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Financial Community and Trustees

Deposits held in an RRIF

Deposits held in a Registered Retirement Income Fund (RRIF) are protected separately from the eligible deposits held in other insured categories, such as those held in individual names.

Here’s an example of a portfolio within a RRIF at one CDIC member institution – and what does (✓) and does not (✗) qualify for CDIC coverage:

  • $20,000 in a GIC
  • $90,000 in a term deposit ✓
  • $50,000 in stocks and bonds ✗
  • $130,000 in mutual funds ✗

Total Portfolio = $290,000
Total Eligible Deposits = $110,000
Total Deposits Protected by CDIC = $100,000

What’s insured & why:

Within the RRIF, the above GIC and term deposit are eligible deposit products and are therefore combined for coverage of up to $100,000 of CDIC protection. So $100,000 of the eligible $110,000 within the RRIF category are protected. CDIC coverage does not apply to stocks, bonds or mutual funds, so those investments, which amount to $180,000 of the total $290,000 in the category, are not covered by CDIC.

The following are special types of RRIFs and eligible deposits held in them are combined with eligible deposits in regular RRIFs owned by the same depositor at the same member.

  • LIF – Life Income Fund
  • LRIF – Locked-In Retirement Income Fund
  • RLIF – Restricted Life Income Fund
  • PRIF – Prescribed Retirement Income Fund

Example:

This example illustrates how deposit insurance applies to eligible deposits where an individual has a (1) LIF, a (2) LRIF and a (3) RRIF account at the same member institution.

Profile:

  • $20,000 in a GIC held in your LIF account
  • $70,000 in another GIC held in your LRIF account
  • $50,000 in another GIC held in your RRIF account

    = $140,000 of which $100,000 is protected by CDIC

What’s insured & why:

The LIF, LRIF, and RRIF all contain eligible deposits – so they are combined ($140,000) and protected up to a limit of $100,000 for the RRIF category.

Have more questions about how CDIC deposit protection works? Check out our FAQs and info videos.

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