I need to file a claim?
If you still held an eligible policy on March 31, 2026, no: your cash benefit is mailed to you as a cheque. If your policy ended before then, you (or the estate) must send a short application to the claims administrator, CA2 Inc., before the application deadline, which is at least 12 months after the claims period begins.
How much will I receive?
It depends on your policy and what you paid. The court was told that eligible Flexiplus holders recover about 37% to 42% of the alleged cost of insurance overcharges and 20% to 39% of the alleged excess administrative fees, and eligible Universal Plus holders about 36% to 40% of the cost of insurance paid above their policy’s Maximum Premium.
What if the policyholder has died?
The estate can claim. Estates of people who would otherwise qualify as current or past Flexiplus or Universal Plus policyholders are eligible for cash benefits.
Should I cancel or replace my old MetLife policy?
Not before you check. Current Flexiplus holders get a permanent freeze of their cost of insurance and administrative fees, and current pre-1992 Universal Plus holders get a cap on future cost of insurance. New coverage at an older age usually costs more and may need health questions. A licensed advisor can compare your policy with what you could buy today.
Who do I contact about my settlement payment?
The claims administrator, CA2 Inc.: 1-800-538-0009, sunlife@classaction2.com. Class counsel, Kim Spencer McPhee Barristers, answers by email at SunLifeClassAction@complexlaw.ca. EGE Insurance is not part of the lawsuit and cannot check your eligibility.
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